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Dive Brief:
The historic Neiman Marcus in downtown Dallas will stay open through this year’s holiday season, Saks Global announced Friday.
Saks Global, in collaboration with the city of Dallas, is exploring reconceptualizing the space, which may include a luxury retail experience, a curated art exhibition, a fashion and event center or a space for manufacturing.
“The potential reimagination of this iconic shopping destination reinforces Saks Global’s commitment to redefining the luxury shopping experience,” Marc Metrick, CEO of Saks Global, said in a statement.
Dive Insight:
After months of back and forth, Saks Global and the city of Dallas have reached an agreement.
The luxury retail conglomerate originally stated that the iconic flagship would close Monday after over 100 years in downtown Dallas, citing a notice from its landlord to terminate its occupancy.
The deed for a small piece of land beneath the flagship was in question, which the city of Dallas would go on to acquire after a consortium of business leaders and city officials rallied together to keep the historic site open.
Saks Global at the time said that plans for the location’s closure were still in place and that the company would continue to grow its Neiman Marcus operation, but was instead focused on the $100 million renovation of its nearby store at NorthPark Center mall.
Dallas leaders called for meetings with Saks Global personnel, and back and forth ensued about who was rebuffing who.
Now, the retailer will stay in operation at the downtown location through the 2025 holiday season, with a potential reboot of it as a transformed space. Meanwhile, the retailer is continuing with renovation plans for its other Dallas store.
“As we explore opportunities for the Downtown store, along with the planned renovation at the NorthPark store, we will evaluate the opportunity to utilize both locations to serve different customer needs in the Dallas market,” Metrick said. The location’s bridal salon and Zodiac Room will remain open in the meantime.
Beyond what is happening in Texas, Saks Global recently addressed concerns regarding unpaid vendor invoices. In a February memo, Metrick acknowledged a backlog of unpaid vendor bills and laid out the company’s payment plans, which included a decision to delay past-due payments until July and then provide payment in installments.
HBC, which oversees Saks Fifth Avenue and its sibling companies, acquired Neiman Marcus Group for $2.65 billion last year. Saks Global was then established and became the parent company of Neiman Marcus, Bergdorf Goodman, Saks Fifth Avenue and Saks Off 5th.
Hudson’s Bay Company, which runs its namesake department stores, Saks Fifth Avenue and Saks Off 5th stores in Canada, would go on to file for the equivalent of bankruptcy protection earlier this month.