IE Business Daily Business news for the Inland Empire.
More than 100 recently closed 99 Cents Only stores in Southern California will have a second life as Dollar Tree locations.
Dollar Tree has secured designation rights to 170 former 99 Cents Store leases in California, Arizona, Nevada and Texas, according to a statement released May 29.
The deal is the result of two transactions completed this month and approved by the U.S. Bankruptcy Court. Chesapeake, Va.-based Dollar Tree also acquired the North American Intellectual Property of 99 Cents Only Stores, as well as some on-site furniture, fixtures, and equipment, according to the terms of that agreement.
In April, 99 Cents Only Stores filed for Chapter 11 bankruptcy. Since the chain has been disposing all of its assets, including inventory, real estate, and store leases.
“This was an attractive opportunity to secure leases in priority markets where we see strong profitable growth potential,” said Michael Creedon, Jr., Dollar Tree’s chief operating officer, in the statement. “The portfolio complements our existing footprint and will provide us access to high quality real estate assets in premium retail centers.”
Most of the locations are in California, and several are reportedly in the Inland Empire. Exact locations were not disclosed.
“Dollar Tree looks forward to welcoming customers from 99 Cents Only Stores as early as fall 2024,” the statement reads.
