New York’s Staten Island — Since the mall’s debut in 2019, Nordstrom Rack, the high-end business that served as the focal point of the Empire Outlets in St. George, has formally closed. Visitors are directed to shop at neighboring Nordstrom stores in Manhattan by signs displayed in the empty retailer’s windows.
We have decided to close our Empire Outlets Nordstrom Rack store (#511) at 15 Richmond Terrace Ste 301 in Staten Island, New York, as our lease is scheduled to expire in January 2025. The company previously informed Advance/SILive via email.
According to reports, the store closed on December 4.
The company stated that it had evaluated its network of stores in the New York City market prior to making the decision and that it will continue to serve customers in the area by concentrating on nearby Nordstrom and Nordstrom Rack locations, as well as online, citing the site’s lease expiration as the reason for closure.
According to the email, our other Nordstrom and Nordstrom Rack locations in the region will continue to operate. This includes two Manhattan Rack shops, our men’s store, our flagship store in New York City, and two Manhattan residents. At any of these sites, customers can still benefit from our portfolio of services.
Last year, Richmond County Supreme Court held a public auction for Empire Outlets, which debuted in 2019 and went into foreclosure in 2022.
At that auction, Goldman Sachs Urban Investment Group (GSUIG) paid $10 million to keep ownership of the St. George shopping center, ending a nearly two-year-long foreclosure process and disqualifying the mall’s former operator, BFC Partners, from ownership.
During the auction, a representative for GSUIG informed the Advance/SILive.com that the company is dedicated to Staten Island and finding the best solution for Empire Outlets.
A request for comment regarding the Nordstrom Rack shutdown was not answered by GSUIG. Nordstrom insisted that the closure is solely due to lease expiration and that the business is still in good standing.
During a recent Q2 earnings call, CEO Erik Nordstrom reported that the business’s financial performance are still good at the Rack banner. He also mentioned that the company established 11 new Nordstrom Rack locations last spring and plans to open 12 more this fall. Since their opening last year, rack stores have done well, drawing in new clients and yielding a healthy return on investment.
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