Atlantic Yards/Pacific Park Report

When earlier this year I wrote about  Forest City Realty Trust (FCRT), parent of Forest City New York, indicated that the real estate investment trust (REIT) was considering a potential sale or merger, I said it was in response to harsh letters from the hedge fund Land and Buildings. However, I only referenced the first two letters but not the third, from 4/25/17, which, as Bloomberg put it, "said Forest City would attract numerous bidders if it put itself up for sale." Ok, here's  the letter  (also at bottom), with emphasis added, headlined "Land and Buildings Calls on Forest City Realty Trust to Form Special Committee to Evaluate Strategic Alternatives": Dear Fellow Forest City Realty Trust Shareholders: It appears to be business as usual at Forest City despite the announcement of two new director additions. Regrettably for shareholders, that means the Ratners are maintaining their grip on Forest City and the composition of our Board of Directors. The a...

On 4/24/17, Forest City Realty Trust " announced the appointment of Z. Jamie Behar, CFA, and the nomination of Craig Macnab, two highly qualified and accomplished real estate executives with significant board experience, to serve on its Board of Directors." Behar, joining the board immediately, will fill the vacancy created when Bruce Ratner, executive chairman of Forest City's New York subsidiary, left the board at the end of 2016. As I suggested , the lack of encomia toward Ratner suggested the company was not super-pleased with the performance under Ratner. Macnab, an independent director, would succeed Stan Ross, who won't stand for re-election at Forest City's upcoming, if unscheduled, annual meeting. Activist investor still pushing That makes eight of 13 board members independent-- enough for the main activist investor, Scopia Capital, but not so for a smaller, feistier activist investor,   Land and Buildings Investment Management , which yesterday i...