Interesting article about Kmart lease in MN. Apparently the store is an eyesore and the city of Minneapolis wants it removed, but they're stuck in a long lease or something:
http://www.startribune.com/as-kmart-stores-across-u-s-close-store-blocking-nicollet-avenue-in-minneapolis-endures/559603402/
I heard the City was discussing relocating the store and paying the costs of a new store as well. What MN should do is start issuing citations for the building being blighted, code violations, and I am quite positive they can find some asbestos too and condemn the place and then Lambert gets nothing but a bill for the demolition.
Welcome to 2012! You've repeated what has been said repeatedly on here. That's not a profitable store, it's a store with a stubborn Lampert who refuses to close it, because Minneapolis won't pay him enough money for its lease.
Lambert vacated the idea of retail after he leveraged Kmarts equity to buy Sears. It's now all about real estate. He should go to jail as the most corrupt businessman.
@2zeg Wow, a Profitable Kmart? That's a rarity indeed. If that's the case, I guess they'll keep it open as long as they can. But you're right, the city seems to be bent upon buying out the lease.
When I worked at HE, this store was discussed often. It's a profitable store (which is rare), but the bigger picture is that Eddie knows the city wants to buy out this lease. They are holding out for the best deal they can get because they are convinced the city will finally pay up many times what the lease is worth.
@1bfr Agreed. Especially since it's the only store in the area, within about 500 miles. I don't think that store will last long, especially, since it doesn't seem to be wanted around there.....remember, also, that MN is the home of Target.
For the right price I"m sure they lease can be nullified.
In Somerville MA, landlord Federal Realty paid Kmart $14.5 million to close its store and terminate the remainder of its 99-year lease (which would have ended around the year 2079).
Hmmmm, I have never been to that one, and now they claim it's the last one in the state. Probably will be gone very soon, lease or no lease.