Union Square Macy’s Escapes the Ax In Latest Macy’s Closure List, But Its Days Are Likely Still Numbered
Jan 10, 2025
Department store chain Macy’s just announced they’re closing more than 60 stores nationwide, and while the SF Union Square store is not on the imminent closure list, it is still clearly on the chopping block.Once-mighty department store chain Macy’s has, in recent years, generally announced a slew of store closures of their most "underproductive” stores right after the holiday season ends. We are well aware of this in San Francisco, because in early 2024, Macy’s announced it was closing its SF flagship store in Union Square, along with 150 other doomed Macy’s locations nationwide. That was another political hit to embattled then-Mayor London Breed, and set off thus-far unsuccessful attempts to get Macy’s to change its mind on that. Well, today was that Black Friday for Macy’s shoppers and employees across the US, as Macy’s announced the closures of 66 of its stores nationwide. The good news is that the SF Union Square Macy’s was not on that list. The bad news is that it is still effectively on Death Row, but being kept on life support, and almost certain to be shuttered once Macy’s finds a buyer or buyers for the multi-building property. The Bay Area still sees some of its Macy’s getting closed down on the latest closure list. The official Macy’s store closure announcement says it will be curtains for the Corte Madera Macy’s in Marin County, and the Macy’s in Alameda County's Newark. Additionally, the Macy’s at Sacramento’s Downtown Plaza is also done for. The Macy’s at San Mateo’s Hillsdale Shopping Center is not being closed, but it is downsizing and eliminating its furniture department. “Closing any store is never easy, but as part of our Bold New Chapter strategy, we are closing underproductive Macy’s stores to allow us to focus our resources and prioritize investments in our go-forward stores, where customers are already responding positively to better product offerings and elevated service,” Macy’s Inc CEO Tony Spring said in the announcement. This “Bold New Chapter strategy” refers to Macy’s investing more resources in its 50 top-performing retail stores in the country. The chain was not profitable in its latest quarterly earnings call, but its top 50 stores were, and even overperformed their 2023 sales.The Union Square Macy's is still slated for closure at some point. As the Chronicle points out, Macy’s still plans to close the store “once a buyer is found” for the nearly full-block SF property.How close is that to happening? It may be closer than we think. Word bubbled up in late November that the investment bank handling the sale had heard from several interested buyers, two of whom are SF-based developers (Prado Group and TMG Partners). Future uses could be retail, hotel, or office space, though none of those sectors are doing particularly gangbusters business in downtown San Francisco at the moment. And a residential component likely isn't off the table either.Related: Can Daniel Lurie Save Macy's? [SFist]Image: Kevin Y via Yelp