RCS secures lease agreements to keep Claire's stores open
With Claire’s acquisition by private equity, RCS Real Estate Advisors has been selected to guide the chain’s retail footprint.
The real estate advisory firm will oversee the tween and teen accessories retailer’s new "sustainable" store footprint. After its selection by Ames Watson, which acquired Claire’s for $104 million in cash and a $36 million seller note, RCS secured preliminary lease agreements from hundreds of property owners across the U.S. and Canada. The company then finalized agreements for more than 800 stores, with the potential to reach 950, including key stores in California, New York, Florida, Illinois and other major markets.
[READ MORE: Done Deal: Claire’s new owners plan to modernize, revitalize chain]
Claire’s filed for Chapter 11 bankruptcy in August after struggling under increased competition from online budget retailers such as Temu and Shein, while newer brick-and-mortar players such as Studs and Lovisa have challenged its signature ear piercing business.
“Quite simply, RCS helped make this acquisition possible,” said Ivan Friedman, president and CEO of RCS Real Estate Advisors. “Claire’s is more than just a retailer – it’s an iconic brand woven into the lives and memories of millions of shoppers. By drawing on our deep landlord relationships and expertise in structuring win-win agreements, we helped preserve hundreds of stores, protect thousands of jobs and ensure that future generations can continue to enjoy the Claire’s experience.”
The acquisition of Claire's, which was announced in August, includes the continued operation of a minimum of 795 stores. As part of the agreement, Claire's paused the liquidation process at a large number of stores. (At the time of its filing, Claire’s had approximately 1,350 store locations in the United States and U.S. territories, with the total including Claire’s, Icing and shop-in-shop locations.)
“Claire’s is one of those rare brands that defines a stage of life, with a loyal community and cultural resonance," said Lawrence Berger, partner and co-founder at Ames Watson. "Our focus is on protecting what people love about the brand while modernizing it for the next generation, and RCS has helped lay the groundwork for that future.”
Founded by Berger and Tom Ripley in 2018, Ames Watson is a privately-held holding company based in Columbia, Md. Brands owned or invested in by Ames Watson include Lids, LidsU, Champion, South Moon Under, Mitchell & Ness, Ebbets Field, Zygo, Hungry and Margaux.
RCS has served as Ames Watson’s outsourced real estate department for many of their brands, including Lids, South Moon Under and others, supporting expansion and optimization efforts in core markets across the U.S.
