Flip through the latest issue of Gulf Weekly.
IKEA, one of the world’s most popular ready-to-assemble furniture stores, will be coming to Bahrain … eventually.
After four years of a ‘will it, won’t it come to the kingdom’ saga, the Scandinavian retailer, which boasts a high-profile presence across the Causeway in neighbouring Saudi Arabia, says Bahrain is firmly in its sights.
Back in 2010, it was reported that the famous pick-up flat-pack furniture and items store would be opening up in Bahrain in 2014 and creating around 450 jobs.
As summer arrived there was still no sight of any construction of the brand’s distinctive blue and yellow coloured warehouse on the horizon, or sound from the global giant, until this week.
Smita Sengupta of Expansion Support, IKEA Markets, Inter IKEA Systems, based in Sweden, told GulfWeekly: “Please be advised that the franchise for Bahrain has been granted. There is, however, today, no exact date or location for a store opening.”
Earlier it was believed that IKEA would become the $100 million (BD37.8 million) anchor store for a new 100,000-square metre shopping mall located to the north-west of Bahrain Fort within the Nurana urban development project near Seef district.
The development by JV Partners was a consortium formed by Al Salam Bank, Siraj Capital and Al Aoun Capital that aimed at developing a premium destination mall designed to meet local and regional consumer needs.
Each partner was said to have an equal stake in the project, which would be funded 30 per cent through equity and 70 per cent by borrowing.
The IKEA agreement to anchor the mall was signed by Al Salam Bank chief executive officer and director Yousif Taqi and IKEA Saudi Arabia chairman Dr Ghassan Al Sulaiman in the presence of IKEA’s expansion director Ed de Bont, GulfWeekly reported.
Dr Al Sulaiman said: “Our franchise relationship with IKEA goes back 29 years and we are proud to be part of its growth in Bahrain and the region.
“IKEA Bahrain will also bring training and job opportunities to Bahrainis and will attract additional large retail offerings to the Bahraini market.”
Al Salam Bank had not replied to GulfWeekly’s inquiries at the time of going to press.
IKEA has been in the GCC region since 1981 through outlets in Kuwait, UAE as well as Saudi Arabia. When we checked with IKEA’s Saudi operation we were told all enquiries should be referred to the company’s Swedish headquarters.
As well as DIY furniture such as beds, chairs and desks, IKEA also sells appliances and home accessories.
Devotees in Bahrain have to rely on family and friends working in Dhahran, a city located in the Eastern Province and a major administrative centre for the Saudi oil industry, to take their orders and drive back the packs.
As of January 2008, the company is the world’s largest furniture retailer. Founded in 1943 by then-17-year-old Ingvar Kamprad, who was listed as one of the world’s richest people last year, the company’s name is an acronym that consists of the initials of Ingvar Kamprad, Elmtaryd – the farm where he grew up – and Agunnaryd, his hometown in Småland, south Sweden.
The company is known for its modern architectural designs for various types of appliances and furniture, and its interior design work is often associated with an eco-friendly simplicity.
