Mitre 10’s Expansion Plans Start New Year in Christchurch

16 February, 2012

Mitre 10’s Expansion Plans Start New Year in Christchurch

Mitre 10 has confirmed it will complete at least four new Mega stores in 2012 bringing up to 200 new jobs to locations in Whangarei, Rotorua, Manukau and Christchurch.

The new year construction programme for New Zealand’s largest hardware and gardening retailer began last week with earthworks under way at a new site in the Christchurch suburb of Hornby. The site is about 400 metres from the current Mega store and the expansion will create 10 new jobs.

The 11,000 square metre new Hornby store will replace the current store of 5500 square metres as demand in the area has outgrown the location. Mitre 10 Chief Executive John Hartmann also confirmed plans to completely rebuild the Ferrymead Mega store which was damaged in the both major quakes in the city.

“We are really committed to the Christchurch area which has been very successful for Mitre 10. The Ferrymead team have been great in continuing to service their area but the store suffered significant damage and we will rebuild it sooner rather than later,” said Mr Hartmann.

“Site foundation work began in Rotorua (7600 sqm) and Whangarei (5500 sqm) late last year and we are currently in the process of finding general managers for both of those stores. The first major task for those appointees will be to recruit their teams.

“We’re expecting to recruit up to 60 staff for the new Rotorua store and 30 more staff for the Whangarei Mega store that is replacing the current much smaller Mitre 10 store.”

Mr Hartmann said up to 80 new jobs will be created when Mitre 10 opens its first Mega store in the Manukau City centre.

“There is huge growth through the southern Auckland city area and you also have big catchments of DIY and trade customers in the Alfriston and Clevedon lifestyle block areas. We’ve had stores in Manukau for more than 20 years but this will be the first Mega store and we think the large format store will suit local demands. Our stores also tend to increase foot traffic in the area bringing benefits to other outlets in the Manukau City centre.”

Mr Hartmann said the focus on construction of new large format Mega stores was being driven by customer demand and the popularity of the format.

“We had to double the size of our first Mitre 10 Mega store in Hastings last year because demand outstripped the site in just seven years and it’s the same story for the new Hornby store. The Hastings store was one of eleven new mega outlets opened in the past 18 months and we have several other new Mega store locations in our sights.

“The mix of trade and retail facilities, a huge gardening section, cafes, play areas for children and our continued focus on improved products and ranges in the Mega stores is bringing in customers.

“The appeal of the format to customers is also being reflected in upward trends in our sales figures and that in turn is driving our growth. The building programme means we have more than double the number of outlets of our main rival in the sector and gives us a truly national footprint.

“Our projected group revenue of almost $900 million for the year to June 30, 2012 also means we have surpassed nearest rival Placemakers as No.1 in the retail/trade hardware and home improvement sector by sales.”

ENDS

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