TAMPA — Macy’s sold its furniture gallery and warehouse property on W Gandy Boulevard to a California real estate firm for $32 million, according to Hillsborough County property records.
Despite the sale, Macy’s says it will still occupy the property and lease the space from its new owner, LBA Realty.
“As an organization, we continue to review our supply chain and brick-and-mortar locations to evaluate opportunities to maximize value,” Macy’s spokeswoman Jacqueline King said in a statement. “We also remain committed to ensuring the sustainable, long-term success of our business.”
The 39-acre property at 4130 W Gandy Boulevard has a 670,000 warehouse that Macy’s uses as a distribution center. It also is home to a furniture gallery and store.
News of the sale comes as Macy’s announced another round of department store closures coming this year, as the struggling retailer tries to stabilize its business. None of the announced closures are in Tampa Bay, but two are in Florida.
The South Tampa sale closed on Dec. 29 with a $30.8 million mortgage through Forethought Life Insurance Co.
In promotional documents advertising the property, commercial real estate firm Cushman & Wakefield said that the property’s size made it ripe for “mixed-used redevelopment opportunity” with new retail, hotel, or apartment construction. The real estate firm also mentions the property’s ideal location for last-mile distribution or delivery.
With ever increasing delivery competition, how quickly retailers can get items to customers is becoming more important to retailers. The property’s position in South Tampa and nearby the Gandy Bridge leaves it an easy access point between both Tampa and St. Petersburg.
LBA Realty did not respond to a request for comment.
Macy’s said there would be no disruption to business operations at the furniture gallery and warehouse due to the sale.