JCPenney, who filed for bankruptcy just last month, has recently announced that they will close 150+ stores this coming summer, starting June 12. The retailer said they expect store closings to last between 10-16 weeks, with additional closings to be announced.
“While closing stores is always an extremely difficult decision, our store optimization strategy is vital to ensuring we emerge from both Chapter 11 and the COVID-19 pandemic as a stronger retailer with greater financial flexibility to allow us to continue serving our loyal customers for decades to come,” Chief Executive Officer Jill Soltau said in a statement.
Despite JCPenney’s recent announcement, SREG remains optimistic. With potential closures on the horizon, we make it our priority to be proactive about the situation to ensure we can lessen the impact at our properties.
“It’s unfortunate, and undoubtably a difficult decision for JCPenney to close stores”, said Carmen D. Spinoso, Chairman and CEO of Spinoso Real Estate Group. “However, despite the announcement, we firmly believe this will open new, and much needed, opportunities for large-footprint and big-box spaces.”
“We’re seeing a significant demand in markets for unique entertainment and alternative at-mall uses requiring anchor-size square footage. Our leasing team has been actively negotiating with established and emerging concepts. We believe Penney’s closures will create opportunities to bring fresh uses to our portfolio and the markets we serve,” the CEO stated, adding, “We also hope that JCPenney is able to strengthen its brand and successfully operate the remainder of its fleet for many years to come. We look forward to working with JCPenney as opportunities arise to help them succeed through further improving malls where they maintain a presence.”
Source: JCPenney Press Release – 6/4/20, JCPenney Bankruptcy Filing – 5/15/20
Photo Credit: JCPenney Final Countdown – 5/11/20
J.C. Penney Company, Inc. (NYSE: JCP), one of the nation’s largest apparel and home retailers, combines an expansive footprint of approximately 850 stores across the United States and Puerto Rico with a powerful e-commerce site, jcp.com, to deliver style and value for all hard-working American families. At every touchpoint, customers will discover stylish merchandise at incredible value from an extensive portfolio of private, exclusive and national brands. Reinforcing this shopping experience is the customer service and warrior spirit of nearly 90,000 associates across the globe, all driving toward the Company’s mission to help customers find what they love for less time, money and effort. For additional information, please visit jcp.com.