Macy’s Inc. announced Monday the close of its downtown Pittsburgh store as it has sold the building, located at 400 Fifth Avenue, to Philadelphia-based Core Realty, which is planning to redevelop it.
“For the past four years, Macy’s has been investigating the best possible use for this property, especially given the large amount of unproductive and unused space on the upper floors. We have talked with a wide variety of partners in pursuit of a plan that would create the most value for our company and the community,” Jeff Kantor, Macy’s chief stores officer, said. “In late 2014, we began working with Core Realty, which had an exciting vision for residential, hotel and parking on the upper floors and annex building. More recently, we decided to make the entire building available to Core so it could evolve its plans into a more holistic project. We believe this will be an outstanding addition to the downtown Pittsburgh community in an important location in the heart of the city.”
The downtown Macy’s building and annex contains approximately 1.2 million square feet of space on 13 floors. It also includes partial street-level and arcade floors, along with a basement and sub-basement. Currently, about 475,000 square feet is the company’s selling space.
“Macy’s – and Kaufmann’s before us – have served the downtown Pittsburgh community at this location since 1887, and we deeply appreciate the relationship we have built with generations of Pittburghers, including our customers, associates, community leaders and elected officials,” Kantor added. “While we will not operate a downtown store going forward, Macy’s remains committed to our customers and associates at 13 other local stores in southwestern Pennsylvania as well as on macys.com.”
The original Kaufmann’s store at this location opened in 1887 and was expanded several times throughout later years. Kaufmann’s was acquired by The May Department Stores Company in 1946, which was then acquired by Macy’s Inc. in 2005. The Kaufmann’s name was changed to Macy’s in 2006.
The downtown Pittsburgh store currently employs 170 workers, which the company says it is committed to treating with respect and openness. Employees displaced by this closing may be offered positions at nearby stores, wherever possible. Eligible full-time and part-time associates being laid off due to the close will also be offered severance benefits.
About 30 employees working in various district offices on the 11th floor of the building will be relocated to another Macy’s store in the Pittsburgh area as well.
With this close, the company’s workforce in the Greater Pittsburgh area will include about 2,450 associates.
A final sale at the store will begin on July 20 and is expected to run until early September.