The Successful Investor Hotline – Thursday, April 2, 2015

Article Excerpt

PLEASE NOTE: Our next Hotline will go out on Friday, April 10, 2015. RIOCAN REAL ESTATE INVESTMENT TRUST, $29.47, Toronto symbol REI.UN, has agreed to swap some properties with U.S.-based Kimco Realty (New York symbol KIM). Under the deal, RioCan will acquire Kimco’s 50% interests in a mall in Calgary and another in Mississauga for a total of $87.5 million. That will give the trust 100% of both malls, making it easier for it to expand or redevelop them. In exchange, Kimco will buy RioCan’s 80% stake in a Fort Worth, Texas, mall for $58.3 million U.S. To put these figures in context, RioCan’s cash flow was $517 million, or $1.68 a unit, in 2014. It expects to complete these deals in the next few weeks. Separately, electronics retailer Best Buy (New York symbol BBY) has closed 66 of its 131 Future Shop stores in Canada. It will convert the remaining 65 to Best Buy outlets. There are only 10 Future Shops in RioCan’s malls, so…