On behalf of Lang Law Office posted in Commercial Real Estate on Friday, August 12, 2016.
Macy’s said that it will close approximately 100 of its locations throughout the United States in 2017. However, it has not indicated which stores it plans to close. Minnesota boasts 11 stores around the state, but commercial real estate firms in the state do not report any information about whether some or all of our state’s Macy’s stores will survive.
According to information released by Macy’s representatives in the past, it does not appear that the Macy’s in downtown Minneapolis is at risk of closure. The Minneapolis Downtown Council president and chief executive officer said that the downtown Macy’s is one of the company’s four “legacy stores,” which include the stores in New York, Chicago and San Francisco as well.
In addition to Macy’s locations, the company also runs Bloomingdale’s stores. The retailer said it plans to increase efforts to sell exclusive products and focus higher investments into stores with the highest potentials for growth.
Also, Macy’s is facing pressure from its investors to liquidate some of the valuable real estate it owns. For example, Macy’s is interested in selling its men’s store in San Francisco, and integrating the operation with its Union Square location.
When a major retailer, which boasts sought after picks in real estate, threatens to close 100 stores across the country, it means that this choice real estate could be up for grabs. If any real estate locations come available at old Macy’s stores in Minneapolis, for example, commercial real estate attorneys will no doubt be working double time on behalf of their clients who might be interested in these properties for rent or for sale.
Source: mprnews, “Fate of Minnesota Macy’s stores is anyone’s guess,” Martin Moylan, Aug. 11, 2016