Bankruptcy court gives Haggen approval to sell core stores

An auction on Feb. 5 could determine whether the Haggen brand will survive the company’s failed expansion and subsequent bankruptcy, according to documents filed in court on Dec. 4.

U.S. Bankruptcy Court in Delaware approved bidding procedures for an auction that will include 33 of Haggen’s remaining core stores.

The core stores are all in Washington and Oregon and include five stores and a stand-alone pharmacy in Whatcom County. The Bellingham-based grocer had previously intended to keep its core stores and reorganize around them as part of its chapter 11 bankruptcy process.

The auction will be held on Feb. 5. Haggen will seek court approval to sell to the high bidders at a hearing on Feb. 17, according to court documents.

The 33 stores are profitable and will likely draw interest from bidders if a previous auction is any indication. In November, Haggen held an auction for the stores it’s losing money on and received bids on most of them.

Comvest Partners, the private investment firm that owns a majority stake in Haggen, could bid on the stores or another buyer could purchase the stores and keep the Haggen brand.

Haggen went from owning 18 stores to 168 in its failed expansion earlier this year. The company bought 146 stores from Albertsons and Safeway, which sold them to gain Federal Trade Commission approval on their merger.

The company filed for bankruptcy on Sept. 8, less than seven months after opening its first new store. Last month, the company sold more than 80 stores throughout Arizona, Nevada, California, Washington and Oregon. Haggen has liquidated goods at many of the stores that it didn’t sell at auction.

Here’s a list of the stores for sale:

2900 Woburn St., Bellingham.
(pharmacy) 4545 Cordata Parkway, Bellingham.
2814 Meridian St., Bellingham.
210 36th St., Bellingham.
1401 12th St., Bellingham.
1815 Main St., Ferndale.
16471 Garden Way N.E., Woodinville.
1313 Cooper Point Road S.W., Olympia.
1406 Lake Tapps Parkway East, Lake Tapps.
2601 East Division St., Mount Vernon.
26603 72nd Ave. N.W., Stanwood.
1301 Avenue D, Snohomish.
757 Haggen Drive, Burlington.
8915 Market Place NE, Lake Stevens.
3711 88th St. N.E., Marysville.
201 37th Ave. S.E., Puyallup.
8611 Steilacoom Boulevard S.W., Tacoma.
3520 Pacific Ave. S.E., Olympia.
17520 State Route 9 S.E., Snohomish.
17171 Bothell Way N.E., Seattle.
3925 236th Ave. N.E., Redmond.
450 N. Wilber Ave., Walla Walla.
1128 NM. Miller St., Wenatchee.
114 E. Lauridsen Boulevard, Port Angeles.

19701 Highway 213, Oregon City.
1800 N.E. 3rd St., Bend.
61155 S. Highway 97, Bend.
1675 W. 18th Ave., Eugene.
1690 Allen Creek Road, Grants Pass.
31565 State Route 20, Oak Harbor.
14300 S.W. Barrows Road, Tigard.
16199 Boones Ferry Road, Lake Oswego.
3075 Hilyard St., Eugene.

Related Stories