Carter’s to close 25% of stores as leases expire
Carter’s is closing a big chunk of its store base but it isn’t giving up on new store growth.

The infant and young children’s clothing company operates about 850 stores in the U.S., Canada and Mexico under the Carter’s and OshKosh B’Gosh banners, including co-branded locations. Speaking on the company’s earnings call on Friday, CEO and chairman Michael Casey said Carter’s will close about 25% of its stores — or 200 or more locations — as the leases come up for renewal or where there is a kickout provision.

“Nearly 60% of those closures may occur by the end of next year,” he said, “and 80% of those closures are planned by the end of 2022. These are generally older, lower margin stores in declining centers and less likely to support our focus on high-value omnichannel customers.”...

RSK: Carter`s isn`t what`s important here but the trend sure is. By year end many stores and businesses leases will become due and an expected 20% of them will not be renewed. We will see a sharp increase in retail and office space available for lease beginning of 2021. Companies are already trying to sublease unused space but it has not yet caught on....few are biting.

- - Volume: 8 - WEEK: 47 Date: 11/17/2020 8:36:34 AM -