Canadian real estate giant RioCan REIT has been extremely active in building up its exposure in the United States. Last year it formed joint ventures with Inland Western Retail Real Estate Inc. and Cedar Shopping Centers Inc. Both of those JVs remain active in acquiring assets.
Now RioCan has hooked up with a third U.S. REIT--Tanger Outlet Centers. Only with this venture, RioCan is seeking to bring Tanger's expertise up north. The $1 billion joint venture to develop outlet malls in Canada.
“In response to the increasing demand by U.S. tenants to expand into Canada, RioCan is pleased to partner with Tanger to develop Canada's first portfolio of U.S.-style outlet centres,” Edward Sonshine, RioCan's president and chief executive said in a statement.
“This venture will fill a void in the Canadian retail marketplace and will provide consumers with a distinctive outlet shopping experience closer to home,” he said.
The agreement will see RioCan and Tanger acquire and lease sites across Canada and redevelop them into discount shopping malls in the image of Tanger Outlet Centers in the United States, which cater to brand-name and designer manufacturers.
Here are some other recent news and notes from around the retail real estate world.
- U.S. Commercial Property Prices Rise for Third Month (Bloomberg Businessweek)
- Hooters chain sold to Charlotte firm (Carolina Live)
- Arby's Fast-Food Chain Is Up for Sale (New York Times)
- J. C. Penney Closing Catalog Outlets, Call Centers (Multichannel Merchant)
- Penney Adds Ackman, Roth to Board, (New York Post)