Western Sydney Big W stores first to close
THREE Big W stores in western Sydney have become the first confirmed targets for closure as owner Woolworths prepares to whittle down the number of outlets of the struggling discount retailer.
The Big W in Auburn Central shopping centre will close at the end of January 2020, Elanor Retail Property Fund said in an announcement to the ASX yesterday.
Woolworths said in April it planned to shut about 30 under-performing Big W stores and two distribution centres during the next three years. ERF said the lease for the 7159sq m department store in Auburn had been due to expire in June 2024.
The closure of the store was “a positive catalyst for the transformation of Auburn Central into a Sydney metropolitan, dual supermarket, neighbourhood shopping centre,” the investment and funds management business said. Big W confirmed on yesterday it would also close stores in Chullora and Fairfield in January after reaching deals with landlords.
“These are not decisions we take lightly and we regret the impact the closures will have on affected team members,” Big W managing director David Walker said. “We would like to acknowledge the support of the communities of Chullora, Auburn and Fairfield and the hard work and commitment of our store team members.”
He said the company would “explore redeployment opportunities for those who choose to continue their career at Big W or other Woolworths Group brands”.
Woolworths has 183 Big W stores and the division lost $110 million in the last financial year.
“Big W will continue to work with landlords as part of the network review and remain committed to building a strong and sustainable Big W that meets the needs of Australian families,” the retailer said.