Sears to close Henderson store, 141 others as it files for bankruptcy

Updated October 15, 2018 - 8:44 pm

Charlyn Medlin doesn’t consider herself a computer-savvy person, but even she is starting to shop online — except for clothing.

“I have to try it on,” Medlin said.

By January, she’ll have one fewer place with the styles and bargains she likes. The Sears department store at Marks Street and Warm Springs Road in Henderson is one of 142 locations the company has slated for closing during the company’s turn in bankruptcy.

The Henderson store is expected to start its liquidation sale in November.

‘Too much rot’

From its beginnings as a mail-order watch business in Minneapolis 132 years ago, Sears grew to become America’s everything-under-one-roof store and the biggest retailer in the world.

“It was the Amazon of its day,” said Mark Cohen, a professor of retailing at Columbia University and a former Sears executive.

But plagued by falling sales and heavy debt, Sears filed for Chapter 11 bankruptcy reorganization Monday and announced plans to close 142 of its roughly 700 remaining stores and eliminate thousands of jobs in a bid to stay afloat, if only for a while.

Analysts have their doubts it will survive.

“In our view, too much rot has set in at Sears to make it (a) viable business,” Neil Saunders, managing director of GlobalData Retail, said in a note to investors.

In its bankruptcy filing, Sears Holdings, which operates both Sears and Kmart stores, listed assets of $1 billion to $10 billion and liabilities of $10 billion to $50 billion. It said it has lined up $300 million in financing from banks to keep operating and is negotiating an additional $300 million loan.

The company once had around 350,000 employees; as of Monday’s filing, it was down to 68,000. At its peak, it had 4,000 stores in 2012; it will now be left with a little more than 500.

Once the Henderson store is gone, Sears will still have a presence in the valley, according to the company’s website.

The Las Vegas area will still have two Kmart stores, three Sears department stores, two auto centers, a parts and repair center, two appliance outlet stores and Hometown Dealers in Pahrump and Mesquite.

Local stores survived a previous round of closing 72 Sears locations announced in May.

Sears closed two Kmart stores earlier this year and four last year.

Various brick-and-mortar brands have faced bankruptcies and closings due to competition from e-commerce and too many stores. In September, Toys R Us filed for bankruptcy.

One of the surviving Sears appliance outlet stores is about a mile away from the closing department store.

Chris Clifford and his team at the local branch of real estate firm Colliers International handle leasing for the shopping center at Sunset Road and Stephanie Street, where the appliance outlet is located.

His team was hesitant at first to allow the Sears outlet onto the shopping center. But he learned the outlet is a separate business and uses a separate business model from the department store.

Sure enough, a smaller footprint and a narrower sales approach have helped the outlet store succeed in Clifford’s shopping center.

Still, Clifford said he sees the end of the classic Sears store that consumers know.

“I have little confidence that they pull through,” he said. “I believe they will take the same approach as Toys R Us and will eventually follow the exact same path to closures of all units.”

Lauren Tabeek, director of retail services for real estate firm Cushman & Wakefield’s local branch, and her team handle leasing at the other shopping center in the valley with a Sears appliance outlet store.

Tabeek said the better performance by the store near Lone Mountain Road and Decatur Boulevard could be due to a boom in employment and home development in the northern valley.

Ironically, that boom comes due to recent distribution centers built by online retailers Amazon and Fanatics.

“Even at outlet prices, it’s hard to compete in this retail category,” she said. “Might be a matter of time before this one closes down as well.”

She said she wants to see Sears survive bankruptcy. But to do that, the company must adapt to current market trends, build a stronger social media presence and update the inventory to appeal to young shoppers.

Ripple effect

Sam Alsabagh, owner of the Flame Kabob restaurant in the shopping center that houses the closing Sears, said he expects a drop in customers once the store closes.

But Alsabagh, who is looking to open a second location, said he is confident his restaurant has enough of a following that his business will survive.

“Sometimes we get people who came for Sears, but not always,” he said.

Medlin, the Henderson resident shopping at Sears on Monday afternoon, said she’s sad to see the store go. Still, the retail industry will last, even if Sears doesn’t.

“I’m sad for sure,” she said. “But I guess I can shop at Kohl’s.”

Contact Wade Tyler Millward at 702-383-4602 or wmillward@reviewjournal.com. Follow @wademillward on Twitter. The Associated Press contributed to this report.

