Douglas Crossing Duty Free's Michael Beler sells minority stake to rival Peter Raju – 20/11/04
Published: 20/11/04
Source: ©The Moodie Report
By Martin Moodie
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An artist's rendering of the spectacular permanent store to be build at Douglas Crossing |
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Michael Beler: Glad to be closing the door on a long-running dispute
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CANADA. Michael Beler, owner and creator of Douglas Crossing Duty Free (DCDF), has sold an unspecified minority stake in the land border duty free retailer to his rival Peter Raju of Canadian Duty Free Group.
The agreement brings an end to a long-running dispute between Beler and Raju. Douglas Crossing Duty Free is located in Surrey, British Columbia, and has been trading in temporary facilities since 13 November 2003. This situation followed a bitter row with Raju – whose bid for the location under the Peace Arch Duty Free banner failed – and landlord the Semiahmoo First Nation.
Raju contested the award of the licence to Beler’s company. Raju claimed at the time that he had signed an agreement with the Douglas Crossing Duty Free owner to purchase the company and help it secure the necessary land lease.
That position was refuted by Beler who overcame the initial legal challenge and opened the temporary store. But the dispute has rumbled on and in an
interview with The Moodie Report in Quebec last month, during the Frontier Duty Free Association convention, Beler hinted that a resolution was in sight. A permanent store needed to be built, he insisted, to allow the full potential of the crossing to be realised.
In a statement to The Moodie Report he said: “DCDF is pleased to announce that Mr Raju has acquired a minority position in the company. In addition DCDF has appointed Mr Raju as the General Manager of the operation. These changes are effective 18 November 2004.”
Raju issued a statement at the weekend in which he said that, following the new agreement, he will implement the construction and financing of a new 25,000sq ft store comprising 15,000sq ft of retail space, 4,500sq ft of lobby & promotion area and 5,500sq ft of warehouse space. The new store should be open by November 2005, he said.
He said he will immediately “provide exceptional savings to the travelling public at the Peace Arch border location”. The focus of promotions will initially be on liquor and cigarettes, he added, since the traffic pattern is focused on Canadians travelling south.
MORE STORIES ON DOUGLAS CROSSING DUTY FREE
Michael Beler optimistic that Douglas Crossing will gain permanent store – 09/11/04
Douglas Crossing poised for belated border start-up – 06/11/03
Boost for Douglas Crossing Duty Free as it gains injunction against land-owner – 25/10/03
Douglas Crossing's Michael Beler wins injunction to stop border shop closure – 09/10/03
Michael Beler gains approval to run Douglas Crossing Duty Free border store in Canada – 30/09/03
Beler gets go-ahead for Douglas Crossing Duty Free – 06/08/03
Beler boss set to relocate to Vancouver following Douglas triumph – 21/03/03
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