The End of an Era: Lord & Taylor Closes Its Doors After Nearly 200 Years
2020 was a year marked by upheaval around the globe, and for one iconic American retailer, it also signified the end of an era. Lord & Taylor, the oldest department store in the U.S., closed its doors for good. Founded in 1824, Lord & Taylor had long been a staple of American retail, known for its quality products and rich history. However, the challenges of 2020—the COVID-19 pandemic and widespread economic struggles—proved too much to overcome, leading to the permanent closure of all 38 of its locations.
But the decline of Lord & Taylor didn’t begin in 2020. The store had been facing difficulties long before. In 2017, the company made the surprising decision to sell its iconic Fifth Avenue flagship store in New York City to WeWork for $850 million. This move signaled the company’s struggle to keep up with the changing retail landscape, where traditional department stores were battling intense competition from online giants like Amazon.
The Fifth Avenue building, which had been Lord & Taylor’s flagship for over a century, was eventually acquired by Amazon to become part of its New York City office space. This was a major turning point, marking a significant shift in both the retailer’s trajectory and the broader industry.
In 2019, there was a glimmer of hope when Le Tote Inc., a French clothing rental company, bought Lord & Taylor for $100 million. The plan was to breathe new life into the brand by combining its retail roots with the rising trend of rental fashion. Unfortunately, despite these efforts, financial struggles continued to mount. By August 2020, Lord & Taylor filed for Chapter 11 bankruptcy, initially hoping to keep 14 stores open. But, just weeks later, the company was forced to close all locations permanently.
The closing of Lord & Taylor underscores a larger trend in the retail world—traditional stores struggling to survive in a time when more and more consumers are turning to online shopping. The end of a nearly 200-year-old institution is a powerful reminder of how 2020 changed the retail industry forever and the tough challenges that businesses must face to adapt in this
new era.
