ROANOKE TIMES

                         Roanoke Times
                 Copyright (c) 1995, Landmark Communications, Inc.

DATE: THURSDAY, May 12, 1994                   TAG: 9405120168
SECTION: CURRENT                    PAGE: NRV-2   EDITION: NEW RIVER VALLEY 
SOURCE: By STEPHEN FOSTER STAFF WRITER
DATELINE: BLACKSBURG                                LENGTH: Medium


COUNCILMAN WANTS BLACKSBURG TO ENCOURAGE ROSE'S TO STAY

Rose's has said it has to leave University Mall, but Town Councilman Al Leighton wants Blacksburg to make one more effort to persuade the store to stay.

With the closing of Rose's and Heironimus' move later this year from the mall to Christiansburg, Blacksburg will lose its last department store.

Near the end of Tuesday's Town Council meeting, Leighton made a motion asking Mayor Roger Hedgepeth and the town to encourage negotiations between Rose's and the mall's management in hopes of making it worthwhile for the department store to remain in Blacksburg.

The odds of the effort working appear slim, though.

"I don't want to get our hopes up that this is something easy to do," said Councilman Waldon Kerns. "It's very difficult."

But Leighton, who in recent months has criticized the management of University Mall, replied: "If we don't do anything, then you'll never know." The motion passed unanimously.

Leighton's motion comes in the wake of Rose's decision to keep a store in Lynchburg open after property managers there offered the company a better lease. The same situation occurred with a Rose's in South Boston, although the company later changed its mind and decided to go ahead with closing the store.

Rose's announced last month that it would close 59 stores nationwide as it undergoes reorganization under Chapter 11 bankruptcy proceedings.

Bob Gorham, a spokesman with Rose's, said, "It is highly unlikely that anything could be done to reverse the Blacksburg decision." The decision to leave open the Lynchburg store resulted in a Rose's in Front Royal having to close, a move forced by creditors' demands that Rose's keep with its decision to close a total of 59 stores.

Vicky Chastain, leasing director for Philadelphia's EBL&S Property Management, which owns the mall, expressed doubt that Rose's would be interested in keeping open a store that doesn't pull its weight in sales. Chastain said she has talked with at least 10 companies interested in moving into the space Rose's holds.

In both the Lynchburg and South Boston cases, the municipalities had nothing to do with the wavering, said Town Manager Ron Secrist. While the town would like to see Rose's stay, any part it might play would be on the outside looking in.

"I think it's a long shot," said Secrist.



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