Amazon considering Homebase empty store bid

Homebase stores left empty after its disastrous sale to Wesfarmers could be picked up by Amazon as it looks to rapidly expand its delivery network.

According to The Sunday Telegraph, Amazon is thought to be bidding for properties Homebase’s new owner Hilco is offloading under a company voluntary agreement (CVA).

Homebase is closing 42 stores as part of its restructuring as it tries to cut costs and strike rescue deals with its landlords and creditors.

If the retailer can’t negotiate lower rent deals with landlords, up to 70 more stores could be at risk.

However Amazon’s operations could provide a new option for Homebase.

The online retail giant wants to rapidly grow its delivery network for one hour drop-offs in London, and has been buying properties around the country to expand the service.

While it keeps most of its stock in out of town warehouses, smaller outposts are needed to reduce delivery times in built-up areas.

Having acquired 4 million sq ft of warehouse space last year, Amazon could now move on Homebase’s empty property too.

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  1. I think this is the wrong direction for Amazon, as it will inevitably increase its cost per sale. Supersize warehouses are far more cost effective for their purpose.

  2. I am assuming you’ve not read the article, this is required to combat 1 hour delivery within cities! It is quite difficult to achieve that with out of town warehouses!
    As someone that has done Amazon deliveries the growing desires of customers wanting instant deliveires is ever increasing and smaller units within cities housing their most popular items is ok need way of solving this.


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