Nordstrom Rack to open in Sunset Valley
Department store discount outlet coming next spring
Nordstrom will open a discount outlet store in Sunset Valley next spring, its second in the Austin area.
The Nordstrom Rack store will be in the former Linens ’n Things location at the Sunset Valley Village shopping center, on the east side of Brodie Lane south of U.S. 290. Other retailers there include Old Navy, Sprouts Farmers Market and Barnes & Noble.
The 34,040-square-foot store will join Nordstrom’s first area Rack store, which opened last year in the Gateway shopping center in North Austin. The clothing retailer has a traditional store at Barton Creek Square.
There were plans for a second fullline store at the Domain in North Austin, but those were put on hold when the economy fell into recession. Currently, there is nothing official regarding any Nordstrom/Domain deal, according to Chad Marsh, managing principal with
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Geevy Thomas, president of Nordstrom Rack, walks past a shoe display. Nordstrom plans to open 17 Rack stores this year.
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“We continue to stay in touch with Nordstrom relative to the Domain,” he wrote in an e-mail.
The Rack stores sell clearance merchandise from Nordstrom’s full-line stores, as well as brands purchased especially for the outlet stores. Neiman Marcus also has two area outlet stores — at the Prime Outlets in San Marcos and at the Brodie Oaks shopping center in South Austin.
While Nordstrom currently operates 144 traditional stores and 76 Rack stores, the company plans to open far more of the discount versions this year — a total of 17 Rack stores and three full-line stores in 2010, said Colin Johnson, a company spokesman.
That’s not a change in strategy or a reaction to the recession, he said. Rather, the company has been “fortunate to take advantage of a lot of great real estate opportunities in really strong shopping centers that are located in areas where we know we’ve got lots of customers.”
The full-line stores are still the “heart and soul of our business,” but the Rack locations provide a good complement to them, he said. The first Rack location opened more than 35 years ago in the basement of Nordstrom’s flagship store in Seattle, Johnson said.
Johnson said the new Rack location is a “terrific fit” with the other stores in the Sunset Valley Village center.
UCR Realty handles leasing for the shopping center, which is owned by RREEF, the real estate investment management business of Deutsche Bank’s Asset Management division. The Nordstrom Rack is taking the last large empty space available in the 245,000square-foot center.