By Chelsey Dulaney

Macy's Inc. on Friday lowered its 2015 profit guidance, citing a shift in when the retailer will book a gain related to the redevelopment of a Brooklyn store.

Macy's shares fell 1.3% in premarket trading.

Macy's is redeveloping its Fulton Street location with Tishman Speyer, which has bought a portion of the store and parking facility for $270 million. The company had expected to book a $250 million gain from the transaction in its fourth quarter. But it now expects to book just $86 million of the gain in the quarter and the rest in the 2016 and 2017 fiscal years.

As a result, Macy's now expects adjusted 2015 earnings of $3.54 to $3.59 a share, down from its forecast of $3.85 to $3.90 a share given earlier this month. Those forecasts exclude charges related to its cost-cutting plans unveiled earlier this month and store closings.

For the fourth quarter, Macy's is expecting adjusted earnings of $1.85 to $1.90 a share, down from its earlier guidance of $2.18 to $2.23.

Write to Chelsey Dulaney at Chelsey.Dulaney@wsj.com

(END) Dow Jones Newswires

January 29, 2016 09:25 ET (14:25 GMT)

Copyright (c) 2016 Dow Jones & Company, Inc.
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