More than 120 Toys R United States stores are now on the auction block, with the last of the company’s U.S. shops arranged to close Friday.
A Virginia bankruptcy court on June 28 authorized an initial bid date of July 16 for 123 Toys R Us residential or commercial properties owned by Toys R United States Residential Or Commercial Property Co. II LLC. An auction for the insolvent company’s intellectual assets is set for Aug. 6.
The business’s portfolio includes 112 owned shops, 11 ground leasehold interests and 10 other possessions with income potential. The large majority are on the East Coast and in the Midwest.
Financial advisory and asset management company Lazard is the investment lender and A&G Realty Partners is the real estate broker managing the sale.
” It’s rare to have this lots of owned homes that come on the market at the same time, with this quality and caliber of property,” said Emilio Amendola, co-president of A&G Realty Partners.
Amendola compared the Toys R Us using to those of Heilig-Meyers, a retail furnishings store chain that went bankrupt in 2000, with one caveat – the Toys R United States shops remain in much better areas.
The Toys R United States shops are located in 29 states, with 18 each in Pennsylvania and Ohio. A&G Realty said Toys R United States has invested $1.5 million, typically, in each retail property given that 2002.
Brad Umansky, president of Rancho Cucamonga, CA-based Progressive Property Partners, stated the superior conditions of many shops will interest retailers, but he likewise said other designers will eye the homes with interest.
” I’ve already heard of people talking about it,” he stated.
The order authorizing the auction was issued in U.S. Insolvency Court for the Eastern District of Virginia.
The business, based in Wayne, NJ, applied for Chapter 11 personal bankruptcy last September. It once operated in 735 locations but has actually not reported a profit in five years.
Toys R United States is closing its staying 200 approximately U.S. shops by Friday. It will continue to operate some shops worldwide.