Cadillac Fairview is landlord and lender to Hudson’s Bay

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Hudson Bay Co.

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Joe Taylor, CEO of teachers, said that Cadillac Vervio (CF)-Joe Taylor, CEO of teachers, said that a large real estate player includes the shopping centers contained in the shopping centers included in a large number of stores of 96 for the retail series, except for a financial deal at the last minute-the stalled retailer loan, $ 200 million, a logical deal in that the time.

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“It is clear that if (HBC) can pass through challenges, it would be good for CF because it was an important tenant,” he said, adding that HBC files under the Clamen Arrangement Law (CCAA) was “unfortunate”.

“When this size of the tenants evacuate our shopping centers, then we have to spend money on returning the site to find new tenants already, so continuity is generally better than moving.”

The documents submitted regarding the restructuring of the HBC court and a potential liquidation indicate that there are 15 drugs that Cadillac Vervio, most of whom are Hudson Bay stores, on sites including London, Oanton, Markham, Unit.

Taylor said that there are negotiations before expanding the chain of stores in the loan, which was later reduced to $ 176 million after a partial payment when HBC closed the purchase of retail stores in the luxury United States Niman Marcus last December.

He said: “Frankly, it was more than giving than giving in this particular case.” We thought about it carefully. “

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CCAA procedures for CCAA procedures say that the benefits on credit facilitation are due to pay and accumulate at a rate of 10 percent annually.

The transaction included two “collective lease contracts” agreements that deleted or modified the rights of the “anchor” from “HBC” for approval and approval to redevelop the shopping center. There was also a pledge that these changes would not come into effect unless there was hypothetical by HBC that extended until five days later, and Cadillac Vervio has taken measures to impose conditions.

“These rights, combined, have a great value, and if these rental adjustments become implemented, these amendments will be largely harmful to the Gulf of Hudson,” according to a document presented on March 7.

The documents also say that there are guarantors in the United States in the original Kadillac Vervio loan agreement that was removed when the Niman Marcus deal closed in December and HBC divided its Canadian and American operations into the companies funded separately.

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A strike for real estate owners

Taylor said that the CCAA process will not be easy for Cadillac Vervio, which has canceled a strategy to reduce its exposure to the enlarged office and retail sectors of commercial real estate.

“There will be effects on the cystic fibrosis team in terms of an important tenant loss,” he said, adding that it is very early to determine the costs that may be from a possible HBC file and a possible filter.

HBC has other third -party real estate owners, including commercial real estate weapons of other large Canadian pensions.

“I don't think we are different from any other angels in Canada also have a similar exposure to HBC,” said Taylor. This is not the first time that Canadian owners have faced a large retail sale chain.

“We had nordstrom, we had Sears, who has already moved away from our shopping centers or our other sites, and we were able to find solutions to move forward and maintain a decent performance.”

Riokane joint project

A press release of HBC described in December 2024 the Canadian store as owning or renting a $ 2 billion real estate portfolio, however in a joint venture with Rioccan Real Estate Trust.

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The joint project in Riokane, which was formed in 2015, was described in the court documents as a subsidiary of the main Canadian real estate in HBC and includes 12 stores of Hudson Bay, according to the real estate company.

RIOCAN has a 22 percent royal share in 10 of the sites in the joint venture, including the main stores in the center of Vancouver, Montreal and the Toronto shopping center in Jurhadille. There are two other stores in the partnership in the shopping centers run by Ryukan in Oakville, Onton, Pari, Oanton, where Riokane has 61 percent.

The thirteenth site linked to Ryogan outside the joint project is the Saks Off 5th Store in Ottawa, where Real Estate Trust has 50 percent.

In a statement, Ryoukan said she is committed to protecting the interests of its owners from the stakeholders and those with other interests and that he has a busy record in finding solutions to the vacant space.

“(We) will follow all the commercial and legal means available to do so,” said Riokane. “In addition, we will benefit from our extensive capabilities of rental and development to secure the best possible results for each property within the joint project.”

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HBC kept a real estate consultant, Jones Lasalle Real Estate Services Inc. , Pending the approval of the court, to help him rent it in its stores and distribution centers.

Kate Camozoli, Vice -President of Retail Trade at CBR Group Company Inc. said. It believes that some spaces may find new tenants, but it must be reused.

“I don't think there is an occurrence with one user or one users to take the space,” she said, adding that it is possible that new tenants must pay more for any space they take because the “anchor” like the Gulf is usually given rest periods because they attract customers to shopping centers and shopping centers.

She said: “I think good centers will move, but (it will be) under the control of the owner and they will have to be creative.”

• Email: bshecter@postmedia.com

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