Bestway’s retail division – which includes the Bargain Booze, Wine Rack, Select Convenience, and Central Convenience chains – has instructed property specialists to sell 37 of its stores.
The stores were part of over 800 acquired in 2018 from Conviviality when it collapsed into administration. The stores mainly operated through franchise models but around 180 were company-owned.
Last year, Bestway revealed that it was reviewing its retail portfolio with its considering reducing the number of fascias it operated.
Commenting on the disposals, Managing Director of Bestway Wholesale Dawood Pervez said: “We remain committed to corporate stores and would still be operating c.140 stores further to 37 stores changing ownership. We do expect a large number of these stores to remain within our supply. The process is being undertaken to ensure that our estate is in the best possible shape for our format ambitions.”
Christie & Co is handling the sale of the stores from across the estate. The property adviser stated that they “no longer fit” Bestway Retail’s future strategy.
The sites are all held leasehold and the majority have seen “record uplifts in trade” during the pandemic.
Mark Kaluza, Director of Retail at Christie & Co, said: “These stores couldn’t have come to market at a better time, when there is heightened interest in convenience retail. We have already agreed a number of deals on these stores since coming to the market. The sector has received a real boost through the Covid-19 crisis as more customers shop locally.”
NAM Implications:
- Whilst Bestway obviously anticipate the 37 stores continuing in the same business i.e. buying from Bestway.
- Suppliers might benefit from conducting ‘what-ifs’ re this business being lost to Bestway, in the process.
- Just-in-case…
