, an off-price retailer of apparel and home accessories, agreed to acquire 46 Albertsons real estate sites in California, Florida, Texas, Arizona, Colorado and Oklahoma.
The Pleasanton, Calif.-based company plans to incorporate these properties into its 2007 expansion program for Ross and dd's Discounts.
"We are excited about this unique real estate opportunity, which gives Ross the ability to acquire a substantial number of store sites in several of our established, top performing markets," the company said. "Availability of quality retail locations is generally limited in these more established areas. As a result, we believe this transaction offers a rare chance to enhance our long- term growth prospects and returns by adding these stores, almost all in our highly productive, core sunbelt states."
After the acquisition of these properties and other new stores already planned for fiscal 2007, the company's projected total unit growth will be 11% to 12% for the year ended Feb. 2, 2008.
Ross will take possession of some of these sites as soon as November, with estimated openings beginning as early as March 2007.
The company projected the impact of these acquisitions to be relatively neutral in the current year and slightly accretive in fiscal 2007.
The company estimated capital expenditure of $1.5 million to $2.0 million a store to convert these sites to the Ross or dd's Discounts formats and it is expected to increase by up to $10 million in fiscal 2006.
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