THE administrator of collapsed furniture chain Courts said last night it had agreed the possible sale of 14 of the group's stores to a retail turnaround specialist.

KPMG Corporate Recovery said SB Capital, which holds stakes in Land of Leather and Furnitureland, had agreed to take options to buy 14 of the shops by February 20.

SB Capital has also agreed to trade and to wind down the rest of Courts' 88 stores by that date, after which, the administrators will decide their future.

KPMG said it had told 200 staff at the group's head office in Morden, Surrey, yesterday, that it was making them redundant.

A spokeswoman for the administrators was unable to say how many people are employed at the stores that are due to close.

She said 4,000 people who had paid for furniture held in stores or warehouse would have it delivered.

All remaining customers who paid will receive their original order where possible, or would be able to choose an alternative item of the same value.

Those customers who paid by deposit would be offered an alternative item, less ten per centdiscount, while others would have a claim against their credit card companies, she said.

The stores will open on Thursday. Courts, which has an outlet in Portrack Lane, Stockton, Teesside, employs about 2,500 people. Joint administrator Mick McLoughlin said he and his colleagues did not receive any viable offers for the business as a going concern.

The chain's 88 stores have been closed since shoppers worried about orders threatened staff and damaged shops. The company will be unable to deliver goods not in stock as it has no money to pay the manufacturers.