Macy’s Inc. (NYSE: M) will shutter its Boulder store permanently for redevelopment, an occurrence likely to happen within the next two or three months.
The department store at 1900 28th St. was among seven locations around the country that USA Today first reported this month will be closing around the first quarter of 2022. A company spokeswoman confirmed to BizWest that the location will close after a clearance sale expected to last eight to 12 weeks.
“The decision to close a store is always a difficult one, but Macy’s Boulder Twenty Ninth Street is grateful to have served our customers and the community during the past 39 years,” the company said in an emailed statement.
Macy’s said it has informed its workers of the closure, but an employee working at the Boulder store Friday told BizWest that staff has not been given a specific closure date.
“Regular, non-seasonal colleagues who we are unable to place at a nearby Macy’s store will be eligible for severance, including outplacement resources,” Macy’s said.
Since 2016, Macy’s has announced the closure of hundreds of stores, but the company’s Colorado locations have thus far been spared. Locally, Macy’s operates in Boulder, Broomfield, Fort Collins and Loveland.
Last year, the Fort Collins location at Foothills Mall was purchased by a private equity company with ties to the development firm that’s been tapped to lead redevelopment at the mall.
There have been plans in place to redevelop the Boulder Macy’s for several years.
In early 2021, the Boulder City Council decided in an 8-1 vote to approve a site plan that proposes to transform the aging department store into a mixed-use office and retail space.
Through a process of “adaptive reuse,” Macy’s, with help from Corum Real Estate Group Inc. and Trestle Strategy Group, plans to morph the store into a three-story, roughly 155,000-square-foot office building with about 7,700 square feet of retail space on the ground floor.
Despite the approval, the Macy’s project has remained controversial due to nagging concerns that the addition of office space will exacerbate Boulder’s jobs-housing imbalance.
That imbalance is a reference to Boulder’s ongoing challenge of providing affordable housing options for the city’s workforce while continuing to add high-wage professional jobs that push up the cost of housing.
Boulder’s concern over the jobs-housing imbalance is so acute that the council in early 2019 adopted a development moratorium across a swath of the city that includes the Macy’s site. That moratorium, inspired by Macy’s proposal, was meant, in part, to assure existing residential and retail spaces wouldn’t be gobbled up by developers and turned into office buildings. Macy’s plans were initiated prior to the moratorium, which was rolled back in October 2019.
In an effort to address these concerns, Macy’s has pledged to contribute $3 million to Boulder’s affordable housing program.
This article was first published by BizWest, an independent news organization, and is published under a license agreement. © 2022 BizWest Media LLC.