One Vancouver billionaire – Ruby Liu – is dominating the news. She’s working on some very ambitious plans to obtain leases from Hudson’s Bay. Last month, she won court approval for her first purchase. Now, she’s set to grow her commercial real estate portfolio, having added an extra 25 leases within arms reach. Hudson’s Bay is finding its way through its own creditor protection proceedings. The company continues to sell individual store properties ever since terminating all retail operations.
Liu’s journey started when Hudson’s Bay Company announced they were selling their leases this past spring. This came in the wake of the company applying for creditor protection. This calculated consolidation targeted efficiencies and deficit recovery. Liu, who already owns several malls including Woodgrove Centre in Nanaimo, Mayfair Shopping Centre in Victoria, and Tsawwassen Mills in Delta, stepped into the bidding process with significant interest.
Legal Hurdles and Court Approvals
The ruby-ling Ruby Liu agreed to terms to buy three leases for $6 million, which won court approval last month. With this approval, the leases were formally transferred back to her, letting her start implementing her plans. Recently, she attempted to bid on and win 25 more leases. Landlords argued back, saying she hasn’t stepped forward with an actionable and fleshed out business plan to date.
A court hearing to finalize Liu’s settlement deal ran into problems when she showed up unscheduled without counsel or a case file. Judge Peter Osborne, who oversaw the hearing, voiced his dismay at Liu’s lack of preparation. He stated,
“I not only urge but recommend in the strongest terms”
the importance of bringing on a boundary lawyer to help her navigate the process and better represent her interests, and lay out her vision for the leases.
Amid procedural chaos, the hearing was cut short and postponed until August 28. In this next session, we’ll dig deeper into what makes Liu’s proposed acquisitions so controversial.
Hudson’s Bay’s Ongoing Restructuring Efforts
At the same time, Hudson’s Bay presses ahead with its own restructuring under creditor protection. To that end, the corporation is currently pursuing a triple extension on its protection status. They seek to extend the current deadline of July 31 to October 31. This extension will give both more time to finalize sales and get operations on a more stable new footing.
Hudson’s Bay has finalized agreements of purchase and sale for 6 store locations. Many of these places are soon to be replaced with stores owned by Liu. She plans to launch an upscale department store chain under her name. This goal is one of many accomplishments that highlight her ambition to sculpt a firm retailing influence in British Columbia.
As these changes play out, the dramatic standoff between Ruby Liu and the real estate magnates fighting her deals is still front and center. The next court hearing on February 13 will be key. It will determine whether Liu is free to implement her vision, or encounter further legal opposition that could stymie her advancement.
