Lotte Shopping closing down
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Lotte Shopping is trying to offload its department store annexed to Anyang train station, 20km from Seoul.
It is said to be in the final stage of closing a deal with shopping mall group Enter Six to either sell or transfer its lease rights on the store, reports Pulse.
With nine floors above ground and one below, Lotte Department Store Anyang is connected to the Anyang station and is within walking distance of an intercity bus terminal.
After opening in 2002, the branch was the only major shopping mall in the area, but sales nosedived after Lotte Department Store’s Pyeongchon branch opened in March 2012. The two Lotte department stores are only 2.8km apart. The retailer still has nearly half of its 30-year lease term left on the Anyang building.
Lotte Shopping is shutting down its poor-performing stores. Meanwhile, E-mart, the big-box store chain of Shinsegae, also has been scaling back.
Questions & Answers
Q.What is the current status of the deal between Lotte Shopping and Enter Six regarding the Anyang store?
What is the current status of the deal between Lotte Shopping and Enter Six regarding the Anyang store?
Lotte Shopping is reportedly in the final stage of closing a deal with Enter Six. This agreement involves either selling the store or transferring its lease rights to the shopping mall group.
Q.What is the primary reason Lotte Department Store Anyang is being closed down?
What is the primary reason Lotte Department Store Anyang is being closed down?
Sales at the Anyang branch significantly decreased after the Lotte Department Store Pyeongchon branch opened in March 2012. The two stores are only 2.8km apart.
Q.How much of Lotte Shopping's lease term remains on the Anyang building?
How much of Lotte Shopping's lease term remains on the Anyang building?
Lotte Shopping still has nearly half of its original 30-year lease term remaining on the Anyang building. The store originally opened in 2002.
Q.Is Lotte Shopping the only retailer scaling back its operations in the region?
Is Lotte Shopping the only retailer scaling back its operations in the region?
No, the article mentions that E-mart, Shinsegae's big-box store chain, has also been scaling back its operations. This indicates a wider trend among retailers.
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