- Title: Toys "R" Us closes its Times Square store
- Date: 30th December 2015
- Summary: NEW YORK, NEW YORK, UNITED STATES (DECEMBER 30, 2015) (REUTERS) (SOUNDBITE) (English) UNIDENTIFIED CUSTOMER FROM MASSACHUSETTS, SAYING: "We love to come here every time we come to the city, we've driven here several times to take out kids to the biggest toy store in the country. it's always a memorable time, so we made the trip from Massachusetts this morning, left at 4:30 am just to get here and celebrate the last day with them." TOYS R US SIGN AND PAN DOWN TO ENTRANCE
- Embargoed: 14th January 2016 17:35
- Keywords: Toys Toys R Us Shopping Store Times Square Retail Online
- Location: NEW YORK CITY, NEW YORK, UNITED STATES
- City: NEW YORK CITY, NEW YORK, UNITED STATES
- Country: USA
- Topics: Company News Markets,Economic Events
- Reuters ID: LVA0053G1PCI5
- Aspect Ratio: 16:9
- Story Text: Toys "R" Us' flagship Times Square store has been a must see destination for many tourists and shoppers for years, but that ends today after the retailer chose not to renew its lease for 2016.
In a statement released by the retail giant, the company confirmed it will shut the doors for the Times Square location on December 30th.
"We decided not to exercise our option to renew the lease for this location, which expires in January 2016, providing the opportunity to realize meaningful rent savings," said the Toys "R" Us statement, which added "We have not signed a lease agreement for a new flagship location at this time, but we are actively searching for another location in Manhattan where we can welcome shoppers from around the world."
Shoppers outside the store expressed sadness at the news.
"I think, it is unfortunate," said Valerie from Massachusetts. "We have driven here several times just to take our kids to the biggest toy store in the country. It's always a memorable time, and, so, we made the trip from Massachusetts this morning, left at 4:30 just to get here, and celebrate the last day with them."
The closure of the Toys "R" Us store joins FAO Schwarz, another giant New York toyseller, which recently shuttered its midtown location earlier this year.
Retail analyst Mary Epner says we can expect to see more retailers do the same.
"I think, if they don't have differentiated product, then, yes, I expect to see it. If you are just competing on price, then that means you need to sell more in order to make up for that higher rent and higher minimum wages. So, for example, since the end of 2008 the Times Square rent is up 2.5 times for retail space," said Epner.
This comes as the consumer shift to e-commerce sites, such as Amazon, continues to grow.
Toys "R" Us said in its statement it still has 17 other locations in the greater New York are for shoppers to visit, including two in Manhattan. - Copyright Holder: REUTERS
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