When the value of your real estate exceeds the value of your business what do you do? Macy’s investors are putting pressure on the retail to separate the entities.
According to the Bizjournals website, Macy’s investors are considering “spinning off the 556 stores it owns nationwide, including its 34th Street store in midtown Manhattan, into a separate company…By spinning off the real estate as a separate business, Macy’s would be able to rent out space or even sell part of its holdings at a time when commercial real estate market is hot, and brick-and-mortar retailers are facing greater competition from online sellers. Analysts have suggested the upper floors of Macy’s in Herald Square could be sold off as condos or a hotel.”
You can read more about Macy’s estimated $21 billion real estate portfolio on the Bizjournal.com/newyork.