The Fifth Avenue retail rent must be going through the roof, because in the next 6 months, two Fifth Avenue stores will be closins their doors forever. The Sean John Flagship store & the NBA Store, both of which opened in 1998, are both closing. Sean John employees found out that their last day for business will be December 30, whereas the NBA Store is projected to remain open until February 2011.
According to reports, the brand’s NYC retail location will official shut down at the end of December. However, Diddy is rumored to be opening new stores in both NY and Los Angeles.
Further details were unknown at press time.
Since launching Sean John in 1998, it has become a clothing brand boasting over $100 million in revenue each year, and has expanded into popular fragrances as well.
Back in June, Diddy successfully opened an earth-friendly, sustainable Sean John pop-up store on Los Angeles’ Sunset Boulevard, as part of the Shop Future project. The shop featured gear from Sean John’s spring/summer and fall 2010 lines, as well as accessories and its fragrance collections.
Before the store opening, in May, Diddy announced an exclusive deal with Macy’s to distribute the brand at over 400 Macy’s locations.
According to TheBoomBox.com, the deal may have caused the decline in sales at Sean John retail locations, which is rumored to be the reason for the closing its Fifth Avenue flagship store.
Sean John isn’t the only Fifth Ave store set to close. The NBA store is also set to close its door in February 2011, but the league is reportedly searching for a new location. The NBA has had its location on New York’s Fifth Ave since 1998.
According to NBA.com, the league had been asked for a sixfold increase in rent.
NBA spokesman Mike Bass said “it doesn’t make economic sense for us to remain in the current location given the increased rent.” (source)