MENOMONEE FALLS, Wis.–Kohl’s has purchased 31 Mervyns sites in a joint bid with Forever 21 at an auction of the leaseholds of these locations.
Altogether, the two retailers bought 46 locations, of which 31 will be assumed by Kohl’s. The sale is pending the approval of the bankruptcy court overseeing Mervyns’ Chapter 11 proceedings. Mervyns filed Chapter 11 at U.S. bankruptcy court in Wilmington, Del., in July.
In a statement from Kohl’s, Kevin Mansell, president and chief executive officer, said the new locations will increase the department store retailer’s presence in underpenetrated markets. Kohl’s plan is to open about 50 new stores in its 2009 fiscal year, including the majority of the 31 former Mervyns locations.