Kansas City Faces Big Lots Auction Amid Bankruptcy Sale
Kansas City is buzzing with updates this week as Big Lots, the popular discount retailer, initiates an auction process for several of its store leases amidst navigating through Chapter 11 bankruptcy. This restructuring aims to better position the brand for a potential sale, and locals might see some real deals coming their way!
What’s Happening?
On Monday, Big Lots officially filed for bankruptcy reorganization, pointing towards a sale of its operations to an affiliate of Nexus Capital Management LP. This transaction is valued at a whopping $760 million and includes a cash payment of $2.5 million, along with the settlement of debts and liabilities. It’s the kind of move that can help revitalize their business after facing some tough times.
What’s Up for Auction?
As part of this process, Big Lots is looking to auction off leases for 144 stores slated for closure. Among these stores are three notable locations in the Kansas City area, each situated in busy retail centers. The auction is being run by A&G Real Estate Partners and promises an array of opportunities for potential renters or investors.
Here’s a quick look at the stores up for grabs:
- 7533 State Ave., in Kansas City, Kansas – Located in the West Side Plaza, this store boasts a generous 28,557 square feet with a base rent of $6.50 per square foot. A deadline for bidding has yet to be established.
- 13637 Washington St., in Kansas City’s State Line Point center – This property is slightly larger at 28,850 square feet and has a base rent of just $5 per square foot. Interested bidders should note the deadline is set for Monday.
- 4201 S. Noland Road, in the Marketplace Shopping Center, Independence – This is the biggest of the three, with a whopping 36,023 square feet. The base rent here is a steal at $3.15 per square foot.
Why This Could Be a Good Deal
According to Emilio Amendola, co-president of A&G, the auctioned leases could represent “an incredible opportunity”. He explains that the locations are highly desirable and benefit from a dynamic retail market, which could attract a range of tenants.
For Kansas City shoppers and community members, this auction is not just a business move; it symbolizes a dynamic shift in the retail landscape. Those who take the opportunity to bid may help bring new retail options to the area, filling in the gaps left by the departing Big Lots stores.
Not Going Away Completely
Though some locations are shutting down, it’s important to note that Big Lots isn’t packing up its bags entirely. The retailer still has five other active locations in the Kansas City metro area. These include:
- 4826 N. Oak Trafficway, Kansas City
- 603 SW U.S. Highway 40, Blue Springs
- 901 E. Langsford Road, Lee’s Summit
- 140 S. Clairborne Road, Olathe
- 7408 Nieman Road, Shawnee
Looking Ahead
As the auction deadlines approach, many in the Kansas City area are watching closely. The potential for new tenants to emerge from this is exciting! Whether it be a new discount store or something completely different, the retail scene is poised for some interesting changes in the coming months.
Stay tuned as we follow the developments of this big event in our local retail world. Who knows what new opportunities await our beloved shopping centers?
