T
he departure of Bloomingdale's from San Francisco Centre mall may signal the end for the struggling shopping center. The luxury department store, a Macy's unit, announced it will close its 339,000-square-foot flagship store by March, citing shifting retail practices and evolving strategies. Despite having a lease that doesn't expire until September 2046, Bloomingdale's is leaving after a 20-year presence.
The exit follows the closure of Nordstrom's 312,000-square-foot store in 2023, and other high-profile retailers such as Hollister, Adidas, and J. Crew have also exited the mall. A theater operator is negotiating to fill the space vacated by Cinemark. The loss of Bloomingdale's could impact ongoing lease negotiations and efforts to sell the property.
As the mall's last large tenant, Bloomingdale's departure may lead to more early exits by other tenants due to "waterfall" provisions in their leases. Zara will become the largest tenant after leasing 27,600 square feet until March 2027. The Metreon, another major Downtown mall, is also for sale and 92% leased.
