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 resulting from an incapability to come back to lease phrases with a landlord over a small piece of the property. However on Thursday, Saks seemed to be together with the flagship’s enterprise prospects as a think about closing the shop. In its assertion on efforts to resolve the problem, Saks cited “the sluggish resurgence of the downtown Dallas space during the last a number of years” and a choice amongst clients to buy the Neiman Marcus retailer in NorthPark Heart, 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 challenge from Neiman Marcus’ earlier homeowners and labored in good religion to come back to an settlement with the owner, who selected to terminate our occupancy. We acknowledge the place of the Dallas Consortium, notably given the sluggish resurgence of the downtown Dallas space during the last a number of years, and are prepared to listen to their perspective. Nonetheless, we have now to make selections as a enterprise about what’s greatest for the long run 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 more likely to sway Saks’ resolution to shut the shop.
As WWD reported, the consortium claimed Wednesday that it had reached a deal that might maintain the downtown Neiman Marcus flagship open. The deal includes the switch of the property in dispute to the town from the owner, thereby ending disagreements between the owner and Neiman Marcus involving the land lease. “Now we have reached an settlement for the land in query to be donated to the Metropolis of Dallas,” the consortium said Wednesday. “This transaction secures the continued operations of the flagship Neiman Marcus retailer in downtown.”
Nonetheless, Saks officers mentioned that as of Thursday, they didn’t obtain any documentation relating to an settlement between the owner, Slaughter Companions, and the Metropolis of Dallas, and the way this new settlement would have an effect on the property, its different homeowners and the shop’s capacity to function.
Marc Metrick, CEO, Saks International Working Group, in Thursday’s assertion mentioned, “Dallas continues to be a prime marketplace for the Neiman Marcus model. Based mostly on buyer knowledge, we all know that the overwhelming majority of our Dallas buyer base prefers to buy at our NorthPark retailer. We sit up for the $100 million renovation of this location, enabling us to supply a brand new stage of luxurious style and repair at considered one of our premier retailer places. We all know that the area people shares in our disappointment about dropping a chunk of Neiman Marcus historical past, however clients have expressed their pleasure in regards to 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.
