Wednesday, October 29, 2014

Nordstrom Closing Mall of Georgia Location

Nordstrom closing  its location at the Mall of Georgia

In a move that should surprise no one, Seattle, Washington-based Nordstrom made official today that it will close its 172,000 square foot, two-level department store within Mall of Georgia in Buford. Nordstrom's off-price nordstrom rack at nearby Mall of Georgia Crossing will remain open.  

Nordstrom's Mall of Georgia location has struggled basically since it opened in 2000.  The store's core demographic (upper income, fashion forward consumers) failed to make the trek to Mall of Georgia from surrounding areas, and the store never gained a serious following.  

According to an official statement made available earlier today to employees of the Mall of Georgia location, the store will close February 28th, affecting 175 non-seasonal employees. 

The closure will leave Atlanta with full-line Nordstrom department stores in Phipps Plaza and Perimeter Mall. Nordstrom has grown its nordstrom rack presence from one, at Mall of Georgia, to now four (adding North Point, Buckhead and Perimeter)

If rumors related to this closure are true, the replacement anchor store is Davenport, Iowa-based Von Maur.  Nordstrom store President Jamie Nordstrom was quoted to have said "We had the opportunity to end our lease..." which seems to suggest that another department store is taking over their lease at the Simon Property Group-managed mall.  

Von Maur entered the Atlanta market in late 2011 with their first store at North Point Mall in Alpharetta (a former Belk which was originally Lord & Taylor). Von Maur added a second store in Dunwoody at Perimeter Mall in late 2012 in a former Bloomingdale's which was originally Macy's.)   

With what will be three stores OTP, Von Maur reportedly plans to enter the Buckhead market in the coming years.  

22 comments:

Anonymous said...

That is too bad. Mall of Georgia and North Point are both in a slow decline.

Anonymous said...

Never knew why Nordstrom opened at Mall of Georgia. A blue collar mall and Nordstrom is not a blue collar store. Don't know what is going on at North Point.

Anonymous said...

Not shocked at the closure, just surprised it stayed as long as it did. MOG is hardly a "blue collar" mall, however that could very well change in the next 10 years. IMHO, Gwinnett County as a whole is shifting downward and the income demographic won't be around in the next 10-15 years to support even a Von Maur or Dillards. Our youngest will graduate in 2 years from one of the better Gwinnett high school clusters and we are outta here!

Tres said...

I saw this coming a mile away. I was near Mall of Georgia recently and I was just saying "watch they're going to announce they're closing this store within the next year".

That particular Nordstrom always seemed like the "least" of the 3 around here. It always looked like it was stocked so sparsely compared to the Perimeter and Phipps stores. I'm just curious what they could possibly fill that space with, if not Von Maur.

On a side note, where would Von Maur open in Buckhead? I can't even see where that'd possibly go. The only thing I can think of is if the Belk at Phipps closes, which I actually don't see happening any time soon. Apparently that particular location has a decent following.

Tres said...

Another side note: Isn't there supposed to a sort-of higher-end "phase 2" of Avalon? (To include the likes of Tiffany's, Louis Vuitton, etc.) I may be wrong about that, but it wouldn't surprise me to see Nordstrom anchor such a phase. The demographics are much better suited for a Nordy's there than at MOG.

Anonymous said...

When I worked at Nordstrom over the Summer, it was mentioned that Mall of GA location was closing along with one in Orlando. The Perimeter store is the "flagship" Atlanta store and was constantly the "go to" store even though the Phipps location carries TopShop. The company is all about the mighty dollar. Pay is $9/hour or 6.5% commission whichever is higher within 2 weeks. Can't forget the way they tell you to hunt down customers, write thank you letters, phone calls and emails. Waaaay outta my league.

Anonymous said...

The demographics in the areas around the MOG were unfortunately "shot to hell" for a high end store like Nordstrom once 9-11 happened to our Country, our People and the economics of the time. The MOG was built when "times were good" and projected to become even better. Nordstrom was the last Anchor store to open its doors, opening a full year after Lord and Taylor and other stores at the Mall.

I for one, do not fault "the management/owners" at Nordstrom for closing. It's my observation and opinion that this "high end" Retailer stayed in business far after they knew they wouldn't make a profit in this particular location.

