Klaff Realty, together with JV partners, acquires Mervyn’s for $1.175 billion
Klaff Realty, LP, in joint venture with Cerberus Capital Management, Inc., Sun Capital Partners, Inc., Lubert Adler Funds, and Acadia Realty Trust (NYSE: AKR) entered into a definitive purchase agreement to acquire Mervyn’s from Target Corporation for $1.175 billion.
Mervyn’s is a middle-market department store with 257 retail stores in 13 states primarily in the west and south, 4 distribution centers and 1 office building. In 2003, Mervyn’s generated $3.6 billion in revenue and $160 million in pretax segment profit for Target Corporation. Sun Capital will continue to operate Mervyn’s from its headquarters in Hayward, California.