ABOUT OLLIE’S
* Headquarters: Harrisburg, Pennsylvania* Stores: 308 in 23 states mostly in Eastern U.S.* Units in Tennessee: 15* Net sales: $1.245 billion (estimated FY ended Feb. 2)* Future: Opportunity for more than 950 stores nationallySource: Ollie’s Bargain Outlet
Ollie's Bargain Outlet is coming to Hixson with plans to open in late March as the retail discount chain brings its "Good Stuff Cheap" slogan to Highway 153.
The retailer is leasing 38,000 square feet at Issa Crossing, a former Kmart store, as Ollie's opens its second Chattanooga unit, said developer Bassam Issa.
"The location is very good," he said about the site that's near Northpointe Boulevard. "It's in the middle of everything."
Issa said Ollie's is moving into revamped space next to Gabe's, a discount fashion store that leased 40,000 square feet and opened in 2018.
Texas Roadhouse built a standalone restaurant last year in the parking lot of the former Kmart that Issa bought and redeveloped in a $14 million project.
Only 37,000 square feet of space is unleased, the developer said.
"We have prospects but it's not leased," he said.
Ollie's opened its first outlet in Brainerd Village off Brainerd Road in 2013.
The retail chain sells closeout, excess inventory and salvage merchandise to customers at reduced prices.
Since the first Ollie's Bargain Outlet was opened in 1982, the Harrisburg, Pennsylvania-based company recently opened its 308th store.
Kenneth Rogers of Winesett-Hill Constructors said that company is fixing up the inside of the future Ollie's unit to ready the space for the retailer.
He said Ollie's is expected to start bringing in store fixtures later this week and then move in merchandise by the end of next week.
Issa said that plans are to turn the space over to Ollie's on March 8 and it's expected to open late in the month.
"We're handing them the space ready to bring in their products," he said.
Issa said Gabe's is doing "very well," and he believes he's bringing in "the right kind of tenants that fit Hixson."
In January, Ollie's reported that nine-month sales grew 16.6 percent in the period over the prior year. Comparable store sales climbed 7.1 percent, the publicly held company reported.
"We had an exceptional holiday period driven by strong deal flow with particular strength in our toy and housewares categories," said Mark Butler, the company's chairman, president and chief executive officer.
The retailer estimated that its fiscal year will end with net sales of about $1.24 billion, with comparable store sales growth of 4.4 percent.
The company projected adjusted net income per diluted share of about $1.81, excluding the after-tax loss on extinguishment of debt and excess tax benefits related to stock-based compensation.
Contact Mike Pare at mpare@timesfreepress.com or 423-757-6318. Follow him on Twitter @MikePareTFP.