SEATTLE (BRAIN) — REI Co-op has entered into a long - term sale - leaseback deal with Madison Capital for its four distribution center properties. The co - op stated that it will keep maintaining and operating these centers, and there will be no impact on its employees.
Madison Capital, a New York - based real estate investment firm, shelled out $230 million for the buildings and the land related to the distribution centers. These centers are situated in Sumner, Washington; Bedford, Pennsylvania; Goodyear, Arizona; and Lebanon, Tennessee. REI also mentioned that it will still own all the equipment and machinery within each facility.
REI's distribution centers play a crucial role in serving its over 190 stores and fulfilling customer online orders.
Back in May last year, REI reported a net loss of $311 million in 2023. Its yearly revenues dropped by 2.4% compared to the previous year.
In January, REI announced the closure of its Experiences division, which encompasses adventure travel, day tours, and classes. This decision led to the elimination of 428 full - time and part - time jobs within that division.
