Forest City to consider disposing of retail assets
Forest City Realty Trust may be on its way to having a greatly reduced investment in the mall industry and a bigger one in apartments and office assets.
The Cleveland-based firm announced it is reviewing strategic alternatives for its retail portfolio. Forest City holds ownership stakes in 14 regional malls across the country and 19 specialty retail centers, mostly in New York City. The East River Plaza, which fronts the FDR Drive in Manhattan at 116th Street, is a Forest City property.
Forest City said it expects the review to be finished by first quarter 2017.
“We intend to look at a range of options and expect the review process to be concluded by the first quarter of 2017. Assuming we identify and transact on a chosen alternative, or alternatives, our intent would be to redeploy the value from our retail portfolio into apartment and office assets that align with our focus on core markets and urban, mixed-use place-making projects,” stated David J. LaRue, president and CEO, Forest City.
The Cleveland-based company does, however, intend to retain its stake in the Ballston Quarter (formerly Ballston Common Malli) in Arlington, Virginia, which is being redeveloped into an urban mixed-use project that will include retail.
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