Saks Fifth Avenue, one of the last remaining luxury department stores in San Francisco’s Union Square, is set to permanently close its doors on 10 May 2025.

The decision marks a significant chapter in the ongoing transformation of the city's iconic shopping district and follows a brief experiment with an appointment-only shopping model introduced last year.

A spokesperson for Saks Global confirmed the closure in a statement, citing the company’s integration process and a shift toward long-term growth. “While we saw meaningful engagement and success through the appointment-only format, we have made this decision as part of our integration process,” the company said.

Saks emphasized its ongoing commitment to customers in the Bay Area through other channels, including Neiman Marcus locations in San Francisco and Palo Alto, as well as Saks.com and NeimanMarcus.com.

The announcement comes less than a year after Saks acquired the Neiman Marcus Group in a $2.7 billion deal, a move that positioned the company to streamline operations while maintaining both brand identities. Despite the acquisition, the company noted that there is “not a broader plan to consolidate in markets where both Saks Fifth Avenue and Neiman Marcus operate.”

Opened in 1997 at the corner of Post and Powell streets, the Union Square Saks location has long been a fixture of San Francisco’s upscale retail landscape. Its closure reflects a broader trend affecting many traditional department stores nationwide and in Union Square specifically — a district that has seen a cascade of exits from legacy retailers in recent years.

Bloomingdale’s shuttered its Union Square location in March, Nordstrom closed its flagship San Francisco store in 2023, and Macy’s announced plans to leave the area in 2024, though that store remains open for now.

Despite the string of high-profile closures, city leaders and local business advocates remain optimistic. Will Reisman, spokesperson for the Union Square Alliance, called Saks' exit “the end of an era,” but not a surprise. “We expect the path to downtown revitalization to have its twists and turns — still, we are extremely optimistic about the future of Union Square,” he said in a statement.

Signs of renewal are already visible. Nintendo is set to open its second US store in Union Square on 15 May, while global fashion retailer Zara has announced plans to open a new four-story flagship store on Post Street in 2026. Other new entries include a revamped Ross location and boutique bakeries like B. Patisserie, which opened earlier this year.

San Francisco Mayor Daniel Lurie has made downtown revitalization a cornerstone of his administration, launching the “Vacant to Vibrant” initiative to attract retail pop-ups and reinforce public safety through a new Police Hospitality Zone Task Force.

Still, for many locals, the closure of Saks Fifth Avenue is a poignant loss.

“I think Saks Fifth Avenue has been a staple to Union Square for many years now, and it’s kind of sad as a local to see it go,” said Frida Gilchrist, a San Francisco resident who visited Union Square the day the closure was announced.

As the Bay Area bids farewell to another high-end retail icon, questions remain about the future of brick-and-mortar shopping in Union Square. Yet amid store closures and shifting business models, many see this as an inflection point — a chance to reimagine the heart of downtown San Francisco for a new generation of shoppers and brands.