The 124 stores consist of properties owned by Toys 'R' Us Inc. and stores with ground or operating leases. Office Depot plans to convert between 50 and 60 of the 124 stores into Office Depots. "The rest will be sold off," Office Depot spokesman Brian Levine tells GlobeSt.com. "We have significant interest from both developers and other retailers, so we are looking to sell off the other properties."

Of the stores to be acquired, seven are located in Florida. Not all of them will be converted into Office Depot stores, Levine says.

The sale to Office Depot is expected to be completed in phases over the next several months. The deal "allows Office Depot to expand our presence in existing core markets and will immediately give us access to large markets where we do not have a strong retail concentration," Levine adds.