CompUSA starts liquidation sales
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Both CompUSA stores in Hawaii -- in Kakaako and Pearl City -- put up signs yesterday morning announcing liquidation sales to clear out store inventory.
It appears that both are slated for closure by Boston restructuring firm Gordon Brothers Group, although there is a possibility they also may be sold off to another entity.
The remaining leases for both Hawaii stores at 604 Ala Moana Blvd. and Pearl Highlands Center are being marketed by Gordon Brothers affiliate DJM Realty.
Ken Elton, general manager of CompUSA in Kakaako, said he believes negotiations are under way to buy the top-grossing of the Dallas-based company's more than 100 stores across the nation.
"I'm pretty confident that someone will step up and buy us," he said. "Obviously, the top stores would be a viable sales option."
CompUSA plans to keep all 103 retail stores open and staffed during the holiday season, but has launched an "orderly wind-down" that will include the sale of certain assets.
Yesterday, CompUSA partner Assurant Solutions also said it intends to fulfill all its obligations to customers who bought extended-service contracts.
Customers with repair issues should call the toll-free line: 1-877-520-8324
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CompUSA’s liquidation begins
Rumors are circulating about a buyer for the high-performing store in Kakaako
CompUSA is offering up to 20 percent off all items in its two Hawaii stores -- at Kakaako and Pearl City -- in a liquidation sale that could last until February.
Signs are up at both stores announcing the closeout sales, although rumors are abuzz that a new company is in negotiations to buy them out.
"I'm pretty confident that someone will step up and buy us," said Ken Elton, general manager of the Ala Moana store. "But the process has to start as far as liquidation goes."
Last Friday, Elton told the Star-Bulletin he did not think the top-performing stores would be closing even as CompUSA Inc. announced its acquisition by restructuring firm Gordon Brothers Group.
He also was expecting to follow the regular holiday sales plan, but said earlier this week that the store had to take inventory for the closeout clearance.
Elton added that he understood negotiations were under way for the top four CompUSAs in the nation.
CompUSA said its 103 retail stores would remain open and staffed during the holiday season, with bargains on computer and electronic products, but that there would be an "orderly wind-down" in which it would be selling off its assets, CompUSA TechPro and CompUSA.com.
The Dallas-based computer retailer also said active discussions would be under way for select stores in key markets.
Sources say that Miami-based computer retailer TigerDirect is interested in buying the stores, but a spokeswoman for Comp- USA could not confirm it.
Uncertainty also remains about how store rebates, refunds and coverage for services and repairs will be handled by CompUSA.
Assurant Solutions, a partner of CompUSA for several years, said yesterday it intends to fulfill all its obligations for the company's customers with extended-service contracts. That includes customers with CompUSA's Technology Assurance Plan, an extended-warranty service for personal computers.
Meanwhile, DJM Realty, a Gordon Brothers affiliate handling real estate transactions, has listed both the Ala Moana and Pearl Highlands Center locations as available for sublease on their Web site.
The lease for the CompUSA store at 604 Ala Moana Blvd. expires in July of 2018. The lease for the Pearl Highlands store expires in November 2021.
DJM Realty listing broker Joe DiMItrio did not return calls for comment by press time.
Steve Sofos of Sofos Realty said he thinks the lease for the Ala Moana store should go pretty quickly. But the Ala Moana store also sits on land owned by Kamehameha Schools, which eventually may want it back to build a high-rise.
"I wouldn't be surprised if Pearl Highlands dragged because there's another large vacancy that hasn't been leased for a long time in that complex," said Sofos. "The Ala Moana store has always been referred to as the best store, and I'm sure they were paying a good percentage rent. Unless someone comes in with a great, new retail concept that can generate that kind of volume, I think (they're) going to have some issues."
CompUSA relocated from Waikele Shopping Center to Pearl Highlands in the summer of 2006. The Pearl City store yesterday put up signs reading: "Store Closing" and "Total inventory clearance."
Colliers Monroe Friedlander has a 12,635-square-foot retail space listed for lease next door to CompUSA at Pearl Highlands, which is now owned by AEW Capital Management.