Shopping Centers Today International

FEB 2016

Shopping Centers Today is the news magazine of the International Council of Shopping Centers (ICSC)

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Macy's cuts costs after holiday sales disappoint After a disappointing holiday sales season, Macy's Inc. says it plans to cut $400 million in costs by laying off staff at its Cincinnati headquarters and in its 770 stores. The company announced last month that it would close about 40 stores and has now specified 36 that are to be vacated. The retailer's same-store sales tumbled by 4.7 percent for No- vember and December combined. An increase in online sales helps offset a decline from weaker international tour- ism spending and from unseasonably warm weather that caused winter ap- parel and gear to sit on shelves unsold, according to the company. Meanwhile, Macy's Inc. plans to further reduce its real estate footprint by selling and redeveloping space in its top stores. The retailer has hired invest- ment bank Eastdil Secured to help monetize its mall anchor and freestand- ing stores through joint ventures with landlords and other retailers. Macy's has plans to hire a senior-level real estate executive to oversee real estate activities, including the leadership of any partnerships or joint ventures. New York City–based developer Tishman Speyer has expressed interest in pursu- ing partnerships on the four flagship properties and so will not be advising the company on those. Tishman Speyer will, however, help Macy's maximize the value of other real estate in its portfolio. Stance steps offline Sock brand Stance has raised $80 mil- lion to fund its expansion. The com- pany already sells its merchandise in Nordstrom stores. When items don't sell at Nordstrom, Stance takes the inventory back instead of market- ing it down. Stance then sells the socks in its own stores. The company currently operates two physical stores, in New York City and Orange County, Calif. Finish Line to close stores Athletic-footwear chain Finish Line says it plans to close as many as 150 stores over the next four years to help trim costs. The Indianapolis-based chain posted $21.8 million in losses for its fiscal third quarter (ended Nov. 28). Same-store sales fell by 5.8 percent dur- ing the period. r e t a i l i n g t o d a y F E B R U A R Y 2 0 1 6 / S C t 29 Shopping Center Management n Leasing n Redevelopment Bruce Strumpf, Inc. 2120 Drew Street, Clearwater, FL 33765 727-449-2020 • Fax 727-449-2212 email: johnstoner@brucestrumpf.com www.brucestrumpf.com Jill Strumpf, CSM President John F. Stoner, CCIM Director of Leasing MEMBER T u r n Y o u r P r o p e r t y O v e r T o T h e E x p e r t s S e r v i n g F l o r i d a f o r o v e r 3 0 y e a r s w i t h o v e r 3 . 8 5 m i l l i o n s q u a r e f e e t

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