Five years after JCPenney filed for chapter, 119 of its retailer properties have been offered to a Boston-based non-public fairness agency for $947 million, based on a July 25 announcement by Copper Property CTL Pass Through Trust.
Copper Property Trust, which was created by JCPenney’s lenders throughout the retailer’s 2020 chapter restructuring, had been working with Newmark and Hilco Real Estate to market the properties. “The Buyer has now accomplished its due diligence, and its deposit below the Agreement is non-refundable,” the belief mentioned.
The sale marks a major step within the liquidation of properties managed by Copper Property. Following JCPenney’s chapter, the belief assumed management of roughly 160 retailer places and 6 distribution facilities. Simon Property Group and Brookfield Asset Management, Inc. took over the corporate’s operations and remaining shops, which at the moment whole round 650 nationwide.
Proceeds from the transaction will go to JCPenney’s collectors. After closing prices, between $928 million and $932 million will probably be distributed, mentioned Larry Finger, the belief’s principal monetary officer, throughout a July 28 convention name.
JCPenney was one of many largest U.S. retailers to file for Chapter 11 chapter in 2020 amid declining gross sales and the financial influence of the COVID-19 pandemic. The sale of those properties is a part of the continued efforts to pay down creditor claims and additional stabilize the corporate’s future.
The full checklist of offered places was not instantly launched by Copper Property Trust.
