Another big retailer is leaving struggling malls behind.
Gap Inc. announced Thursday that it will close 350 of its stores —220 of its namesake Gap shops, and 130 Banana Republic outposts — by early 2024, ABC News reported.
Eighty percent of its remaining stores will be in off-mall locations, according to ABC News.
“We’ve been overly reliant on low-productivity, high-rent stores,” Gap CEO Mark Breitbard said during an investor call. “We’ve used the past six months to address the real estate issues and accelerate our shift to a true omni-model.”
The move comes as Gap attempts to reinvent itself, focusing predominantly on outlets and e-commerce.
But this doesn’t necessarily mark the end of Gap: The retailer plans to open 30 to 40 new Old Navy stores in the next three years, and to add around 100 new Athleta stores to its portfolio. Old Navy currently has about 1,200 stores, and Athleta has around 200. [ABC News] — Sasha Jones
Read more
Commercial
New York
CEO says bankruptcy is not goodbye, Ruby Tuesday
Commercial
New York
Gap must keep paying rent at Times Square flagship: Judge
Commercial
New York
The American mall: A survival guide