Menomonee Falls, Wis. Kohlâ€™s Corp. said it is accumulating cash to absorb locations abandoned by shrinking or defunct retailers, according to a report on Bloomberg.
Kohlâ€™s chairman and CEO Kevin Mansell said any store takeovers would come on top of as many as 25 new locations Kohlâ€™s already plans to build for next year at a cost of about $275 million.
â€śNobodyâ€™s come to us and said they want to sell us 50 stores, but I suspect itâ€™s going to happen,â€ť Mansell said. â€śWe want to be in a position to act.â€ť
Gottschalks, Goodyâ€™s and Mervynâ€™s bankruptcies have left plenty of real estate from which to choose. Mansell said Kohlâ€™s has taken over 30 former Mervynâ€™s sites in California, which staged grand openings on Wednesday.
The cost to convert each former Mervynâ€™s was about $7 million, while it takes about $11 million to build a store from scratch, Mansell said.
In related news, among Kohlâ€™s store openings on Wednesday was the companyâ€™s 59th California solar location. The new Point West store in Sacramento is also the 79th solar location nationwide for Kohlâ€™s.
â€śEnergy efficiency and green power are key business and environmental strategies for Kohlâ€™s, and we continue to work to make them an integral part of building and expansion efforts,â€ť said Ken Bonning, Kohlâ€™s executive VP store planning and logistics. â€śOur solar program is a hallmark of our green power efforts, and weâ€™re continuing to expand it because it demonstrates our commitment to sustainability and improving the environment directly in the communities we serve.â€ť