Loss of a legend, growing globalization

We're just four weeks in to the year, and already we have major retail news in New York, the busiest of shopping cities. Anyone who's watched our industry for the past few years has seen how our local off-price stores have struggled, so it wasn't really a surprise when another white knight didn't come riding to the rescue of Loehmann's, which is liquidating as I write this. This legendary local chain, which offered brands and designers at a discount, has been a New York City staple since 1921, when Frieda Loehmann pretty much invented the category by buying designer overstocks and samples at huge discounts, then passing that savings on to her customers. Yet, pummeled by the downturn, and then faced with the expansion of TJ Maxx and sister store Marshall's, and the upcoming incursion of Nordstrom Rack (coming to Brooklyn and Queens as well as Manhattan), Loehmann's just couldn't fight back from bankruptcy as it had several times before in recent years. Another victim of retail Darwinism, it too will follow Sym's and Daffy's into memory. But the real estate remains - and Loehmann's had some great locations. I expect them to be leased up in very short time, with very competitive retailers who will pay higher rents to the landlords. And the shoppers still have the growing Century 21 as a local place to find the buy of a lifetime! Meanwhile, an intriguing new retailer has just announced plans to enter the U.S. I've written and spoken extensively here at the New York Real Estate Journal and other publications about the globalization of retail; it's impossible not to, given the brands and stores from Australia to Japan, Brazil to Norway who've made their U.S. debuts here in the past couple of years. Now we may look to another region, the Middle East, for more new names. Qatar luxury retailer Qela has just announced that it opens its first U.S. store this fall at 680 Madison Ave., joining its flagship in Doha, and a store to open in the spring in Paris. Launched last year by the Qatar Luxury Group, the brand and store focus on fashion, accessories and jewelry with an emphasis on timelessness and craftsmanship. It's a reversal of sorts, as so many international brands from Europe and the U.S. have flocked to Doha, Dubai and Abu Dhabi to serve the very affluent shoppers there. But clearly, it's time for some homegrown names to start establishing themselves as world brands. And in the U.S., you do that in New York The new shop also will continue the globalization of Madison Avenue, always a luxury headquarters, and now a world headquarters with representatives from Europe (too numerous to mention), Brazil (Track & Field at 997), India (Soigne K, 717), Canada (lululemon athletica at 1146), and Australia (Aesop, 1070). Skip the world tour and walk up Madison! Of course, we have other retailers expanding around the city, too. DSquared2 will open its first store in the city at 402 West Broadway. Stylists Vanessa Traina and Morgan Wendelborn have taken their online apparel, accessories and home goods stop into brick and mortar with The Apartment, 76 Greene St. ModelFIT has taken a fitness center at 212 Bowery. Look for a luxury entertainment experience when IPic opens at 11 Fulton St. at the South St. Seaport next year. The cinema/restaurant offers in-theater dining service with fine options. Canada's ecologically sensitive bedding brand Essentia makes its New York City bow at 36 West 34th St. Cheers to the new year and happy shopping! Faith Hope Consolo is the chairman, the retail group, at Douglas Elliman, New York, New York