Landlords buy back Target stores for $138 million
Bookmark and Share
Mar 08, 2015  |  Vote 0    0

Landlords buy back Target stores for $138 million

The deal between Target Canada and landlords, including Oxford Properties and Ivanhoé Cambridge, closed Friday. The retailer will rent the properties until liquidation is complete


Landlords paid $138 million before taxes to buy back 11 properties from Target Canada as it winds down operations at 133 stores across Canada.

The deal was announced earlier this month, but the price paid was sealed by the court until the deal officially closed, for competitive reasons.

The transaction between Target Canada Co. (TCC) and the landlords, including Oxford Properties and Ivanhoé Cambridge, two of Canada’s largest commercial real-estate companies, closed on Friday.

Target will turn back the leases to the 11 properties, renting them back for as long as needed to complete the ongoing liquidation sale.

Under the agreement, Target pharmacists are allowed to keep operating in the spaces until March 30, unless the stores they are based in close before that date.

Store leases will be transferred back to landlords as the stores are closed.

Target has not made public a timetable for store closures.

The properties include Target stores at Hillcrest Mall in Richmond Hill, Square One in Mississauga and Upper Canada Mall in Newmarket.

Numerous other retailers have indicated interest in getting into some of the 133 locations that will be coming to market as Target shuts down, including Walmart and Canadian Tire and a discount fitness centre chain.

Toronto Star

Bookmark and Share

(0) Comment

Join The Conversation Sign Up Login

Latest Local News

In Your Neighbourhood Today