Skip to main content

H&R real estate investment trust has reached a deal to sell 63 U.S. retail properties for US$633-million, slashing its exposure to the retail sector across dozens of American cities.

The sale of mostly grocery and drug store properties is part of H&R’s strategy to simplify its portfolio and focus on fewer assets, including its offices and residential buildings.

The deal does not include H&R’s 16 U.S. gas stations and convenience stores. H&R did not disclose the buyer of the buildings. Calls and emails to trust seeking comment were not immediately returned.

Story continues below advertisement

H&R said sale proceeds will be used to repay its mortgage debt, repurchase units and fund its multi-residential Lantower project in southern U.S.

Developing multi-residential, or apartments, has become key to H&R’s growth as well as other Canadian investment trusts such as Canada’s biggest mall owner RioCan.

Retail-dominated real estate investment trusts have witnessed their unit prices underperforming on stock exchanges. H&R’s units are trading at $20.59 in Toronto, down 7 per cent compared with a year ago.

H&R’s web site says it owns 37 offices, 152 retail buildings, 91 industrial properties, 17 residential properties and 4 development projects.

Report an error Editorial code of conduct
Due to technical reasons, we have temporarily removed commenting from our articles. We hope to have this fixed soon. Thank you for your patience. If you are looking to give feedback on our new site, please send it along to feedback@globeandmail.com. If you want to write a letter to the editor, please forward to letters@globeandmail.com.

Welcome to The Globe and Mail’s comment community. This is a space where subscribers can engage with each other and Globe staff. Non-subscribers can read and sort comments but will not be able to engage with them in any way. Click here to subscribe.

If you would like to write a letter to the editor, please forward it to letters@globeandmail.com. Readers can also interact with The Globe on Facebook and Twitter .

Welcome to The Globe and Mail’s comment community. This is a space where subscribers can engage with each other and Globe staff. Non-subscribers can read and sort comments but will not be able to engage with them in any way. Click here to subscribe.

If you would like to write a letter to the editor, please forward it to letters@globeandmail.com. Readers can also interact with The Globe on Facebook and Twitter .

Welcome to The Globe and Mail’s comment community. This is a space where subscribers can engage with each other and Globe staff.

We aim to create a safe and valuable space for discussion and debate. That means:

  • Treat others as you wish to be treated
  • Criticize ideas, not people
  • Stay on topic
  • Avoid the use of toxic and offensive language
  • Flag bad behaviour

Comments that violate our community guidelines will be removed.

Read our community guidelines here

Discussion loading ...

Cannabis pro newsletter