Lucky’s Market has announced the results of its bankruptcy auction for 23 stores and its distribution center. Ten parties will pay about $29 million to take over the stores, Lucky’s said.
Hitchcock’s Markets, which previously announced an asset purchase agreement for the St. Petersburg store in Tyrone Square, was the winning bidder for that leased store, for a purchase price of $275,000, Lucky’s said.
Hitchcock’s, founded in 1945 and based in Alachua, has 10 stores in central and north-central Florida. The store in Tyrone Square will mark its entry into the Tampa-St. Petersburg metro market.
It’s not clear when the store might reopen. Tyrone Square is temporarily closed as are other properties owned by Simon Property Group (NYSE: SPG), which made the decision to shutter its malls to address the spread of Covid-19 coronavirus.
Lucky’s said in late January that it would close most of its stores as the company filed for Chapter 11 bankruptcy protection. A decision by The Kroger Co. (NYSE: KR) to divest from Lucky’s led to the move.
Several other Florida stores also were part of the bankruptcy auction.
• Publix Super Market was the winning bidder for five leased stores in Florida — in Naples, Neptune Beach, Clermont, South Orange (Orlando) and Ormond Beach, for a purchase price of $11.5 million.
• Aldi was the winning bidder for one owned property in Oakland Park, Florida and five other Florida leased stores — in Coral Springs, Sarasota, Vineland, Colonial Landing (Orlando) and Venice, for a purchase price of $7.8 million.
• Southeastern Grocers, the parent company of Winn-Dixie, was the winning bidder for four leased stores in Florida — in Gainesville, Melbourne, Fort Meyers and Lake Mary, for a purchase price of $2.4 million.
• Dollar General Corp. was the winning bidder for the Orlando Distribution Center for a purchase price of $1 million.
The results of the auction are subject to a final sale hearing scheduled for March 30. PJ Solomon is Lucky’s M&A investment banker, Polsinelli is the company’s legal counsel and Alvarez & Marsal is the company’s restructuring advisor.