Major Retail Shakeup as Saks Off 5th Announces Widespread Store Closures
In a significant development for the retail sector, Saks Global, the parent company of luxury department stores including Saks Fifth Avenue, Neiman Marcus, and Bergdorf Goodman, has confirmed plans to shutter the majority of its Saks Off 5th and Last Call off-price retail locations. This decision forms a crucial part of the company's ongoing Chapter 11 bankruptcy proceedings, which were initiated earlier this month.
Extensive Closure Programme Affects Dozens of Locations
Of the 74 Saks Off 5th stores currently operating across the United States, only 12 will remain open following this restructuring. Even these surviving outlets will undergo a fundamental shift in their business model. They will primarily function as clearance centres for residual inventory from the company's luxury brands, rather than purchasing new merchandise for sale to customers.
The closures are set to begin immediately, with a phased approach. Some stores will commence their final markdown sales as soon as Saturday, January 31st, 2026, while others are expected to close their doors permanently by Monday, February 2nd. The company has provided specific timelines for customers:
- Gift cards can be redeemed in stores through February 14th.
- Existing store credit card rewards will be accepted until March 1st.
Liquidation Sales and Final Operations
The initial wave of Saks OFF 5TH store closing sales, beginning on January 31st, includes a long list of locations spanning multiple states. Affected stores are situated in:
- Maryland (Hanover, Clarksburg)
- Hawaii (Honolulu)
- California (Palm Desert, Costa Mesa, Los Angeles, Woodland Hills, Livermore, Cabazon)
- Arizona (Scottsdale, Chandler)
- New York (Eastchester, Deer Park, Riverhead, Greenburgh)
- New Jersey (Bridgewater, Shrewsbury, Elizabeth)
- Massachusetts (Somerville, Wrentham)
- Florida (Vineland, Naples, Orlando, Lutz, Ellenton, Destin)
- North Carolina (Charlotte)
- Georgia (Woodstock)
- South Carolina (Bluffton)
- Illinois (Rosemont)
- Texas (Cypress, Sugarland, Katy, San Antonio)
- Nevada (Las Vegas)
A second group of stores will initiate their closing sales on February 2nd. This batch includes outlets in North Carolina, South Carolina, Texas, Hawaii, California, Arizona, New Hampshire, New York, Connecticut, Georgia, Illinois, Minnesota, and Ohio.
Furthermore, several Last Call locations will also hold closing sales. These are situated in Sunrise, Florida; Cabazon, California; Grapevine, Texas; San Marcos, Texas; and Orange, California.
Online Operations and Strategic Realignment
The separate online entity, SaksOff5th.com, will begin winding down its operations concurrently. Online clearance sales are scheduled to start on Friday, January 30th. In an official statement, Geoffroy van Raemdonck, Chief Executive Officer of Saks Global, explained the strategic rationale behind these drastic measures.
"As we advance on Saks Global's transformation, we are taking decisive steps to realign our business to better serve our luxury customers and drive full-price selling across our core luxury businesses," van Raemdonck stated.
Financial Pressures and Leadership Turmoil
This restructuring follows Saks Global's filing for Chapter 11 bankruptcy protection just two weeks prior. The filing was triggered, in part, by a missed $100 million interest payment related to the company's $2.65 billion acquisition of Neiman Marcus in 2024. The financial strain has been compounded by significant instability in the company's executive leadership.
In a rapid succession of changes just before the bankruptcy filing, longtime CEO Marc Metrick stepped down on January 2nd. His replacement, Executive Chairman Richard Baker, departed less than two weeks later, creating a period of considerable uncertainty at the top.
It is important to note that the core luxury brands—Saks Fifth Avenue, Neiman Marcus, and Bergdorf Goodman—are not directly affected by these off-price store closures. Their physical stores and online platforms remain open and are operating as normal.
The company expressed gratitude to its loyal customer base in a news release, stating: "The company is incredibly grateful for the loyalty its Saks OFF 5TH and Last Call customers have shown over the years and appreciates being part of your shopping journey." The remaining dozen Saks Off 5th stores will be located in New York, Florida, New Jersey, California, Texas, and Georgia.
