Sobeys Pockets $1B In Grocery Store Sale To Canadian REIT

Law360, New York (July 25, 2013, 1:25 PM EDT) -- The parent company of Canadian grocer Sobeys Inc. has sold 68 stores formerly owned by rival Safeway Inc. to Crombie Real Estate Investment Trust for CA$990 million (US$961.6 million) to help finance its $5.7 billion purchase of Safeway's Canadian operations, Sobeys said Wednesday.

The groceries sold to Crombie are all located in western Canada, according to Sobeys and its parent Empire Co. Ltd. The stores have a combined 3 million square feet of gross leasable space.

Sobeys will lease the stores back from Crombie, completing a...
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