The spokesperson did tell GlobeSt.com that the stores are located in Phoenix; Anaheim, CA; Hollywood; Los Angeles; Ontario, CA; San Francisco; Denver; Orlando; Grapevine, TX; and two stores in New York City in the Times Square and Union Square areas. "The acquisition of Virgin Megastores North America is a tremendous opportunity for Related to provide strategic value and exemplifies Related's investment strategy," notes Related Cos. president Jeff T. Blau.
Blau adds that "Virgin Megastores is a well-managed premier retail brand of top-tier entertainment lifestyle stores. Their evidenced commitment to progressive business strategies and service makes them an ideal partner. We look forward to leveraging the resources and synergies between our two great brands."
Sir Richard Branson, founder and chairman of the Virgin Group, says "Virgin Megastores in the US has enjoyed a brilliant two decades as a music and lifestyle retailer, and I am so proud of what we've been able to offer consumers. With most of our global retail operations now franchised, Virgin Group will continue to focus on being a global leader in transportation and renewable energy, with interests in financial services, communications and media, health and leisure."
Continuing employment contracts have been put into place with senior management and Related expects to continue to make key investments into the company, its assets and its future. According to a release, Virgin Megastores has experienced continued growth in 2007 with a 10% increase in comparable music sales through fourth period, and a 17% increase in overall comp sales over last year. Virgin Megastores have also seen significant sale increases in several other departments including an 11% increase in DVD sales and a 26% increase in interactive games' sales, together with an average increase of 30% in fashion and electronics.
Simon Wright, CEO, Virgin Entertainment Group, adds, "we'd been looking for a strong investment firm to work with to continue the successful repositioning achieved by Virgin Megastores USA. Related has a strong track record of investment and shares Virgin's values."
The corporate acquisition is another example of Related's value-added investment strategy. In 2006 Related acquired Equinox Holding Inc., an operator of upscale fitness clubs and spas in New York, Chicago, Los Angeles, San Francisco and South Florida. That same year, Related Cos. was part of an investor group that brought leading international developer and operator of destination resorts, casinos and luxury hotels Kerzner International Ltd. private.
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Natalie Dolce
Natalie Dolce, editor-in-chief of GlobeSt.com and GlobeSt. Real Estate Forum, is responsible for working with editorial staff, freelancers and senior management to help plan the overarching vision that encompasses GlobeSt.com, including short-term and long-term goals for the website, how content integrates through the company’s other product lines and the overall quality of content. Previously she served as national executive editor and editor of the West Coast region for GlobeSt.com and Real Estate Forum, and was responsible for coverage of news and information pertaining to that vital real estate region. Prior to moving out to the Southern California office, she was Northeast bureau chief, covering New York City for GlobeSt.com. Her background includes a stint at InStyle Magazine, and as managing editor with New York Press, an alternative weekly New York City paper. In her career, she has also covered a variety of beats for M magazine, Arthur Frommer's Budget Travel, FashionLedge.com, and Co-Ed magazine. Dolce has also freelanced for a number of publications, including MSNBC.com and Museums New York magazine.
