The Renuar fashion chain has decided to expand by renting 30 150-300 sq.m. stores in the coming year to replace its 30 80-100 sq.m. stores. The overall space of its 30 stores will thereby grow from 3,000 to 7,500 sq.m., a 150% increase, amounting to 4,500 sq.m. The company will invest NIS 14 million in furniture and inventory for the new stores.
In the first deal under its new policy, Renuar rented a 200-sq.m. store in the Hakenyon Hagadol mall in Petah Tikva from Super-Sol (NYSE: SAE) In other deals, Renuar will rent large stores in the Azrieli mall, Dizengoff Center, Ramat Aviv mall, Kenyon Hazahav, the Ramat Gan Ayalon mall, the Grand Canyon mall in Haifa, the Kiryon mall in Kiryat Bialik, the Malha mall in Jerusalem, the Seven Stars mall, the Bat Yam and Holon malls, and malls in Kfar Sava and Eilat. Renuar will also rent new space for its stores in commercial centers in Hadera, Givatayim, Rehovot, Nahariya, Nazareth, Beer Sheva, and Ashkelon.
Renuar has also rented in the past few days a 150-sq.m. store at the Bilu Junction. Renuar will pay $25 per sq.m. per month, index-linked, under a three-year lease, with a six-year option. The company also rented 164 sq.m. in Tiberias from private parties and will pay $60 per sq.m., index-linked, under a five-year lease, with a 10-year option. The high rent is due to the store's central location on Hagalil St.
The company decided to increase its commercial space following a rise of up to 50% in its sales over the past year, as reported in "Globes". Yossi Brosh and Eli Berkovice own Renuar.
Published by Israel's Business Arena on January 6, 2002