An embattled Union Square in San Francisco is losing an Express clothing store, while welcoming a new Banana Republic.
The Ohio-based Express will shutter its store on Oct. 22 at 301 Geary Street, the latest retailer to flee its home of 10 years in Union Square, the San Francisco Chronicle reported.
At the same time, Banana Republic has opened a new flagship store at 152 Geary Street, in the heart of the upscale shopping district, according to the newspaper.
Express joins an exodus of retailers out of Union Square since the pandemic, including Nordstrom, Abercrombie & Fitch, Old Navy, Uniqlo, DSW and H&M. The apparel firm is directing customers to its store in the Stonestown Galleria. The closure was first reported by SFGate.
In August, Express announced it wanted to cut $150 million a year in expenses by 2025, with $80 million in savings this year and another $120 million in savings next year, including $30 million from job cuts.
“We are conducting a comprehensive review of our business model to identify actions that we believe will meaningfully reduce pre-tax costs and enable a more efficient and effective organization,” CEO Tim Baxter said in a statement before stepping down on Sept. 15 because of declining sales.
Banana Republic, a division of San Francisco-based Gap, has peeled away some of its retail outlets.
In addition to its old flagship on Grant Avenue, Banana Republic has closed two Bay Area stores in the past year, one at Embarcadero Center and one at the San Francisco Centre, according to the Chronicle.
It was supposed to open in Union Square last summer after Gap signed a 10-year lease at the 11,000-square-foot building at 152 Geary owned by Thor Equities Group, which had struggled to refinance a $11.5 loan tied to the three-story property.
The new Banana Republic is a two-story, heavily curated store featuring its boutique collections. Sandra Stangl, CEO of Banana Republic, told the Chronicle it would open the “next chapter in the BR story as a premium lifestyle brand.”
Union Square Alliance Executive Director Marisa Rodriguez said Union Square has seen an upswing in foot traffic and tourists, plus an expansion of luxury brands such as Saint Laurent and Bottega Veneta, which opened new stores on the same block as Banana Republic.
“We’re catching up, but the media continues to tell the story of a war-torn hell down here,” Rodriguez said. “It’s not the case.”
— Dana Bartholomew
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