Crime Wave Forces Nordstrom to Close Two San Francisco Locations
In a striking response to the increasing crime waves in San Francisco, upscale retail giant Nordstrom announced the closure of both its downtown SF stores.
As burglary and theft cases continue to make the headlines, the closures signify a deepening crisis. It will soon threaten businesses and livelihoods, raising the alarm over the safety of the area and its economic status.
Nordstrom’s decision to shut down stores is attributed to San Francisco’s evolving “dynamics” and increased crime rate since the pandemic.
The department store chain will close its 312,000-square-foot, 5-floor location at Westfield Mall. The Rack discount outlet on Market Street is also closing.
Nordstrom joins the exit from San Francisco, due to “rampant criminal activity,” following the closure of Whole Foods, Walgreens and other stores similar reasons.
If you live near SF, what is it like now compared to 5 years ago? pic.twitter.com/LY9hZxYb1Z
— Wall Street Silver (@WallStreetSilv) May 3, 2023
Exploring the Crime Wave’s Impact on San Francisco Retail
In a memo to its staff, Jamie Nordstrom, Nordstrom’s Chief Stores Officer, said that the decision was challenging but necessary. It is due to the drop in customer foot traffic and other negative impacts.
A mall spokesperson told CNN’s KGO-TV that there are increasing concerns about safety for retailers, customers, and employees. San Francisco has witnessed other well-known retail chains close their stores, further slowing the city’s economic recovery.
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A newly-opened Whole Foods location also temporarily closed. The store cited worker safety issues. Moreover, San Francisco Standard reported 20 store closures since 2020, including Office Depot, Anthropologie, and CB2.
Although crime rates have significantly decreased in the last six years, San Francisco’s property crimes are soaring. From 2020 and 2022, the city had a 23% increase in property crimes. According to San Francisco Police Department data, theft and burglary are at the forefront of the list.
Nordstrom closing two San Francisco stores over city’s “deteriorating situation” pic.twitter.com/NuW6uAF0Sf
— Daily Loud (@DailyLoud) May 4, 2023
However, aside from crime, other factors contributed to Nordstrom San Francisco’s closure. Remote work during the pandemic has reduced traffic in most US downtown areas.
In addition, malls also saw a significant drop in popularity as shoppers leaned more toward online shopping. Unfortunately, Nordstrom closures also extend beyond San Francisco.
Nordstrom (JWN) is also facing its own struggles. It announced the closure of its Canadian stores and turned its focus on its discount Rack unit. The company recently launched rebranding, which aims to attract new customers while it embarks on the changing retail scene.
