Lotte Department Store to Sell Centum City Store to Shinsegae... Closing After 20 Years

Transaction to Close Following Korea Fair Trade Commission Business Combination Review

"Investment in Busan Main Store and Lotte Mall Dongbusan Will Continue"

Lotte Department Store will sell its Centum City store in Busan to Shinsegae Co., Ltd.

The store will close after operating for nearly 20 years since opening in 2007. Lotte plans to reorganize its store portfolio and focus investment on key locations, including its Busan Main Store and Lotte Mall Dongbusan.

The buyer is Shinsegae Co., Ltd. The transaction will be completed after relevant procedures, including a business combination review by the Korea Fair Trade Commission. The Centum City store will continue normal operations until the transaction closes, and its closing date will be finalized after the relevant review is complete.

Lotte Department Store said on October 29 that it had decided to sell the store after reviewing its growth potential, profitability and asset value. Amid changes in customer demand and the retail environment, the company plans to improve store operating efficiency and focus its resources on businesses with strong growth potential.

Before the store closes, the company plans to notify customers, employees and tenant businesses of the relevant schedule. It will first consider transferring employees to other locations in the Busan market and will also support tenant businesses in transitioning their operations in accordance with their contract terms.

Investment in Busan will continue. The Busan Main Store will begin a phased renovation this month, starting with an IP specialty section. Lotte Mall Dongbusan also plans to strengthen its merchandise mix (MD).

In addition to the Busan Main Store and Lotte Mall Dongbusan, Lotte Department Store is working to strengthen the competitiveness of its key locations and expand its shopping mall business. Incheon and Nowon stores completed full-store renovations this year, while Jamsil store has begun a full-store renovation starting with its food hall. The company opened a new shopping mall, Lotte Mall Bellitown Cheongnyangni, at its Cheongnyangni store. It also plans to develop large-scale shopping facilities in Suseong, Daegu; Sangam, Seoul; Songdo, Incheon; and Jeonju, North Jeolla Province.

This content was produced with the assistance of AI translation services.