September 2 2019

Lord & Taylor Being Sold to Online Clothing Rental Company for $100M

By: BNEWS

The oldest department store chain in the country, and one with a location in Burlington, is being sold to an online startup that was founded in 2012. 

 

CNBC reports that Lord & Taylor is being sold by its parent company, Hudson’s Bay Company, to the online clothing rental business Le Tote for $100 million. The deal will allow the chain to continue a transformation of its operations in the wake of falling sales. 

 

The deal states that Le Tote will acquire Lord & Taylor’s brand and intellectual property and it will take over operation of 38 stores as well as its online presence. It will offer the merchandise in smaller-format stores and include rental options for $79 per month, allowing customers to keep up with the latest fashions without putting down the money to actually buy the clothing. Le Tote founder Brett Northart said that based on his business’s track record and industry research this is the option many customers are looking for. 

 

What will happen to the larger Lord & Taylor stores is unknown at this time. Under the deal Hudson’s Bay will retain ownership of the real estate and will continue to make rental payments for at least the first three years of the new arrangement. Hudson’s Bay also retains the right to reassess and redevelopment the locations. 

 

There is a Lord & Taylor in the Burlington Mall.


 

 
Web Design by Polar Design