Asda has launched a property review on four of its underperforming Asda Living stores.
Retail Week has learned that the stores include Manchester and Chester. It is thought that the Manchester store is not trading as well as others in the estate because at 12,000 sq ft it is too small to show the whole range.
The average Asda Living store covers between 20,000 sq ft to 28,000 sq ft. There are 27 Living stores currently trading.
The first Asda Living opened in 2004 and the supermarket has viewed the stores as an opportunity to claim ground in the fierce battle for non-food sales.
Last year it revealed plans for 150 in the long term, as it aims to become the UK’s biggest non-food retailer. However, sources have suggested to Retail Week that the grocer has since scaled back its ambitions, and is no longer pushing such an aggressive opening programme.
It is understood that while the four stores are “under review”, no decision has been taken on their future. However, it is likely they will close, with retailers being sought to assign the leases to.
Sources told Retail Week that despite the potential closures, an expansion programme remains underway. The source said Asda is still working out what format works best for the Asda Living shops.