Alima Store Closure: Impact on Retail Sector in Luxembourg Station District

Alima Store Closure: Impact on Retail Sector in Luxembourg Station District

2024-03-14 22:28:55

A new store is closing its doors in the station district where empty cells are multiplying. This is the Alima store established since 2011 on rue Charles VI according to the online media Reportr. Information which has been confirmed with Comma by a store employee. The latter also assured us that station store employees would be reassigned to stores located in the city center and in Belair.

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A loss of 330,000 euros

At the time of writing, the store’s headquarters did not wish to comment further on Alima’s situation. According to the “Retail Report 2024” presented at the beginning of March by the Minister of the Economy Lex Delles (DP), the food retail sector experienced “extremely dynamic” growth between 2019 and 2023. The sector even gained in four years 100 new points of sale (+17.3%) and more than 23,000 square meters (+10.9%) of additional sales space.

But this positive situation is not reflected at the Alima brand according to our colleagues at Reporter. The balance sheets of “Alima Exploitation sàrl”, the entity operating the three supermarkets in the capital, indicate, according to the investigative media, a loss of 330,000 euros in 2022.

“By closing the subsidiary in the station district, the managers hope to find some breathing room and cash flow, without having to draw on their personal fortune or having to sell the family jewels, that is to say the real estate stock” , relieves Reporter.

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Note that the brand created in 1951 must also face the arrival of a new competitor in the food sector, namely that of Leclerc.

This week, another store in the station district announced its closure. After six and a half years of existence, the owner of Akabobuttek announced on social networks that he would cease his activity on June 1.

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