Movie Gallery Looks to Sublease at 2,200 Locations

Dothan, Ala., Movie Gallery, Inc. said it entered a management agreement and alliance with Excess Space Retail Services, Inc. to explore opportunities to sublease space at more than 2,200 existing Movie Gallery and Hollywood Video stores. Movie Gallery expects retail partners to occupy about 2,500 sq. ft. at each location. “In addition to the incremental revenue we expect to realize through subleasing portions of the stores, we look forward to the additional traffic that our retail partners will generate,” said Keith Cousins, executive VP and chief development officer, Movie Gallery, Inc. “By taking advantage of our outstanding retail presence, we expect this initiative to improve our operating results and create value for our shareholders.”