Bloomingdale’s is taking the outlet plunge with plans to open four units on the East Coast by fall with more to come across the country next year.
The move confirms a Jan. 13 report in WWD that the Macy’s Inc. unit was headed toward the lucrative distribution channel.
The department store’s outlets will each cover about 25,000 square feet and open this summer or fall in Bergen Town Center, Paramus, N.J.; Dolphin Mall, Miami, Fla.; Potomac Mills, Woodbridge, Va., and Sawgrass Mills, Sunrise, Fla. Details are subject to final lease agreements.
Additional outlets are expected to roll out across the country in 2011 and beyond.
“We have been studying the opportunities for entering the off-the-mall outlet business for some time, and the timing now is right given the consumer’s particular focus on value in addition to fashion and quality,” said Terry J. Lundgren, chairman, president and chief executive officer of Macy’s.
Arnold Orlick, former chairman and ceo of Fortunoff and former division head at Federated Department Stores, which was renamed Macy’s, will join Bloomingdale’s and serve as senior vice president for outlet stores. Beginning in 1992 he was an executive vice president at Bloomingdale’s overseeing home, cosmetics and restaurant operations. He will now develop and lead the outlet stores business.
For complete coverage, see Friday’s issue of WWD.