(Source: Business Wire)
Retail real estate owner Stanley Chera's Crown Acquisitions, in partnership with The Chetrit Group, announced the purchase of 17 profitable stores from Filene's Basement chain. The $22 million asset purchase agreement with Retail Ventures, Inc. was signed on Friday, May 1.
The stores are primarily located on the East Coast, including New York, Boston, Chicago, Atlanta and Florida. Because RVI put Filene's Basement into bankruptcy this morning, this transaction saves the chain's 17 most profitable stores and thousands of jobs.
The partnership of New York-based Crown Acquisitions and The Chetrit Group, also of New York, will capitalize the stores with strong equity and no bank debt. Both companies have roots in the fashion and retailing industries that will support their management and revitalization of the Filene's Basement chain. The partnership stressed that it will not liquidate the inventory or real estate, but will instead use its real estate expertise and retail/fashion background to grow the company by adding the best locations and injecting fresh capital to the already profitable stores.
Morris Missry of Wachtel, Masyr represented the partnership of Crown Acquisitions and The Chetrit Group in this acquisition.
Crown Acquisitions has, at its core, more than 50 years of retail experience, owning and operating chain apparel stores on the East Coast. Having expanded from retail operations into real estate acquisition and management, the company now owns more than 10 million square feet of commercial space, including the retail property at 666 Fifth Avenue, 600 Broadway, and 358 Fifth Avenue.
The Chetrit Group is a real estate owner with its roots in the fashion business, as a manufacturer of denim and ladies apparel. The company's substantial real estate holdings include the Sears Tower and 620 Sixth Avenue, the property which houses one of Filene's most successful Manhattan stores.
Crown Acquisitions
Crown Acquisitions, founded by Stanley Chera, has an ownership interest in more than 15 million square feet of retail and office property throughout North America. With assets in major cities including New York, Chicago, Toronto, Philadelphia, Boston and Miami, Crown Acquisitions is recognized for its ability to optimize value through hands-on asset management and a keen focus on improving the retail components of each property. An investor, owner, operator and developer, Crown Acquisitions' holdings include interests in more than 50 properties, such as World Trade Center towers 2, 3 and 4, Herald Center, 551 Fifth Avenue, 600 Broadway, 717 Fifth Avenue and 598 Madison Avenue in New York; 645 North Michigan Avenue in Chicago, IL; and the Miami Merchant's Mart in Miami, FL.
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