A Brooklyn, N.Y.-based Sears store that originally opened its doors in 1929 now houses a 10,000 square-foot Kmart store. The Kmart site is home to “grab-and-go items for the busy city shopper,” the blog said, referring to groceries, health and beauty and cleaning supplies.
Sears lauds it as “another example of the company’s transformation as Sears Holdings evaluates how to best serve members.” While skeptics might see it as a way to repurpose extraneous retail space, Sears sees it differently.
B.J. Naedele, chief commercial officer of Shop Your Way, said, “We are always listening to our members to understand how we can better serve their needs. We feel like this store is a great location for this new concept.”
Naedele explained that the store “sits in the heart of Brooklyn, and will be a great option for that busy city shopper. Our stores are integral to the local communities, so it’s only natural for us to find new and better ways to connect with our members while accelerating the transformation of our business.”
The store is located at 2307 Beverley Road. The site appears to be the first time the two sister brands are being operated out of the same location. And the test could pave the way for more such sites, not to mention a Sears presence at some Kmart locations in the future. Sears has been shuttering underperforming stores, and likely would continue to do so as it periodically reviews its store base. Combining the two nameplates allows Sears Holdings to try to keep both nameplates relevant in consumers’ minds..
The company earlier this month said in a regulatory filing that it has consolidated three loans totaling $593 million, secured by 69 real estate assets owned by Sears. The new due date is July 20, 2020. The retailer also received an advance of $186 million, bringing the total loan debt owed to $779 million, according to a filing with the Securities and Exchange Commission on June 4.