In case, if a Sears store nearby has already closed down or is in the process of closing, there is every possibility that the owner of that property will choose to demolish it that finding someone to fill the space up. The department store chain that has got bankrupt, has already confirmed that it will shut down 142 stores by the end of this year. The proceedings related to the matter are on at a bankruptcy court and the future of the organization is still not certain. One likely outcome is complete liquidation. Hence, it would mean that more than 500 additional stores of Sears and Kmart going into the darkness.
The stores of Sears are more than 10,000 square feet and have the capacity to occupy more than one level. There are few chains of the department store or some retailers that are growing today, which would directly fit into space. Some amount of construction will still be needed. A handful of companies have already expressed interest in taking over the real estate of Sears, which is currently getting big on. The shortlist includes the retailer of furniture, At Home, self-storage company U-Haul and Burlington, the off-price chain. The documents that have been filed in Court in the bankruptcy case of Sears show, U-Haul wishes to take up 13 locations from Sears for a valuation of $62 million, which also include 12 stores of Kmart.
There are quite a few owners of malls, who are currently looking to add up apartment complexes, hotels and office spaces next to retail and restaurants at their properties. The landlords even spoke out at the ICSC conference about how they managed to envision co-working and medical facilities move into malls as a replacement for department stores. Of all these, America without any doubt has way too much proportion. The Director of Retail Services at Colliers International, Anjee Solanki said that for any landlord to create from and adapt any old store of Sears, it is a lot more cost prohibitive to make use of the existing space. She feels that it would be a lot more cheap to tear the store down.
