REAL ESTATE

Gap to close 200 U.S. stores, will expand outlets

BY Katherine Boccaccio

San Francisco — At an investor conference on Thursday, Gap CEO Glenn Murphy announced the company will close 200 of its 900 U.S. namesake stores even as it expands its outlet presence.

While the company did not identify which stores will close, Gap said the 200 Gap brand closures over the next two years will be accompanied by a push to expand its Gap Outlet and Banana Republic factory chains.

At the Piper Jaffray investor conference, Murphy said he believes the company can recapture operating margins of 13.4%, which it saw in 2010. Operating margins were 8.5% in first quarter 2011.

Murphy also outlined a plan for Gap Inc. to shift from being primarily a specialty retailer in North America to being more of a value player. In addition to closing 200 Gap brand stores, Gap will grow its Gap Outlets to about 250 stores, a net addition of 50 or 60 stores. It will grow its Banana Republic Factory store count to about 150, a net addition of about 40 stores.

"The economic model of Outlet is the highest return on capital and is where customers gravitate," Murphy said in the meeting. "Everywhere around the world there’s a way to put the value expression of the brand."

The Athleta brand is slated for expansion, with 10 stores scheduled to open by year-end 2011 and ready to “explode” the brands’ real estate opportunities in 2012 and beyond, said Murphy.

Murphy also said that he would dramatically reduce the number of vendors with whom Gap works, including working more directly with mills, in an effort to secure better prices and a faster, more flexible pipeline.

keyboard_arrow_downCOMMENTS

Leave a Reply

No comments found

TRENDING STORIES

Polls

Are you hiring seasonal employees this year?

View Results

Loading ... Loading ...
REAL ESTATE

Top 10 countries for retail expansion

BY Marianne Wilson

New York City — Brazil jumped to first place in A.T. Kearney’s annual ranking of the top developing economies for global retail expansion, followed by Uruguay and Chile respectively.

The 10th annual Global Retail Development Index reflects the dramatic changes that have taken place in global markets, and the varying impacts they have had on different emerging economies. Notably, countries in South America, which fared well during the recession, posted an impressive 6% growth in 2010.

Here are the Top 10 countries for global retail expansion, as ranked by GRDI:

  1. Brazil
  2. Uruguay
  3. Chile
  4. India
  5. Kuwait
  6. China
  7. Saudi Arabia
  8. Peru
  9. U.A.E.
  10. Turkey

The key learning from an analysis of the last 10 years is that global retail expansion is a portfolio game: Retailers must have an optimal mix of countries, formats and operating models to succeed, according to the report.

"The past 10 years of experience in global retailing shows that there is no ‘one size fits all’ formula for global expansion,” said Hana Ben-Shabat, A.T. Kearney partner and co-leader of the study. “Different countries are at different levels of development and have different risk/return profiles, which require retailers to tailor their approaches accordingly and assemble a portfolio of markets to balance short-term risk with long-term growth aspirations."

A.T. Kearney’s Global Retail Development Index ranks 30 emerging countries on the urgency for retailers to enter the country. The scores are based on 25 variables across four primary categories: economic and political risk; market attractiveness; market saturation; and time pressure (difference or addition between gross domestic product and modern retail area growth). A detailed analysis and country-specific results for the 2011 GRDI is available at grdi.atkearney.com.

keyboard_arrow_downCOMMENTS

Leave a Reply

J.Markars says:
Jun-14-2013 05:21 am

Excellent and decent post. I found this much informative, as to what I was exactly searching for. Thanks for such post and please keep it up. click here

J.Markars says:
Jun-14-2013 05:21 am

Excellent and decent post. I found this much informative, as to what I was exactly searching for. Thanks for such post and please keep it up. click here

J.Miky says:
Apr-24-2013 10:38 am

Your table are too sword like to feature and relaxed to see. small business

J.Miky says:
Apr-24-2013 10:38 am

Your table are too sword like to feature and relaxed to see. small business

F.Porker says:
Apr-19-2013 03:48 am

was about to say something on this topic. But now i can see that everything on this topic is very amazing and mind blowing, so i have nothing to say here. I am just going through all the topics and being appreciated.Free Cell phone spy cell phone spy software

