Sears Closer To Goal Of Becoming Landlord, Leases Parts Of Seven Stores To Primark

Back in June, we pointed out something interesting about Sears and Kmart: part of the company’s amazing comeback plan is to rent or sell any stores that it can. Vacant buildings seek new owners or tenants, and stores that will remain in business want to sublet part of their space to a roommate to keep the lights on. Today, Sears announced that they’re renting seven spaces to Primark, shutting down one department store to rent out instead.

The massive former Sears store at the King of Prussia Mall in the Philadelphia suburbs announced earlier this year that it would rent out “a portion of its second floor” to Dick’s Sporting Goods. Apparently, that is working out quite well, because Sears announced today that they’re renting out the rest of the anchor space and closing their store.

“These lease agreements with Primark illustrate how Sears Holdings is strategically transforming one of the largest retail real estate portfolios in the United States over time while continuing to operate its existing stores in large, but rationalized selling space,” Jeff Stollenwerck, President of Real Estate for Sears Holdings. Except in King of Prussia. Forget about that store: rent it out instead.

Sears doesn’t own the building at the King of Prussia Mall, but instead is subleasing their space to Dick’s and Primark. Presumably, their tenants will take over the lease at the end.

Only two of the planned Primark locations have been announced so far: the other is in the Sears store in Staten Island, NY. These renovated spaces will open sometime in the next year and a half.

Sears Holdings Announces Seven Lease Agreements With Primark [Sears Holdings]

by Laura Northrup via Consumerist