Sears announces 20 more closings, including Harlem Avenue store
Jun 24 2017
Sears Holdings Corp. will terminate leases for 20 unprofitable stores with landlord Seritage Growth Properties, part of cost cutting measures as the struggling retailer tries to shore up its business.
Those closings - including 18 Sears and two Kmart stores - follow 150 stores Hoffman Estates-based Sears shuttered in the first quarter of this year and another 66 expected to close by early September.
"Sears Holdings continues to actively manage our real estate portfolio to identify additional opportunities for reconfiguration and reduction of capital obligations", Sears said in a statement. The company did not give details as to which stores are closing.
The only Chicago-area store among the 20 closing is on North Harlem Avenue in Galewood, Riefs said. Collins, CO Sears Appliances store past year - a location the company says "has surpassed projections". Kohl's and J.C. Penney will also benefit from the closures, (even though J.C. Penney is also shuttering underperforming locations), with J.C. Penney particularly benefiting from Sears closures due to their customer overlap.
Sears Canada Inc. and certain of its subsidiaries have been granted an order from the Ontario Superior Court of Justice under the Companies' Creditors Arrangement Act (CCAA). "We continue to evolve to provide shoppers with more choices at their shopping mall", said Mary Mokwa, Southridge's general manager.
"We are making progress with the fundamental restructuring of our operations that we initiated in February", Edward S. Lampert, chairman and CEO of Sears Holdings, said in a news release.
In April, Seritage, a developer that controls about 250 Sears Holdings properties across the USA, said it was seeking new tenants to take over some of the space at five Sears and Kmart stores in Maryland.