Pier 1 Imports, the Fort Worth, Texas-based specialty retailer, has announced an agreement to sell its headquarters to a subsidiary of Forth Worth-based Chesapeake Energy Corp.
“We have spent the past year evaluating options concerning our headquarters,” explained Alex Smith, president and CEO of Pier 1. “We had three goals in mind: recouping our investment, minimizing on-going costs, and finding a quality business partner for a leasing relationship. The deal that we have structured with Chesapeake accomplishes all three goals.”
The company, which has been plagued with 16 consecutive quarters of financial losses, has maintained its headquarters since the building was completed in 2004. The company plans to continue to occupy approximately 250,000 square feet of the building and expects to enter into a seven year lease agreement at closing of the deal. Financial terms of the deal were not disclosed.
The company will report fourth quarter and fiscal 2008 results on April 10.