New York City Costco Wholesale Corp. plans to take advantage of the struggling real estate market to open stores this year, even as its sales decline due to the spending slowdown, its chief executive said on Thursday, Reuters reported.
"We're getting better deals on real estate," Costco's CEO Jim Sinegal said at a media event in Portland, Ore. "People who didn't want to talk with us about shopping center sites now want to talk with us."
Costco will open stores at its normal rate of 25 to 30 per year "depending on real estate," according to Sinegal.
The chain is also tweaking its product mix to keep up with today’s frugal-minded consumers.
"We normally carry 600 thread count sheets, and they are great sheets," Sinegal said. "We just put in a 300 count, and it blew off the shelves. It is half the price of the 600 count. We were kind of hesitant about it, but clearly customers are looking for those types of values."