Nordstrom to go dark in San Francisco

Nordstrom plans to close its two locations in San Francisco.

The department store retailer will shutter its 40,000-sq.ft. Nordstrom Rack on July 1. The 312,000-sq.-ft. Nordstrom at Westfield San Francisco Centre, will close by the end of August.

In deciding to leave downtown San Francisco, Nordstrom joins several other retailers that have closed or announced closures in the area, including Whole Foods Market, Anthropologie, Gap and Saks Off5th. The closures come as remote work has removed office workers from the downtown scene. 

In an all-company message, Jamie Nordstrom, chief stores officer, Nordstrom cited the company’s 35-year history of operating in downtown San Francisco and said, “decisions like this are never easy, and this one has been especially difficult.”

“But as many of you know, the dynamics of the downtown San Francisco market have changed dramatically over the past several years, impacting customer foot traffic to our stores and our ability to operate successfully,” he continued. “With both leases set to expire, and after looking closely at our opportunities in the region, we believe we can better serve our customers there by focusing on our 16 nearby Nordstrom and Nordstrom Rack locations, as well as online.”  

In his remarks, Nordstrom added that stores continue to play a critical role in the company’s strategy, with 20 new Rack store openings planned this year, and more to come in 2024. The state of California is prominent in the Rack’s planned expansion.

The company said that its Bay Area business (it has a total of 16 Nordstrom and Nordstrom Rack locations in the area) remains healthy and it has made significant investments in its stores there over the past several years, including a remodel at its Valley Fair Nordstrom store and improvements at its Walnut Creek and Corte Madera stores.”

A spokesperson for the Westfield mall said that a “growing number of retailers and businesses are leaving the area due to the unsafe conditions for customers, retailers, and employees, coupled with the fact that these significant issues are preventing an economic recovery of the area,” reported The San Francisco Standard.