F.Porker says:
Apr-19-2013 03:48 am

was about to say something on this topic. But now i can see that everything on this topic is very amazing and mind blowing, so i have nothing to say here. I am just going through all the topics and being appreciated.Free Cell phone spy cell phone spy software

J.Miky says:
Apr-18-2013 08:19 pm

Actually the blogging is spreading its wings rapidly. Your write up is a good example of it. click here

J.Miky says:
Apr-18-2013 08:19 pm

Actually the blogging is spreading its wings rapidly. Your write up is a good example of it. click here

alex12 says:
Apr-17-2013 10:24 am

The added bonus is that we can ensure that associates will spend more time on the floor offering customer service rather than looking for things in the stockroom.uk magazine distributors

K.Williamson says:
Apr-17-2013 09:10 am

Thanks for sharing amazing article. i am very glad to your work. you give me nice and helpful information keep it up. keep it good posting. i wait your next post. visit signage Dubai provide cheap solution Indoor Signage and give other signs solution Outdoor signage services.

K.Williamson says:
Apr-17-2013 09:10 am

Thanks for sharing amazing article. i am very glad to your work. you give me nice and helpful information keep it up. keep it good posting. i wait your next post. visit signage Dubai provide cheap solution Indoor Signage and give other signs solution Outdoor signage services.

alex12 says:
Apr-15-2013 10:08 am

Did you retain out a developer to set-up your theme? Excellent work! network support

J.Miky says:
Apr-14-2013 09:57 am

I am a sophomore in High school and I am planning to be a psychiatrist. This is my dream job. Urban Vista

J.Miky says:
Apr-14-2013 09:57 am

I am a sophomore in High school and I am planning to be a psychiatrist. This is my dream job. Urban Vista

alex12 says:
Apr-13-2013 02:58 pm

It is aimed at air quality, and the particles and smog that are present in the air..Faltrad

J.Lavoro says:
Apr-09-2013 04:21 pm

I am sure that the visitors who visit this site will also be enjoying reading the posts. Waiting for new posts from you to be posted in this site. ads dating

J.Lavoro says:
Apr-09-2013 04:21 pm

I am sure that the visitors who visit this site will also be enjoying reading the posts. Waiting for new posts from you to be posted in this site. ads dating

J.Miky says:
Apr-07-2013 09:07 am

Your table are too sword like to feature and relaxed to see. go to this website

J.Miky says:
Apr-07-2013 09:07 am

Your table are too sword like to feature and relaxed to see. go to this website

J.Miky says:
Apr-03-2013 11:11 am

Tips for search engine optimization. Thanks for it.paypal limited

J.Miky says:
Apr-03-2013 11:11 am

Tips for search engine optimization. Thanks for it.paypal limited

J.Miky says:
Apr-02-2013 11:48 am

You really make it seem so easy with your presentation but I find this topic to be really something which I think I would never understand.photo printer reviews

J.Miky says:
Apr-02-2013 11:48 am

You really make it seem so easy with your presentation but I find this topic to be really something which I think I would never understand.photo printer reviews

alex12 says:
Apr-01-2013 12:38 pm

I have been gaining a lot of usable and exemplifying stuff in your website. buy loose diamonds

alex12 says:
Mar-29-2013 11:22 am

All of us were put into teams of ten. I ended up in the Team Titans, a fun-loving and talented team. Florida CPA

J.Miky says:
Mar-28-2013 10:36 am

I have browsed most of your posts. This post is probably where I got the most useful information for my research.luminox watches

J.Miky says:
Mar-28-2013 10:36 am

I have browsed most of your posts. This post is probably where I got the most useful information for my research.luminox watches

alex12 says:
Mar-26-2013 02:23 pm

Please add good information that would help others in such good way.This post is exactly what I am interested. we need some more reliable information.florida accountant

J.Miky says:
Mar-26-2013 10:08 am

I see the superlative contents on your blogs and I perfectly enjoy going through them. miniature schnauzer

alex12 says:
Mar-26-2013 09:22 am

I always love to make addition to my knowledge and this one really fulfills my need.TGI Fridays

