Gottschalks department stores plan return in November (Fresno, Vista: foreclosures, credit)

[FresnoFacts]

This might be good news for some since many smaller California cities lost their main or only department store when the company closed last year.

The former Chairman of Gottschalks, Joe Levy (he is also great-nephew of original founder Emil Gottschalk), announced today he is reviving the company with the first store planned for a November opening.

They will open the first store in the former Gottschalks store at Sierra Vista Mall in Clovis, adjacent to Fresno. Kohls is also opening this fall in that mall's empty Mervyns joining the existing Sears and Target.

This time the company will drop the "s" and be known as Gottschalk. That avoids any infringement on the old name and honors the original founder.

Corporate HQ will once again be in the Fresno/Clovis area. So far they have initial venture capital and are pursuing additional financial investment. But the plan is to be privately owned, not a public corporation.

They are also looking at the still-vacant locations in Auburn and Oakhurst as early store sites.

Other sites will be examined as they make sense with an initial focus on smaller cities in the Central Valley and in the foothills, using former Gottschalks sites as well as empty Mervyns or other empty retail locations.

The plan is to focus on clothing, cosmetics and shoes, housewares, and gifts.

[NewToCA]

Any idea how they plan to position themselves in the market? Do they plan on having stuff priced more at the Kohl's or the Macy's level?

[Curmudgeon]

Good news for the central valley.

[Adriatica]

I just saw this today. Very interesting. Could be quite a good thing for Sierra Vista mall.

[FresnoFacts]

Hard to say at this point about the merchandise and pricing levels.

The media coverage says that one of the differentiations they want to emphasize is with customer service which Levy feels is missing from Kohls and others. He is currently saying the products are "high-quality fashions, and merchandise at a very competitive price."

One article I've seen says he wants a quality shoe department, so I assume he wants to step that area up from the previous quality/price level.

[FresnoFacts]

Originally Posted by Curmudgeon

Good news for the central valley.

One of a couple of potential economic bits that I hinted a few days ago are floating around for the Fresno region. We will see how many get off the ground and announced in the next few months. This part of the Valley could see a decent climb out of the recession this year.

Originally Posted by Adriatica

I just saw this today. Very interesting. Could be quite a good thing for Sierra Vista mall.

The city of Clovis currently is finishing the review of the remodeling plan for Kohls to go to Sierra Vista also. They want to remodel the old Mervyns and open by fall.

So with Gottschalk all the anchor positions will be filled by Christmas. The mall owners are probably looking forward to the holidays.

[Chichappens]

the name is tarnished with bad debt.....Like the copy indicates they are removing the S and calling it Gottschalks by Joe Levy more like a sentance for a store..... it is NOT the same store it is a different store with different owners just trying to get back the old GOttschalks customers....... and being that we are now deeper then a recession more of a depression...who are they kidding. mind you Joe is 78 yrs old and who knows what he is thinking at that age and if he will every see it happen...Standard & Poors IS NOT GIVING THEM Credit and will not so any thing this elderly man puts into this is his own $$$$ and I doubt very much if you will see this even open in one location. Since most of the malls expect good track record and credit and this store has neither.

[revelated]

It's actually a bold move in this economic landscape. Here we have record breaking foreclosures, job losses and immigration, plus high taxation and a toxic environment for businesses who want to set up shop here (there was an article about that some time ago). Kudos to them, though they will need to appeal to those who remember the name and advertise like mad. Kohls has that market on lock these days.

Maybe one day someone will open "City of Circuits" so Best Buy isn't ripping people off like they have been.

[Chichappens]

I think you meant Circuit City and i agree Best buy is FAR FROM A BEST BuY

[revelated]

Originally Posted by Chichappens

I think you meant Circuit City and i agree Best buy is FAR FROM A BEST BuY

My post was intended to allude to the fact that these guys are reopening "Gottschalks" with a slightly altered name so as not to infringe on the original name's rights. "City of Circuits" or "Electric City" or "Conduit City" would be a perfect way to do the same yet revive the only store that kept Best Buy under control just by its presence. BB's prices are WAYYY out of control - to the point that they even add more tax to maximize profit.