Dollar Tree Acquires 99 Cents Only Stores Locations
Dollar Tree has acquired the leases of 170 99 Cents Only Stores across several western and southwestern states.
The deal for the stores in Arizona, California, Nevada, and Texas was completed via two transactions in May following approval by the United States Bankruptcy Court for the District of Delaware. As part of the transactions, Dollar Tree also acquired the North American Intellectual Property of 99 Cents Only Stores and select on-site furniture, fixtures, and equipment.
Dollar Tree officials expect the acquired stores to open in the fall.
In April, California-based 99 Cents Only Stores filed for Chapter 11 bankruptcy and subsequently initiated a process to dispose of its assets, including its inventory, owned real estate, and store leases.
"As we continue to execute on our accelerated growth strategy for the Dollar Tree brand, this was an attractive opportunity to secure leases in priority markets where we see strong profitable growth potential,” said Michael Creedon, Jr., Dollar Tree’s chief operating officer. “The portfolio complements our existing footprint and will provide us access to high-quality real estate assets in premium retail centers, enabling us to rapidly grow the Dollar Tree brand across the western United States, reaching even more customers and communities.”
Recently, Ollie’s Bargain Outlet purchased 11 former 99 Cents Only Stores locations through the same bankruptcy court in a deal valued at $14.6 million. The stores are located across key markets in Texas.
