Sainsburys Reveal GBP900m Aggressive Expansion Plans

Sainsbury’s has revealed plans to spend between £800m and £900m building, refitting, and extending stores in 2010 in a bid to increase it presence in the UK market.
Following on from a better-than-expected 11.3 per cent rise in annual profits, the supermarket giant said it is now seeking to add a further 5 per cent of floor space to its portfolio in the coming year, despite the gloomy economic climate.
Under its new plans, half of the growth will come from new stores and the other half from extensions to existing ones.
Last year, 13 new Sainsburys stores were opened, a further 13 were refurbished and 21 were extended, resulting in gross floor space of 4 per cent.
The company said it was keen to advance with its aggressive expansion plans, saying: ” Sainsburys has a significant portfolio of properties with development potential.”
Chief executive Justin King added: “The environment for growing space is changing as opportunities to acquire land for development and new stores are becoming more available and at more attractive rates than in recent years.”
“Sainsbury’s will seek to take full advantage of the unique opportunities available at the current time.”