AT&T announced it is closing its flagship store in San Francisco, which is experiencing a retail exodus with no end in sight.
“Consumer shopping habits continue to change, and we’re changing with them. That means serving customers where they are through the right mix of retail stores, digital channels and our phone-based care team,” a company spokesperson said of the Aug. 1 store closing.
AT&T is the latest to close its flagship San Francisco location. Newsom and Pelosi's home city is in total freefall.
— Kevin Kiley (@KevinKileyCA) June 16, 2023
AT&T is the latest retailer to announce they are vacating a prime real estate location in San Francisco near Union Square.
— Wall Street Silver (@WallStreetSilv) June 17, 2023
Crime and lack of customer traffic is cited as the reason.
San Francisco is failing. pic.twitter.com/Y5NDDFJsjb
Though AT&T still has more than 10 stores and licensed retailers in the city, the decision to close the flagship store comes after Westfield mall, Cinemark Holdings, Old Navy, Park Hotels & Resorts, Old Navy, H&M, and Nordstrom made similar announcements in recent weeks.
In a statement from Park Hotels & Resorts, the firm pointed to a number of reasons it was dumping two of San Francisco’s largest hotels—Hilton San Francisco Union Square and Parc 55—including “concerns over street conditions.”
“After much thought and consideration, we believe it is in the best interest for Park’s stockholders to materially reduce our current exposure to the San Francisco market,” said Thomas J. Baltimore, Jr., Chairman and Chief Executive Officer of Park, in a statement Now more than ever, we believe San Francisco’s path to recovery remains clouded and elongated by major challenges – both old and new: record high office vacancy; concerns over street conditions; lower return to office than peer cities; and a weaker than expected citywide convention calendar through 2027…”
The recent closings come as San Francisco's tourism board dumped millions into desperately trying to change the city's reputation as a "drug and crime-ridden hell hole."
San Francisco’s tourism board launched a $6M ad campaign to overcome the city’s global reputation as a drug and crime-ridden hell hole. Six days later, the owner of two of the city’s biggest hotels announced it was abandoning them because it lost faith that the city can recover. pic.twitter.com/uaZRXWpD3R
— Michael Shellenberger (@shellenberger) June 6, 2023
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