The Co-operative Group to acquire ten Costcutter stores
The Co-operative Group has announced it is to buy 10 stores in London, all currently branded as Costcutter, for an undisclosed sum.
The 10 stores, which are located in Southwark, Tower Hamlets, Hackney and Brentford, will transfer to The Co-operative Group, with plans to start trading as Co-operative food stores before Christmas.
Staff currently employed at the outlets, which include two Post Offices, will be offered the opportunity to transfer to The Co-operative. All the stores, employing around 180 in total, will also undergo a full refit in 2013, following an investment of £3m.
Six of the stores are currently owned by the Sunstar Group Ltd and the other four by Tothaal Group Ltd.
The Co-operative, which is the UK’s fifth largest food retailer, is actively acquiring stores, either leasehold or freehold, between 2,000sq ft and 4,000sq ft in high street and local community locations, and is particularly focussed on expanding in London.
Steve Murrells, The Co-operative’s Chief Executive Food Retail, said: “This acquisition marks another important step in our plans to expand and follows our acquisition of the David Sands chain in Scotland earlier this year and the opening of a large number of new stores across the country.
“These stores are in excellent locations across central and Greater London and they will complement our existing store network in the capital and will be valuable additions to our portfolio.”