J.Miky says:
Mar-26-2013 10:08 am

I see the superlative contents on your blogs and I perfectly enjoy going through them. miniature schnauzer

alex12 says:
Mar-25-2013 11:36 am

Your list gives me many creational ideas that I can perhaps use on my web tender too. average iq

J.Miky says:
Mar-24-2013 09:22 am

Thank you for some other informative blog. Where else could I get that type of information written in such an ideal means.procerin

J.Miky says:
Mar-24-2013 09:22 am

Thank you for some other informative blog. Where else could I get that type of information written in such an ideal means.procerin

alex12 says:
Mar-23-2013 10:19 pm

If the credit card usage is allowed, the merchant receives an authorization code. These codes correspond specifically to each transaction. London Piano Institute

alex12 says:
Mar-21-2013 01:39 pm

I conceive feeling to have the accumulation that you are card. London Piano Institute

J.Miky says:
Mar-13-2013 10:04 am

But I have to say that is a good site.Click here

alex12 says:
Mar-13-2013 09:52 am

And accomplish you abiding that i will bookmark your post how ever i can appear a back latter.videopokies4u.com

J.Miky says:
Mar-13-2013 10:04 am

But I have to say that is a good site.Click here

alex12 says:
Mar-11-2013 08:39 pm

I have a presentation incoming week, and I am on the lookout for such information. Boca Raton Plumber

alex12 says:
Mar-08-2013 10:10 pm

I definitely enjoying every little bit of it I have you bookmarked to check out new stuff you post nice post, thanks for sharing.movie2k

J.Miky says:
Mar-06-2013 06:52 pm

I’m inspired with the surpassing and preachy listing that you furnish in such little timing.bags online

J.Miky says:
Mar-06-2013 06:52 pm

I’m inspired with the surpassing and preachy listing that you furnish in such little timing.bags online

alex12 says:
Feb-23-2013 05:42 pm

I am very impressed with the knowledge you are posting here. Thanks for sharing and let us know more about new releases. Thank you for taking the time to share this valuable research with everyone. goldprice

alex12 says:
Feb-17-2013 11:29 am

I am very happy to find this post very useful for me, as it contains lot of information. I always prefer to read the quality content and this thing I found in you post. sbobet

A.Naveen says:
Feb-16-2013 08:33 am

What is the basis on which Brazil has been place on the list of top ten countries for retail expansion? Does anyone know anything about it? If so please share the details. Thanks in advance.visit the site

A.Naveen says:
Feb-16-2013 08:33 am

What is the basis on which Brazil has been place on the list of top ten countries for retail expansion? Does anyone know anything about it? If so please share the details. Thanks in advance.visit the site

M.Donovan says:
Feb-01-2013 11:53 am

Seems that there are some important countries in this situation! It is somehow strange! best man speech

M.Donovan says:
Feb-01-2013 11:53 am

Seems that there are some important countries in this situation! It is somehow strange! best man speech

S.Ban Be says:
Jan-28-2013 10:47 am

This post is great and i found a good game for relax. it is iwin and tai iwin is free. You can play any where, any time because it is game on mobile and have a lot people play it. Hope you can enjoy

S.Ban Be says:
Jan-28-2013 10:47 am

This post is great and i found a good game for relax. it is iwin and tai iwin is free. You can play any where, any time because it is game on mobile and have a lot people play it. Hope you can enjoy

M.Misiek says:
Dec-01-2012 01:50 pm

Każdy kto ciekawi się specjalnością search engine optymalisation zdaje sobie katalog stron sprawę jak ważne jest pozyskiwanie odsyłaczy wielce ogromnej jakości. Nasz katalog stronek pomimo wieku jest schludny oraz moderowany. Należałoby katalog stron umieścić wpis w takim katalogu stron internetowych tak długo jak jest darmowy. Ciekawą możliwością jest umieszczenie wpisu wyróżnionego, pojedynczym wymogiem jest opublikowanie odnośnika zwrotnego do naszego sensacyjnego katalogu. Wpis zaakcentowany doniośle uniesie widzialność Twojej firmy w efektach szukania. Nasz katalog stronek internetowych jest postawiony na wyśmienitym skrypcie SEOkatalog. suknie ślubne częstochowa

