In 1993, Barneys opened its Madison Avenue store — a 230,000-square-foot behemoth the retailer called “the largest new store in New York City since the Great Depression.” Barry White christened its opening. Now it may be dragging the retailer’s finances into dangerous territory.
This spring, news broke that Barneys planned to cut the space at the flagship by more than half to save on its rent, which reportedly doubled to $30 million (not including taxes and other costs) after arbitration with its landlord failed. According to the New York Post, Barneys had threatened to file for bankruptcy amid the arbitration process as it tried to negotiate a lower rate.
