Neiman Marcus to Close Its Store at Manhattan’s Hudson Yards
Neiman Marcus to Close Its Store at Manhattan’s Hudson Yards
(Bloomberg) -- Neiman Marcus Group Inc., the luxury retailer that’s making its way through bankruptcy proceedings, said it will permanently close its store in New York City’s Hudson Yards along with three other U.S. locations.
Its planned exit from Hudson Yards comes just over a year after the mall at the mega-project opened to much fanfare in March 2019. The three-story store -- Neiman Marcus’s first Manhattan location -- served as an anchor tenant to draw shoppers to the far west side development.
The Shops & Restaurants at Hudson Yards, along with thousands of other retail properties across the U.S., went dark earlier this year in an effort to stem the spread of Covid-19. While reopenings have begun, the pandemic further challenged an already-struggling retail industry, and bankruptcies have accelerated.
Dallas-based Neiman Marcus filed for Chapter 11 bankruptcy in May as it worked to navigate the impact of the pandemic and its crushing load of debt.
Neiman Marcus provided the court with a list of stores that will be closed as part of Chapter 11 proceedings, the company said in an email. Closing the locations “will help ensure the continued long-term success of our business and underscores our unrelenting focus on providing unparalleled luxury experiences and engagement.”
The retailer also said it plans to close locations in Fort Lauderdale and Palm Beach, Florida, and Bellevue, Washington. The plans were reported earlier Friday by CNBC.
At the Hudson Yards mall, other tenants include the Japanese home-goods retailer Muji, whose U.S. division has also filed for Chapter 11 bankruptcy.
“It is unfortunate that Neiman’s was unable to achieve the success that other retailers have found at Hudson Yards, and we look forward to welcoming the designer brands who drove Neiman’s sales to their own stores in the retail center,” developer Related Cos. said in an emailed statement.
The store’s departure also provides an opportunity to “create incredibly attractive office space,” the real estate company said.
Related has been marketing Neiman Marcus space as offices for several weeks, targeting technology and finance tenants, according to a person with knowledge of the matter.
©2020 Bloomberg L.P.