M.Misiek says:
Dec-01-2012 01:50 pm

Każdy kto ciekawi się specjalnością search engine optymalisation zdaje sobie katalog stron sprawę jak ważne jest pozyskiwanie odsyłaczy wielce ogromnej jakości. Nasz katalog stronek pomimo wieku jest schludny oraz moderowany. Należałoby katalog stron umieścić wpis w takim katalogu stron internetowych tak długo jak jest darmowy. Ciekawą możliwością jest umieszczenie wpisu wyróżnionego, pojedynczym wymogiem jest opublikowanie odnośnika zwrotnego do naszego sensacyjnego katalogu. Wpis zaakcentowany doniośle uniesie widzialność Twojej firmy w efektach szukania. Nasz katalog stronek internetowych jest postawiony na wyśmienitym skrypcie SEOkatalog. suknie ślubne częstochowa

TRENDING STORIES

Polls

Are you hiring seasonal employees this year?

View Results

Loading ... Loading ...
REAL ESTATE

Readers Speak Out: What was your key takeaway from RECon 2011?

BY CSA STAFF

In the May 26 edition of SiteTalk, we asked the question, "Did you attend RECon 2011 in Las Vegas this week? If so, what was your key takeaway from the show?" This is what several readers had to say:

"It was a very positive environment. Many commented that instead of just talking about deals (like the last couple of RECons), deals were actually getting done, finished, signed. New projects are still on the horizon, but at least they look visible from here; and vacancy in most markets (although still a challenge depending on size and geography), is coming down, with rates seeing some stability.

The overall RECon schedule seemed to have wide support and the many new initiatives appeared to be well received."

— John B. Gabriel, SCLS & ICSC Western Division Retail Chair
Senior VP of Real Estate
LA | FITNESS International, LLC
Irvine, Calif.

"Yes, I attended, and the key thing I took away was the renewed optimism and energy in the industry. The attendees this year have survived the worst downturn in decades and are now prepared to thrive in the decade ahead. I talked serious deals with serious developers. And yes development is making a cautious comeback."

— Faith Hope Consolo
Chairman
Retail Leasing, Marketing and Sales Division
Prudential Douglas Elliman
New York, NY

"I regularly attend the Las Vegas RECON and NY Dealmakers events. I went to the Philadelphia idea exchange last year as well. I had a great time in Las Vegas this year. I attended a lot more ICSC based programming this year. Many of the Special Interest Group programming was outstanding. I had the chance to network with both more experienced brokers as well as newer brokers. It was great hearing about leasing difficulties everyone faces these days.

From the show, there seemed to be a lot more optimism on the floors this year vs. 2010 or 2009. However, it looked like attendance was down this year vs. the last few. Though, if you ask ICSC they will say attendance was either more or same.

Many people I spoke to prior to going said they were not going to be attending, and these were good party friends! Sigh, I had to find new drinking friends!

The Marcus & Millichap Retail event at the Renaissance was terrific ! Hassan Nadji is brilliant! The basic gist from this was that the next 2 years are going to be like the last 2 quarters – better than dead, but not robust. Key indicators that were discussed: employment numbers are better than expected, energy costs are worse than expected, construction is dead, availabilities in port and coastal towns is starting to becoming sparse, while middle America is suffering more.

The NAI Global Retail Network meeting was very informative and very on point. Listening to actual market conditions on a city by city basis was great.

On the floor, tenants were ready to wheel and deal. This was good. Though, it seemed like there any more retail booths this year vs. last or NY.

Even the parties were better, and there were certainly more of them to attend. I found myself at 3 on Monday and 2 on Tuesday. The NY Developers party was again – amazing. Things I found interesting: Who or what now owns Newmark Knight? No one knows. A few town planners I ran into asked how they could boost their towns.

On the whole, it was a positive show…."

— Lou Klein
Retail Broker
NAI Friedland
Yonkers, N.Y.

keyboard_arrow_downCOMMENTS

Leave a Reply

No comments found

TRENDING STORIES

Polls

Are you hiring seasonal employees this year?

View Results

Loading ... Loading ...