Retailer David Jones
(ASX:DJS) has terminated its lease with Westfield at Fountain Gate shopping centre in Victoria.
The store has also announced a new store for Whitford, north of Perth and an option for a new store at Westfield’s Innaloo centre also in Western Australia.
The Fountain Gate lease was deemed unviable in a store portfolio review as it is not aligned to the company’s target demographic.
The company will receive value in excess of the original $9.8 million lease payment made to Westfield in 2003, adjusted for inflation.
CEO Paul Zahra says the company is pleased to have terminated the Fountain Gate lease and hope to open a new store in Innaloo and Whitford to establish a dominant presence in the Western Australian market.
David Jones reported a net profit of $156.52 million for the year ending 30 July, 2009.
