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Publix Super Markets’ purchase of 49 Albertson’s LLC locations in Florida will cost the chain about $500 million, or more than $10 million per store, said Publix in a quarterly filing with the Securities and Exchange Commission. Financial terms for the transaction had not been previously announced.
The purchase, expected to be completed in September, includes stores owned by Albertson’s as well as stores with ground leases and traditional leases, according to the filing. Lakeland, Fla.-based Publix has said it would finalize the purchase with internally generated funds or liquid assets.
The filing said all of the Albertson’s stores would be closed for a time that will be determined by how long it takes to make improvements. Publix said it expects to open most of the stores up to 18 months after the deal closes.
The acquisition includes 21 stores in the Tampa Bay area.
Albertson’s LLC will close four Florida stores by the end of this month, and will still operate 40 stores in Florida once the Publix deal is completed. Albertson’s is owned Cerberus Capital Management.
In other Publix news on Friday, the chain said it would cut prices on staple items. Publix will “dramatically” lower prices on milk and other items for periods extending beyond traditional sales, according to spokeswoman Shannon Patten. One current promotion in the Tampa Bay area has Publix milk priced at $3.79 per gallon. According to the Lakeland Ledger, a gallon of Publix milk sold for $4.69 last week in the same area.