ad-high_impact_4
Business
MGM Grand Plans To Add Retail And Dining To Its Strip Facade
MGM Grand President and Chief Operating Officer Scott Sibella said executives are “discussing redeveloping that entire frontage of the building out to the Las Vegas Strip.” (Todd Prince/Las Vegas Review-Journal)
Boyd Gaming planning new corporate campus
Casino operator Boyd Gaming Corp. has filed plans to build a new corporate campus. The plans call for two 10-story office buildings and a six-level parking garage in the southwest Las Vegas Valley. Boyd Gaming operates The Orleans, the Suncoast, downtown's California Hotel and other properties. The new headquarters would be just a mile from its current main office building.
Bellagio Conservatory transformed to celebrate Year of the Pig
The Bellagio Conservatory Team transformed the 14,000 square foot conservatory to commemorate Chinese New Year, the holiday that marks the end of the coldest days of winter. (Rachel Aston/Las Vegas Review-Journal)
CES 2019: Intro uses sound to connect people
Intro, a startup that is part of the Future Worlds Accelerator in the UK, has an app that uses ultrasonic sound to find people and companies nearby.
CES 2019 Video: CES wraps up another year
Time-lapse video of the action at CES 2019 in Las Vegas. (Mat Luschek/Las Vegas Review-Journal)
CES 2019: Create your own beauty products
Beauty Mix by BeautyByMe is a product that lets you create your own cosmetics and beauty products. (Mat Luschek/Las Vegas Review-Journal)
CES 2019: Picobrew’s home brew machine
Picobrew brings automation to homebrewing. (Mat Luschek/Las Vegas Review-Journal)
CES 2019: Surviving CES
What it's like to spend four days working the mammoth tech convention. (Jason Bracelin/Las Vegas Review-Journal)
Haier’s smart home
Haier presented smart home technology at CES 2019.
CES 2019 VIDEO: Foldimate makes laundry day easy
Foldimate has created a machine that will fold your laundry for you. Just feed it anything you need folded and it will do the rest. (Mat Luschek/Las Vegas Review-Journal)
CES 2019: Opte device corrects skin spots
Opte from Proctor and Gamble is a device for correcting spots and freckles from skin. It analyzes the area for spots and then covers them with a serum of matching skin tone. (Mat Luschek/Las Vegas Review-Journal)
Circa hotel-casino in downtown Las Vegas unveiled
Derek Stevens reveals Circa hotel-casino in downtown Las Vegas. He plans open by the end of 2020. (K.M Cannon/Las Vegas Review-Journal)
Circa, new casino coming to Fremont Street
Casino owner Derek Stevens announces his new property Circa, coming to Fremont Street in downtown Las Vegas in late 2020. (Michael Quine/Las Vegas Review-Journal)
Dreenk My Oeno makes wine suggestions
At CES 2019 in Las Vegas, the Dreenk My Oeno tells you all about wine.
Polaroid One Step Plus camera unveiled at CES 2019
Polaroid has moved into the digital age with its One Step Plus camera with Bluetooth. With the connected app, it turns your smartphone into a remote for the camera, along with filters and features.
Amazon is everywhere at CES 2019 in Las Vegas
Seemingly everything works with Amazon Alexa
LG Smart Mirror helps you dress snazzy
LG’s Smart Mirror is less of a mirror but more of an assistant to help get you looking snazzy. It takes your image and recommends clothes for you or matches existing clothes with new clothes, which can be purchased right from the mirror. (Mat Luschek/Las Vegas Review-Journal)
Underwater robots make waves at CES 2019 in Las Vegas
Robosea is a company dedicated to underwater robotics. They produce consumer robots for underwater filming as well as commercial products which can be used for underwater research. (Mat Luschek/Las Vegas Review-Journal)
CES 2019 - Victrola record players spin in Las Vegas
A new spin on an old favorite, Victrola record players are meeting a demand for retro products. The brand is also making furnitures with built-in speakers.
CES 2019: Slamtec robots ready to serve
Slamtec is a robotics company out of China whose goal is to provide solutions for laser localization mapping and navigation. They have created two autonomous robots that can be used in areas such as bars, restaurants and malls. (Mat Luschek/Las Vegas Review-Journal)
Mixologiq drink maker appears at CES 2019 in Las Vegas.
This is the Mixologiq drink maker.
CES 2019: Veritable smart garden
Let’s face it; not all of us have green thumbs. And herbs are particularly difficult to grow, considering their constant need for sunshine. Enter the Veritable smart garden from Exky, which does it all for you. (Heidi Knapp Rinella/Las Vegas Review-Journal)
Bonnie Springs Ranch near Las Vegas being sold to developer
Bonnie Springs Ranch near Las Vegas is being sold to a developer, set to close in March. Bonnie Springs, west of Las Vegas off State Route 159 — next to Spring Mountain Ranch State Park — spans more than 60 acres and was on the market for $31 million. The developer and his project partner are under contract to buy the ranch and plan to chop it up mostly into custom-home lots. The plans includes a 25-room motel, a restaurant and a 5,400-square-foot event barn.
Bone-conduction headphones form Aftershokz
Aftershokz offers bone-conduction headphones - headphones that don’t go in the ear.
CES Happy Hour party at Hangover Suite at Caesars Palace
Conventioneers mingled during the Hardware Massive CES 2019 Happy Hour Bash at The Hangover Suite at Caesars Palace in Las Vegas. (K.M. Cannon/Las Vegas Review-Journal) @KMCannonPhoto
Autonomous Cars and Futuristic Aircraft Rule CES
Day two of CES was dominated by autonomous cars and futuristic aircraft in the North Hall of the Las Vegas Convention Center.
TekNekSavr fights neck problems caused by smart phones
Atiya Syverson invented the TekNekSavr to help fight neck and head problems caused by strains while typing on smart phones. (Mat Luschek/Las Vegas Review-Journal)
New eyeglasses know if you fall and call for help
The French company Abeye has created eye glasses that will detect if the wearer falls and call for help. (Mat Luschek/Las Vegas Review-Journal)
Company that creates vibrator-like device claims genders bias against CES
Lora DiCarlo is a women-run start-up that creates a vibrator-like device designed for female pleasure called the Osé. This year they were awarded the CES Innovation Award in the Robotics and Drone Category, but a month later the Consumer Technology Association, which runs CES, rescinded the award and their booth. Haddock and her team believe it is a reflection of gender bias and sexism in an industry with a long history of male domination.
CES-Wagz has new pet products
Wagz has three new products to help create better lives for your pets in a digital world. One is a collar with LTE tracking and an HD camera. Also a smart pet door that only lets your pet in and out. Lastly, a device to humanely keep Fluffy out of certain areas of your home. (Mat Luschek/Las Vegas Review-Journal)
TOP NEWS
News Headlines
ad-infeed_1
ads_infeed_2
Local Spotlight
Home Front Page Footer Listing
Circular
You May Like

You May Like