Kmart shoppers are devastated after the retail giant announced that it will be closing one of its popular stores after almost 40 years of serving loyal customers.
It has now been confirmed that the shop, located in Melbourne’s Northcote Plaza, will close in November later this year, after being open since August 1981.
Kmart, along with two Coles supermarkets in the shopping complex, has been bought by private investors for around $60 million in total, as reported in Commercial Real Estate.
New Lease On Life
A developer-investor, WA-based Ly Pty Ltd, bought the Kmart store and it is understood the new owner intends to reposition the large one-hectare property once Kmart vacates.
Kmart spokesman Steven Mann spoke to local newspaper the Northcote Leader saying that around 135 staff members had jobs at the store and assured permanent staff that they would be relocated to other jobs once the store closed its doors.
Many shoppers have expressed disappointment that the shop will be closing down – especially after providing a discounted retail fix for almost 40 years.
However, others recognise that the centre desperately needs an overhaul and with Kmart gone, many shoppers will take their dollars elsewhere.
Last year, parent company Wesfarmers reported that earnings for Kmart and Target had been “below expectations” and that sales for Kmart had been flat in 2019.
Big W Closures
This closure comes at a time when another discount retailer Big W, is starting the process of shutting down 30 stores across the country.
The Auburn store, together with nearby Chullora and Fairfield, are the first three Big W stores to shut its doors.
Elsewhere across the country, 2020 has already been plagued with many retailers shutting shop. Popular fashion accessory brand Collette has recently gone into administration. Harris Scarfe and EB Games have also announced store closures.
Are you affected by the Kmart or Big W closures? Tell us in the comments below.