Lord & Taylor is opening a small shop in New York City for the holiday shopping season.
The retailer closed its iconic 676,000-square-foot NYC store at the beginning of the year.
“After evaluating best-use scenarios for its New York City Fifth Avenue location, the Company has decided not to maintain a presence at this location,” its parent company, Hudson’s Bay Company, said at the time. “Exiting this iconic space reflects Lord & Taylor’s increasing focus on its digital opportunity and HBC’s [Hudson’s Bay Company] commitment to improving profitability.”
Just last month, the deal between Le Tote and HBC for Lord & Taylor officially closed. It was reportedly worth 99.5 million Canadian dollars in cash (USD$75 million at the time) and a secured promissory note for $33.2 million payable in cash after two years. All of Lord & Taylor’s remaining 45 retail locations will change hands.
But the retailer will temporarily have a presence in Manhattan with the launch of a 2,400-square-foot store. It will remain open for two weeks in mid-December in SoHo on Wooster Street. Sources said the move will give Le Tote the opportunity to re-connect with customers during the holiday shopping season.
A representative for Le Tote declined to comment.
Lord & Taylor has struggled in recent years with changing market dynamics and consumer tastes, declining mall attendance and difficulties moving inventory. Le Tote, on the other hand, is one of many digital brands tapping into the potential power of physical retail hubs. According to Le Tote CEO Rakesh Tondon, that power also applies to the resale and apparel rental businesses, as well as the actual business of selling clothes.
“By pairing tradition and technology, we are erasing the lines between online and in-store, renting and buying,” he said in a statement. “Today, more than ever, people aren’t single-brand or single-channel shoppers. They crave innovative, personalized experiences.”