Coldwater Creek Liquidation Sale

by San Antonio Attorney

The auction on the store leases of Coldwater Creek raised an additional $1.7 million for the clothing chain’s creditors.

Based on the court papers, Maurices, Forever 21, J. Jill, and Lane Bryant were among the successful bidders of the auction on July 8.

J. Jill Group Inc., a clothing chain for women that targets the same market as Coldwater Creek, will pay $125,000 for leases to four stores. These stores are located in Sacramento, Calif.; Arlington, Texas; Southlake, Texas; and Hunt Valley, Md.

Forever 21 Retail Inc., a retailer of American fashion for teens, won leases to four stores for $290, 000. These stores are in Riverhead, N.Y.; Sevierville, Tenn.; and San Marcos, Texas.

Lane Bryant, the apparel store for plus-size women, nabbed a lease in Roseville, Calif. for $55,000 and was under-bidder for eight other stores. Maurices Inc., a chain of women’s clothing stores in the United States and Canada, acquired the lease to a store located in Fargo, N.D., for $25,000.

The Talbots Inc. and Limited Stores LLC were also there at the auction. Limited was chosen as a backup bidder for the lease in New York store that Forever 21 intends to get, and Talbots was the backup bidder for the Tennessee lease bought also by Forever 21.

In April, Coldwater Creek filed for Chapter 11 protection due to unmanageable debt. Right after the filing, it closed around 300 of its stores across the U.S.

Coldwater Creek hopes to get the approval of court for its bankruptcy plan with a recent creditor settlement deal in hand.

In the mean time, Coldwater Creek’s stores are having closing sales, a comforting prospect for aficionados who are stocking up apparels of this brand. All items in the stores have been marked down to 30 – 50 percent by the liquidation company operating the sale.

 

 

 

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