More than 200 Advance Auto Parts stores going up for sale
Advance Auto Parts has begun to downsize its store footprint.
The automotive parts retailer has hired Hilco Real Estate, a division of Hilco Global, to manage the sale of real estate assets — both owned and leased — spanning 46 states across the United States. In November, Advance Auto said it planned to close 523 corporate and exit 204 independent locations as part of a “strategic plan to improve business performance with a focus on core retail improvements." (As of Aug. 4, Advance had a total of 4,492 corporate stores.)
During the coming weeks, Hilco will facilitate the disposition of over 200 leased and 24 owned locations. The portfolio consist of desirable retail locations and potential redevelopment parcels situated in densely populated urban areas and along strong commercial corridors, according to Hilco.
The leases being marketed for assignment or sublease offer control of attractive real estate with desirable rental rates and terms. The 24 owned real estate assets being sold are located in marquee metro areas from coast to coast, across 14 states. A complete list of the 24 owned properties and available leased properties, including general descriptions and due diligence information, can be viewed on Hilco Real Estate's website.
Advance Auto has been working to turnaround its business to return to profitability and reverse falling sales. In November, it completed the sale of automotive parts wholesaler Worldpac to global investment firm Carlyle for $1.5 billion as part of a “simplification” of its business model.
"We are pleased to have made progress on our strategic actions, including the completion of the sale of Worldpac and a comprehensive operational productivity review of our business,” Shane O’Kelly, president and CEO, stated in November. “We are charting a clear path forward and introducing a new three-year financial plan, with a focus on executing core retail fundamentals to improve the productivity of all our assets and to create shareholder value."