CBS Detroit – Lord & Taylor is one of the country’s oldest department stores, founded before the civil war in 1826 selling dry goods. Like many stores such as JC Penney and Sears, the COVID-19 pandemic hasn’t been good for Lord & Taylor, as it announced its bankruptcy and going out of business. According to CBS News, the retailer was bought a year ago by Le Tote for $100 million. Which is a clothing rental company based in San Francisco. Which is also a parent to Hudson’s Bay Co.
As part of the bankruptcy plan, Lord & Taylor will close its remaining 38 stores across the United States, including the Novi location at Twelve Oaks Mall. Hometown Life reported that its parent company, LeTote, sent a letter to the Michigan Department of Labor and Economic Opportunity. Writing “As a result of the COVID-19 pandemic and other adverse business conditions, Le Tote, Inc. (the “Company”) is permanently closing its entire store located at 27650 Novi Rd…”. This closure, the letter states, does affect the jobs of 46 employees who are being eliminated.
Lord & Taylor is in the process of liquidation, with going out of business sales both in-stores and online. According to CBS News, the changes in people’s shopping habits due to the pandemic has changed the landscape for retailers in how people shop with a shift to online, which has benefited retailers like Amazon and Wal Mart.
Even before the pandemic, financial death rattles began in 2019 when it closed its century-old flagship store in New York, converting it into office space for its IT workers. Tied with an 8.7% decline in retail sales in March of this year and many states going into lockdown, more than 250,000 businesses like Macy’s, Nordstrom, and Nike were forced to shutter their doors unless deemed essential by state governments. According to GlobalRetail research, 60% of U.S. retail square footage has been affected.
Twelve Oaks Mall will now be with less anchor store, leaving JC Penney, Macy’s, and Nordstrom left. Lord and Taylor is open Monday through Wednesday from 11 am to 7 pm, Thursday through Saturday from 11 am to 8 pm, and 11 am to 6 pm on Sundays.
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