Good luck to Everyone who does or ever did work for this Nordstrom because YOU, my friends have the most solid basis for being hired anywhere for any Retailer. You are THE GOLD STANDARD in the Industry.

Aparks

Anonymous said...

Nordstrom chose MOG because they were shut out of Lenox, Phipps and Perimeter at the time; and ATL was too important of a market to not be in. That store has looked like a Nordstrom Rack for years, not surprising it closed.

Anonymous said...

The biggest casualty of the recession has been the boom of suburban luxury that occurred from 1997-2008; the growth is no longer to infinity and beyond. The numbers have changed and so has the customer profile, not just in Atlanta but all over the nation. Look at the chains that have elected to close stores to survive or shutdown altogether. they have not closed in Lenox or Perimeter, they have shut the new locations in exurbia.

Anonymous said...

Unfortunately no surprise... I don't see how any high end retailer is going to make it at MOG.. Lord and Taylor couldn't...I don't see how Von Maur will either...

Anonymous said...

What happened here is the demographic shift toward urban areas. In the next few years few suburban areas will be able to support the truly high end.

Anonymous said...

Just waiting for the next new mega-mall to open ever farther out... how about Gainesville, Dahlonega or Winder?

Anonymous said...

Oh COME ON NOW... neither the store closings, urban/suburban demographic shifts, nor the last recession had ANYTHING to do with 9/11.... let it go already. I'm surprised you didn't blame Obama and/or Bush too.

Anonymous said...

I work at Von Maur and our business is very bad.
I don't even understand how we are still open,
No advertising and no coupons?
No coustomers,our mall is totally propped up buy American Girl and Lego!

Anonymous said...

@ Anon October 31, 2014 at 2:48 PM

I get what you are saying, but 9/11 led to the boom, which led to the bust and recession. Our economy has shifted dramatically and the middle class is shrinking as a result.

People with money are leaving Gwinnett, and the income demographic is sharply changing. Those with the means to do so are leaving areas and lower incomes move in. Not trying to be political, but many immigrants (legal or not) coming here do not even have the financial means of the typical middle class. GCPS has also seen a lot of kids attending from Dekalb and Atlanta. OTP is moving ITP and vice versa.

Avalon is most likely going to suck the life out of North Point and that area will start attracting lower incomes. Like it or not 9/11 was the start of it all and the political roller coaster that has followed. The middle class is dwindling, the haves and have nots are segregating. Only those with higher incomes and educations are participating in this economy and beyond.

Anonymous said...

It seems like the best thing to do is just bring Sears up there from Gwinnett Place. The demographic supports it in Buford. Gwinnett is on it's last breath anyway. They have Macy's and JCPenney but the interior of the mall is mostly vacant.

Anonymous said...

@ October 30, 2014 at 4:46 PM
"Nordstrom chose MOG because they were shut out of Lenox, Phipps and Perimeter at the time; and ATL was too important of a market to not be in."

Not true. Georgia's first Nordstrom opened at Perimeter in 1998.

Anonymous said...

I stand corrected. Nordstrom did open in Perimeter prior to MOG.

Anonymous said...

Belk and Simon have both been actively trying to sell the store's lease to another retailer. A deal was thought to have been close this summer, but must have fallen through. It's fairly well-known in the Buckhead community. You can imagine Von Maur entering the market there.

Donald said...

Salute to all the employees of the now closed Nordstrom. They shoulve treated y'all a lot better then they did but we all gone be alright.

Anonymous said...

I was always wondering why Nordstrom ever opened in Mall of Georgia. From day one that area is not populated by the Nordstrom customer demographic. It never was and probably will never be. Them Nordstrom customers reside from Buckhead through North Fulton county and Dunwoody. No folks from these areas are going to trek to farm country to shop. those living in the MOG area that fit the Nordie customer profile have no problem driving south to the other Nordstrom's in the Atlanta market

Anonymous said...

I was always wondering why Nordstrom ever opened in Mall of Georgia. From day one that area is not populated by the Nordstrom customer demographic. It never was and probably will never be. Them Nordstrom customers reside from Buckhead through North Fulton county and Dunwoody. No folks from these areas are going to trek to farm country to shop. those living in the MOG area that fit the Nordie customer profile have no problem driving south to the other Nordstrom's in the Atlanta market