A joint venture between VICI Properties and Penn National Gaming is acquiring the Greektown Casino-Hotel in downtown Detroit for roughly $1 billion in cash. VICI is buying the land and real estate assets for about $700 million, while Penn National is buying the operating assets for about $300 million.
Boston Properties is taking to market a $1 billion bond offering and plans to use the proceeds to finance its green projects across the country. The REIT owns more than 20 million square feet of green building projects, including Salesforce Tower in San Francisco.
Retail landlords are increasingly giving the keys to struggling malls back to lenders, a move that could ultimately affect retail investors in commercial mortgage-backed securities. Adverse effects won't be felt for a few years, as securities that have the highest exposure to these loans won't mature until 2021 at the earliest.
Ventas REIT has acquired a ground lease for a Brookdale Senior Living asset in New York's Battery Park City. The REIT paid $134.7 million for the ground lease, funding the purchase with a $116.1 million loan.
Many net lease REITs were net acquirers of net lease assets this past quarter. Other buyers are also targeting these properties, including the Pennsylvania State Employees' Retirement System and private buyers.
AvalonBay Communities has decided to turn a planned rental-and-condo tower in New York City's Columbus Circle neighborhood into an all-condo development. "There is a sense that there's pent-up demand for product at this location," according to Beth Fisher with Corcoran Sunshine Marketing Group.
The D.C. Council has voted to put in place strict limits on short-term rentals in the District of Columbia. Airbnb decried the measure and has separately filed a lawsuit against Boston for similar provisions.
BrandBox is a new concept model that allows young, unproven brands to occupy vacant space in retail centers. Macerich is launching the concept at Tysons Corner Center near Washington, D.C., and it plans to expand the model to other locations.
Amazon announced Tuesday that it will split its planned second headquarters between Long Island City, N.Y., and the Crystal City area of Arlington, Va. The selection of the sites, which will create a total of about 50,000 new jobs and bring $5 billion in new investment, comes after a search that took more than a year and began with 238 competing cities.
Macy's is testing a smaller format at four stores by closing off sections to save money on inventory and staffing, with an eye on expanding the format to more underperforming locations. The "neighborhood stores" will be about one-fifth smaller and feature more self-service options and space to pick up and return online orders, CEO Jeff Gennette said.