Langhorne, Pa. - Sixth Avenue Electronics has opened its second Philadelphia-area store and has begun work on its third.
To support the expansion, the New York metro area specialty chain has acquired a 500,000-square-foot facility,
expandable to 1 million square feet, in
nearby Somerset, N.J., which now serves as its central distribution center and
houses its e-commerce and service operations. The company also plans to move
its headquarters there in the near future.
The new store, the chain's 18
, is located at the Oxford Valley strip mall, here, where it faces hhgregg's first Philadelphia site, which opened in May. The store had a soft opening Wednesday and officially debuts next week.
The company wouldn't disclose the location of its third Philadelphia store, slated to open in October, although a report in the Philadelphia Business Journal places it in nearby Deptford, N.J. The publication said Sixth Avenue paid $7 million for the two 35,000-square-foot sites, which were former Office Depot stores.
Sixth Avenue opened its first Philly store last year in Montgomeryville, Pa., across from fellow Progressive Retailers Organization (PRO Group) member World Wide Stereo.
The market, which had been devoid of a regional-chain presence since the demise of Tweeter Home Entertainment, is quickly becoming a CE/majap battleground as Sixth Avenue and hhgregg backfill the area. New York powerhouse P.C. Richard also plans to enter the region later this year with two big-box stores.
Sixth Avenue recently added major appliances to its mix under former Best Buy majap exec Tom Cook. Its newest stores will feature 10,000-square-foot white-goods departments with kitchen vignettes, live appliances and cooking demos, the company said.
Operations VP Tom Galanis doesn't believe the Philadelphia market can support three specialty chains, but said Sixth Avenue, which began in Manhattan, is well-versed in the high costs, cut-throat competition and tough, sophisticated customers of the New York-Philly corridor.