Neighborhood Goods, a department store chain that aimed to “reinvent the department store” model, closed all of its locations earlier this month, leaving the Legacy West storefront open for the taking.
The store opened its first location in 2018, filling with fashion, accessories, home décor, wellness products and more.
“When we set out to curate our launch lineup, we planned to sign 10 to 15 brands for the Legacy West location,” said Matt Alexander, co-founder and CEO of Neighborhood Goods, in our 2018 article on its opening. “Now that we’ll be launching with 25 to 35 of some of the most dynamic brands — established and digitally-native startups alike — we believe it represents a resounding endorsement of the concept and the opportunity in the space. Brands, property developers, and consumers are all clamoring for new types of retail experiences and, with this group, we believe we’ll be delivering something very special.”
Neighborhood Goods later opened locations in Austin, Newport Beach and New York City. In 2020, Forbes praised the store, claiming that its model was an improvement on department stores like Macy’s and JCPenney.
However, in November, Beauty Independent reported that several brands reported anonymously to them that Neighborhood Goods owed them thousands of dollars, citing a total lack of communication. According to the publication, some brands had already pulled their merchandise from the store due to these issues.
During this time, Neighborhood Goods CEO and founder Matt Alexander began cost-cutting measures, including halting expansions and cutting staff in order to pay some of the brands in question.
On Dec. 31, Neighborhood Goods’ two Texas locations — one in Plano and one in Austin — closed their doors. All locations were closed by early January.
According to Legacy West, the store closed in accordance with a pre-arranged agreement between the shopping center and Neighborhood Goods. Aritzia, a women’s “everyday luxury” fashion store, will move into its space, with construction starting “soon.” The store will open this summer, a representative from the shopping center said.
“The change is part of an intentional re-merchandising plan,” the representative from the Legacy West management team said. “We’re excited to welcome the popular retail brand to Legacy West. “
