Private equity firm Onyx Partners is reviving its bid to acquire the real estate beneath 117 JCPenney stores across the country. The firm is offering $934 million for the properties, which are currently owned by Copper Property CTL Pass Through Trust.

Background

The proposed deal is the latest chapter in JCPenney’s years-long effort to reshape its business following its 2020 bankruptcy. The retailer has been working to sell off its real estate assets, and Onyx Partners’ bid is the latest development in this process.

According to Retail Dive, the bid includes stores across 35 states, with the largest concentrations in Texas and California. JCPenney says that shoppers should see little immediate impact from the potential sale, as the stores operate under long-term lease agreements.

Potential Impact

While the sale would transfer ownership of the properties, it would not change the nature of JCPenney’s long-term leases on these locations. However, documents tied to the sale show that there could be exceptions, with six properties including landlord termination rights that could allow a JCPenney lease to be ended with two years’ notice.

Original reporting: Las Cruces Sun News (HLL/CB) — read the source article.