Sears Canada to divest 50% JV interest in The Westcliff Group properties

11 November 2013 (Last Updated November 11th, 2013 18:30)

Multi-channel retailer Sears Canada announced that it has entered into a definitive agreement with Montez Income Properties to divest its 50% joint venture interest in eight properties owned with The Westcliff Group of Companies (‘Westcliff’) for nearly $315m.

Multi-channel retailer Sears Canada announced that it has entered into a definitive agreement with Montez Income Properties to divest its 50% joint venture interest in eight properties owned with The Westcliff Group of Companies (‘Westcliff’) for nearly $315m.

The properties are comprised of four regional shopping centres, two strip centres and two open-format retail centres. Westcliff will continue as 50% owner and exclusive manager of the properties.

Sears stores that are currently situated on these properties will remain in operation, with no impact on customers or associates.

Sears Canada president and chief executive officer Doug Campbell said," the joint venture assets we are selling to Montez impact neither our store operations nor our ability to serve customers.

As such, our primary focus in creating long-term value remains on the basics of the business and continuing to become more relevant with Canadians coast to coast."

Sears Canada president and chief executive officer Doug Campbell said the transaction will not have any impact on the company’s store operations or its ability to serve customers.

"As such, our primary focus in creating long-term value remains on the basics of the business and continuing to become more relevant with Canadians coast to coast," Campbell added.

The agreement is subject to customary closing conditions including site investigations and financing, the company said. The transaction is scheduled to close on 8 January 2014.

Sears Canada is a multi-channel retailer with a network that includes 181 corporate stores, 246 hometown dealer stores, over 1,400 catalogue merchandise pick-up locations, 101 Sears Travel offices and a nationwide home maintenance, repair, and installation network.