US: DSW buys HQ and Columbus DC for $72m
By Katie Smith | 2 November 2012
Footwear retailer DSW has acquired 810 AC, which owns the company's corporate headquarters and its 700,000 sq ft distribution centre in Columbus for $72m.
Benefits from the deal are expected to include rent savings and income from existing tenants.
"Today's acquisition reflects our continued commitment to growing DSW in the future by opening stores, expanding our DSW.com business and by adding new accounts to our Affiliated Business Group (formerly the leased business division)," said DSW president and CEO Mike MacDonald.
"Purchasing the property secures our investment and ensures our ability to expand into additional office space to support DSW's continued growth."
DSW had previously leased two-thirds of the property included in the cash deal.
DSW Inc. Announces Acquisition of Corporate Headquarters and Columbus Distribution Center
COLUMBUS, Ohio, Nov. 1, 2012 /PRNewswire/ -- DSW Inc., a leading branded footwear and accessories retailer, today announced the acquisition of 810 AC LLC, which owns the corporate headquarters of DSW, as well as its 700,000 square foot distribution center and trailer lot on its home office campus in Columbus, OH for a total of $72 million, paid in cash.
"Today's acquisition reflects our continued commitment to growing DSW in the future by opening stores, expanding our DSW.com business and by adding new accounts to our Affiliated Business Group (formerly the Leased Business Division)," stated Mike MacDonald, President and Chief Executive Officer of DSW Inc. The company recently completed the $15 million installation of an automatic sortation facility in the distribution center to support its size replenishment program. Mr. MacDonald continued, "Purchasing the property secures our investment and ensures our ability to expand into additional office space to support DSW's continued growth."
DSW had previously leased approximately two thirds of the property included in the purchase. The acquisition is expected to be slightly accretive on an annual basis, resulting from rent savings and income from existing tenants.
About DSW
DSW Inc. is a leading branded footwear and accessories retailer that offers a wide selection of brand name and designer footwear and accessories for women, men, and kids. As of November 1, 2012, DSW operated 363 stores in 41 states, theDistrict of Columbia and Puerto Rico, and operated an e-commerce site, http://www.dsw.com, and a mobile website, http://m.dsw.com. DSW also supplied footwear to 345 leased locations in the United States. For store locations and additional information about DSW, visit http://www.dswinc.com. Follow DSW on Twitter at http://twitter.com/DSWShoeLovers and "like" DSW on Facebook at http://www.facebook.com/DSW.
Original source: http://www.prnewswire.com/news-releases/dsw-inc-announces-acquisition-of-corporate-headquarters-and-columbus-distribution-center-176837041.html
Sectors: Finance, Footwear, Retail
Companies: DSW
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