Home Depot Begins Lowe's'Like Makeover

In an attempt to fend off strong competition from Lowe's, Home Depot has started drastically remodeling select stores.

One of the first completed remodels is an eight-year-old Atlanta, Ga., store that now features shiny floors, bright lights, white walls and a little less orange.

The makeover involves remaking the entire store, department by department.

"It would be like if you bought a house and gutted it completely and started with the shell," said Tom Taylor, president of Home Depot's

Smaller Lowe's Coming

Lowe's Cos. has unveiled a small-store prototype to make smaller markets more profitable.

In a recent presentarion to stock analysts, chief financial officer

Bob Hall said the typical Lowe's home center covers 116,000 sq. ft. and costs nearly $17 million to build plus $5 million for inventory.

Eastern Division.

Depot will spend $250 million this year to remodel older locations across the country, which is part of a Plan to invest more than $4 billion in its stores.

Right now the average Home Depot store is five years old, though more than a quarter of the chain's 1,576 locations are seven or older.

So far, Home Depot has completed six such "Type A" remodels. Ithas 22 under way.

At its newly remodeled Atlanta store, the front walls, which used to be a big orange mass, are now all white except for an orange stripe. And the traditional orange racking now is beige, except in commodity departments such as lumber.

The two other levels of remodeling are "Type B," which involves resetting select departments, and "Type C," which involves minor changes such as painting, paving and cleaning.

Portland Dealer ExPands

Uptown Hardware, Portland, Or., will open its third store this September when its expands to the city's Pear District neighborhood

The new model, to be introduced in small markets this year, covers 94,000 sq. ft., and costs $10 million to $12 million to build and $3.5 million to stock.

In general, the smaller stores would be in markets with 15,000 to 35,000 households. Of the 130 Lowe's stores to open this Year,57 are in smaller markets.

In-line printing

o At rapid speeds (400 FPM) o ln harsh environments r lnstantly variable information o EasV networking

Matthews Grade Marking System provides improved mark quality and consistency. The 3400 also gives you the ability to add variable information and decreased operating and maintenance costs. The complete system offers ease of use and greater flexibility.

41 2-665-2500 . Fax 412-365-2042

I l{t(-J ET, EICHlll G, C0 llTAcT PB I llTl HG, lllDElfnilG

The 15,000-sq. ft. store, to be named Pearl Hardware, will be the only hardware store in the neighborhood. Pro-orientated W.C. Winks Hardware moved out of the area in May 2001.

Pearl Hardware will offer a bigger selection than the two UPtown Hardware locations, said owner Sherry Cook. The other Portland stores are 6,000- and 4,000-sq. ft.

The opening is not without risk, as speculation increases that a big-box retailer may soon settle in across the river.

Krauter Adds Design, Construction

Krauter Storage Systems, Indianapolis, In., is partnering with an architectural design firm and a construction company to offer lumberyards a full range of remodeling and construction services.

Krauter will supply the racking systems, KKE Architects can plan the changes required by the installation, and the Building Division of Kraus-Anderson Construction Co. will coordinate and supervise construction.

The service frees retailer from a sticky situation. "Store owners daily work with trade contractors and vendors who make up their customer base," explained Chris Krauter.