Chicago -- Jones Lang LaSalle announced Wednesday that The Kroger Co. is undertaking an initiative with JLL to conduct a strategic review of a group of its retail assets, in tandem with Kroger’s divisional real estate teams, to explore optimization strategies for a select portfolio of operating stores.
In addition, Jones Lang LaSalle has been selected, among others, to participate in developing disposition strategies for a portion of the retailer’s closed store portfolio.
Jones Lang LaSalle said it has been assigned to manage the disposition of a group of Kroger closed stores as part of a strategy to either sell or lease the buildings toward reducing costs. Kroger is also evaluating purchasing stores in key locations in order to provide long-term stability within core markets.
The initiative also includes evaluating debt loads and working with lenders and special servicers on Kroger’s behalf.
“A restructuring program of this magnitude benefits all of the stakeholders -- the consumer, the tenant and the landlord,” said Emil Gullia, CCIM, VP, Jones Lang LaSalle.