Saks International is doubling down on its resolution to shut the historic Neiman Marcus flagship in downtown Dallas.
Final week, Saks officers mentioned the choice to shut the flagship was as a consequence of an incapacity to return to lease phrases with a landlord over a small piece of the property. However on Thursday, Saks gave the impression to be together with the flagship’s enterprise prospects as a think about closing the shop. In its assertion on efforts to resolve the difficulty, Saks cited “the sluggish resurgence of the downtown Dallas space over the past a number of years” and a choice amongst clients to buy the Neiman Marcus retailer in NorthPark Middle, which can also be in Dallas.
Ian Putnam, chief govt officer of Saks International Properties and Investments, mentioned within the assertion, “The claims that the shop will stay open are deceptive for the Dallas group, our retailer workers and our model companions. Saks International inherited this lease subject from Neiman Marcus’ earlier homeowners and labored in good religion to return to an settlement with the owner, who selected to terminate our occupancy. We acknowledge the place of the Dallas Consortium, significantly given the sluggish resurgence of the downtown Dallas space over the past a number of years, and are keen to listen to their perspective. Nevertheless, now we have to make selections as a enterprise about what’s greatest for the longer term and our long-term success in Dallas and past.”
A gathering between a consultant from Saks International and the Dallas Consortium, which is a gaggle of metropolis leaders and businessmen with the purpose of enhancing downtown Dallas, is predicted subsequent week. It’s not prone to sway Saks’ resolution to shut the shop.
As WWD reported, the consortium claimed Wednesday that it had reached a deal that would maintain the downtown Neiman Marcus flagship open. The deal includes the switch of the property in dispute to town from the owner, thereby ending disagreements between the owner and Neiman Marcus involving the land lease. “We’ve reached an settlement for the land in query to be donated to the Metropolis of Dallas,” the consortium acknowledged Wednesday. “This transaction secures the continued operations of the flagship Neiman Marcus retailer in downtown.”
Marc Metrick, CEO, Saks International Working Group, in Thursday’s assertion mentioned, “Dallas continues to be a prime marketplace for the Neiman Marcus model. Primarily based on buyer knowledge, we all know that the overwhelming majority of our Dallas buyer base prefers to buy at our NorthPark retailer. We stay up for the $100 million renovation of this location, enabling us to supply a brand new degree of luxurious vogue and repair at considered one of our premier retailer places. We all know that the area people shares in our disappointment about dropping a bit of Neiman Marcus historical past, however clients have expressed their pleasure concerning the re-imagination of NorthPark.”
Saks mentioned it’s providing switch alternatives to close by Neiman Marcus places to associates affected by the downtown Dallas closing, which can occur on March 31. Those that are eligible have been supplied acceptable separation packages.
Saks acquired the Neiman Marcus Group final December.