Activist investors urge Macy’s to create a real estate unit among other changes to boost stock

NEW YORK — Activist investor Barington Capital Group is calling on department store retailer Macy’s to develop an internal real estate subsidiary, reduce capital expenditures, and explore strategic options for its Bloomingdale’s and Bluemercury chains among other changes to boost its slumping stock, according to its proposal made public Monday. They believe Macy’s should create a separate real estate unit to collect market rents from Macy’s retail operations and pursue other asset sale and redevelopment opportunities. “We seek to be value-added stockholders at Macy’s that can bring fresh perspectives to the company, especially in the areas of capital allocation, merchandising and retail, and real estate,” said Joseph Sitt, chairman of Thor, and James Mitarotonda, chairman of Barington, in a joint statement. In a statement, Macy’s said that its board and management team are committed to “delivering sustainable, profitable growth and driving shareholder value.” “We have consistently demonstrated open-mindedness, including with respect to regularly reviewing the company’s strategy and capital allocation framework and exploring all paths to enhance value,” the company said Monday.