Iconic US department store Saks Fifth Avenue is closing its Dubai store after nearly 11 years of business.
Located in BurJuman Centre, Saks first opened its Middle Eastern outpost in 2005, however, due to the end of its licensing agreement, the 80,000 square foot of retail space will close on August 31.
"We can confirm that the lease agreement with Saks Fifth Avenue is approaching its natural conclusion”, an official spokesperson for BurJuman confirmed. He added the space will be incorporated into the mall's expansion plan.
The parent Canadian company of Saks, Hudson's Bay Company, have denied any immediate plans to renew the licensing in the UAE, or even move it to another location.
The BurJuman space will be the last remaining Saks Fifth Avenue store in the UAE, as the retailer closed its menswear store at the Walk on Jumeirah Road in 2010, a mere two years after opening. It was soon replaced with a discount outlet store selling Saks Fifth Avenue products from previous year's collections, which is now closed as well. Saks saw a short-term success in Riyadh, Saudi Arabia, too, as it drew its shutters in 2012.
According to forecast from consulting firm, Euromonitor International, the UAE retail market is to grow seven percent, and is valued at $53.7 billion (Dhs197 billion) for 2016.