The retail arm of Reliance Industries is engaged on opening its shops in round 950 properties that it had sub-lease to Future Group, however withdrew citing non-payment of lease.
Officers mentioned there are plans to open a minimum of 100 shops in these areas, together with some Sensible Bazaar shops, on this month itself.
Emails despatched to Reliance Retail and Future Group remained unanswered at press time on Thursday.
Officers mentioned the Sensible Bazar will focus extra on on a regular basis attire and basic merchandise than Reliance Retail’s present Sensible Supermarkets, to assist shoppers really feel linked.
In properties with giant shops like Future Group’s Central – unfold over 60,000 sq ft every and going as much as 100,000 sq ft – Reliance is present variants corresponding to Reliance Mall to include all codecs in a smaller method. or a mixture of two-three codecs together with a division retailer that’s but to debut in its portfolio.
Alternatively, Future Group has provided Reliance to function the central format as a franchise of the Future Group, to keep up the model title and since every Central has 80-100 unbiased manufacturers, that are shop-in- Working as a store. cost.
Reliance will roll out its smaller retail manufacturers corresponding to 7-Eleven and Reliance Recent to switch Future Group’s kirana shops Simple Day and Heritage, whereas changing some worth attire codecs to Traits, the worth vogue chain of Reliance . Instructed.
Reliance is presently shifting all bodily property, corresponding to air-conditioners, stocking cabinets, lights, chillers, freezers, billing machines, trolleys and even escalator machines, from retailer areas and handing them over to Future Group. Is. These property now belong to banks for mortgage reimbursement of Rs 17,000 crore, on which Future Group has defaulted.
Officers mentioned Reliance has been paying for many of the inventory of Large Bazaar, Simple Day, Heritage and FBB shops for the previous one 12 months – which collectively have 835 shops that at the moment are closed, and therefore will stay on its books and Not Future Retail, which operated these shops.
Nevertheless, for areas the place Future Life-style Style operates greater than 110 Central and Model Manufacturing unit shops, and which at the moment are beneath Reliance’s management, many of the stock was paid for by Future Group and therefore the asset worth can be larger, officers mentioned. he mentioned.
Because the final week of February, Reliance has closed a whole lot of Future Group shops and began issuing notices for termination of sub-leases for non-payment of lease. Early final 12 months, Reliance had turn into a tenant of those areas after Future Group landlords had been unable to pay lease. These had been then sub-lease.