Report: Target and developers buy site in New York City’s Bronx borough
New York City — Target has partnered with two local developers to purchase a 7.9-acre United States Postal Service site in the Throgs Neck section of Bronx, N.Y., for $35.2 million, where they plan to build a 300,000-sq.-ft. mall, according to New York Read Estate News.
The acquisition of the site went into contract in November and closed Feb. 11, the report said. The owner was listed as Lafayette Nominee Owner LLC, with an address at Target’s corporate headquarters in Minneapolis. Target joined with retail developers PA Associates, based in Midtown and Simone Development, based in Westchester, to buy the site, according to the report. Target would own its own portion, and the rest would be leased to other tenants.
Ascena Retail Group’s Q2 income nearly doubles
Suffern, N.Y. — Ascena Retail Group’s fiscal second-quarter net income nearly doubled to top expectations, buoyed by solid results at its Justice stores.
The company, formerly The Dress Barn, reported net income of $42.5 million for the quarter, up from $21.7 million last year.
Revenue for the period ended Jan. 29 was up 27% to $752.2 million, better than the Street’s $716.2 million estimate. Same-sale sales rose 9%.
By division, Dress Barn same-store sales inched up 1%. The figure rose 17% for Maurices and 11% for Justice.
Target had advantage in Kantar Retail’s pricing survey
New York City — While Walmart and Target continue to closely contend on price, Target’s basket price came in less expensive in the latest semi-annual pricing study by Kantar Retail.
“Walmart’s price positioning reveals that it has largely returned to a blanket EDLP approach, while Target’s TPC positioning is centered on price promotions to drive guests’ impressions and achieve actual basket price leadership,” said Leon Nicholas, senior VP of Retail Insights for Kantar Retail and contributor to the study.
The survey, which Kantar Retail conducted in January, compares co-located Walmart and Target stores in northeast Massachusetts on a basket of branded consumable products to determine which retailer offers the best price. The survey also measures private-label pricing strategies and provides insights into the retailers’ pricing competitiveness and reveals implications for suppliers.
In the survey, Target’s overall branded basket was 2.8% less expensive than Walmart’s, driven by the HBA sub-basket results. However, Walmart’s edible and non-edible grocery sub-baskets came in just below Target’s.
Other results include:
About one-fourth of Target’s basket items registered 10% (or more) less expensive than Walmart’s, a noticeable increase over previous evaluations.
In contrast, fewer than 15% of Target’s basket items were 10% – 30% more expensive than Walmart’s and none were priced at or above 30% over Walmart, representing a shift since the past two studies.