LUCKY'S WAREHOUSE FORMAT SAID TO BE ON HOLD

ELLIOT ZWIEBACH

LONG BEACH, Calif. -- The Super Saver warehouse format operated by Lucky Stores has been put on hold, according to Bernie Labowitz, real estate manager for American Stores Properties, Buena Park, Calif.

Labowitz spoke during a panel discussion at a symposium on small centers sponsored here by the International Council of Shopping Centers, a New York-based shopping center trade group.

Expansion of the Super Saver format will not proceed "until we understand the [warehouse store] concept better," Labowitz said.

Lucky operates eight Super Savers in southern California and six in northern California -- all of which were underperforming Lucky stores that were converted to the Super Saver warehouse format, Labowitz told symposium attendees.

"We took a lousy Lucky and converted it to a warehouse store and now we have a lousy warehouse store," he said. The alternative that Lucky is pursuing, he said, is a new prototype of 62,000 square feet with a large Max Pack section. "That's our answer to warehouse stores, and it works well for us," he said.

Asked by SN whether the format has been put on hold, American Stores, Salt Lake City, issued the following statement: "The Super Saver stores currently in operation are meeting or exceeding the company's expectations for sales and profits at this point in their operations. While we have no plans at present to further expand the Super Saver operation, that doesn't exclude them from future expansion should a suitable site be found."