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Metro Group Real to sell eight former Wertkauf/Wal-Mart outlets

According to Lebensmittel Zeitung, Metro Group-owned Real hypermarket chain in Germany intends to sell eight former Wertkauf outlets by the end of this year. It concerns hypermarkets for which the company wants to remain tenant. Additionally, it continues to gradually close underperforming hypermarkets which generate annual losses of up to EUR50 million (USD72.0 million). With the acquisition of the Wal-Mart network in 2006, Real also took over a total of 19 former Wertkauf outlets. Ten of these properties were already sold in spring this year. Experts believe a price of EUR20 million (USD28.8 million) to EUR30 million (USD43.2 million) per outlet is realistic, depending on the condition and investment requirements. Large-sized outlets are due to be reduced, particularly the non-food area. The gained space could be taken over by other companies. The stores in Gießen and Karlsruhe, for instance, will receive Saturn as an additional tenant. In a further step, cuts are planned in the former Wal-Mart network, whereby former Wal-Mart outlets which are near to Real outlets are due to be closed.

www.planetretail.net

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According to Lebensmittel Zeitung, Metro Group-owned Real hypermarket chain in Germany intends to sell eight former Wertkauf outlets by the end of this year. It concerns hypermarkets for which the company wants to remain tenant. Additionally, it continues to gradually close underperforming hypermarkets which generate annual losses of up to EUR50 million (USD72.0 million). With the acquisition of the Wal-Mart network in 2006, Real also took over a total of 19 former Wertkauf outlets. Ten of these properties were already sold in spring this year. Experts believe a price of EUR20 million (USD28.8 million) to EUR30 million (USD43.2 million) per outlet is realistic, depending on the condition and investment requirements. Large-sized outlets are due to be reduced, particularly the non-food area. The gained space could be taken over by other companies. The stores in Gießen and Karlsruhe, for instance, will receive Saturn as an additional tenant. In a further step, cuts are planned in the former Wal-Mart network, whereby former Wal-Mart outlets which are near to Real outlets are due to be closed.

www.planetretail.net

Metro Group Real to sell eight former Wertkauf/Wal-Mart outletsMetro Group, Real, to sell, former, Wertkauf, Wal-Mart, outlets
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Metro Group Real to sell eight former Wertkauf/Wal-Mart outlets
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