Phoenix Store

Ten Ole's stores in the Phoenix, Az., area are being closed by Builders Emporium, a unit of Wickes Companies, Inc.

The action, one of the first undertaken by James T. McKitrick, newly named president and ceo at BE, was said to be due to continued poor profit performance, resulting from an over-population of retail home improvement stores in the area.

With warehouse chains such as Home Club and Home Depot entering the market. existing stores including Ole's, Payless Cashways, O'Malley's and Ray Lumber Co. have been struggling to survive. Estimated market values for metro Phoenix vary from $9ll million in 1988 sales to $626 million.

Since entering Arizona in 1983, Home Depot has achieved market dominance with seven stores plus two in Tucson. Although the company has not announced plans for future stores, Lonnie Fogel, director of public relations, says they will continue to develop the state.