Gottschalks Inc. said Thursday it inked an agreement to sell a Palmdale, Calif., store to Forest City Enterprises, a real estate management and development company. The Fresno, Calif.-based chain, which operates 58 department stores, expects the deal for the 105,000-square-foot store in the Antelope Valley Mall to close in the third quarter and will use the proceeds to pay down debt and increase availability under its credit facility. Gottschalks leases a 92,000-square-foot unit at the same mall and will consolidate operations into the smaller store.
This story first appeared in the July 25, 2008 issue of WWD. Subscribe Today.