The luxury home furnishings retailer formerly known as Restoration Hardware is opening two stores on Long Island, including a discount outlet in part of the space vacated by “underperforming” Target six years ago. The plan is to open it.
The RH Outlet is planned for part of the former Target store in Commack, according to building plans filed with the city of Smithtown. The planned RH Gallery in Manhasset is also one of seven full-price home furnishings stores that RH will open in North America in 2025, according to the retailer’s third-quarter earnings report. Two international galleries are also scheduled for this year, one in London and one in Paris.
RH is based in Corte Madera, California. The company’s growth strategy also includes introducing an almost entirely new product lineup starting last summer, as high interest rates reduced sales of new homes and reduced demand for new furniture across the industry. He contributed to turning around the slump.
RH CEO Gary Friedman told analysts on an earnings call in December that “the significant investments we are making during this downturn in the housing cycle are helping us become one of the most important brands in the world.” “We believe we are creating a comparable level of strategic separation in the industry.” .
On Monday, the Town of Smithtown issued a building permit for interior changes to the approximately 41,000-square-foot RH Outlet planned for 4 Henry Street in the Commack South Shopping Center, said William, director of the town’s Department of Buildings.・W. White said.
According to RH’s 2023 Annual Report, RH’s distributors “primarily provide an efficient means of selling returned merchandise and, to a lesser extent, discontinued merchandise and sales outside of our core sales channels.” “We are selling excess inventory products.”
Seth Basham, a retail equity research analyst in the Manhattan office of Los Angeles investment firm Wedbush Securities, said RH’s 38 discount outlets lack the luxury of the company’s full-price furniture gallery. says.
The 143,000-square-foot Target in Commack, which opened in 2002, was one of six “underperforming” stores in five states that Minneapolis-based Target Corp. closed in 2019. The company operates a Commack store 5.5 miles away (98 Veterans Memorial Highway).
Floor & Decor took over part of Target’s former Commack space in 2021, when the Atlanta-based flooring chain opened a 95,000-square-foot warehouse store and design center.
Islandia’s Cosentino Realty Group owns Commack South Shopping Center. Managing partner Peter Cosentino declined to comment Friday.
It is unclear when the Commack store will open, as RH did not respond to requests for comment.
The retailer’s other new store planned for Long Island will be a 19,410-square-foot store in the upscale Americana Manhasset shopping center, according to plans submitted for approval to the Town of North Hempstead. is scheduled to open.
On December 17, construction work for interior changes and other work was completed by Long Island Realty Fifth Avenue, an affiliate of Castagna Realty, owner of Americana Manhasset and managing the property. A permit application has been submitted.
The future address of the RH store is listed as 2128Northern Blvd. Although not in the plans, a Brooks Brothers men’s clothing store currently resides at that address.
Castagna confirmed that RH will open at Americana Manhasset this year, but declined to provide further information. Brooks Brothers did not respond to a request for comment, so it’s unclear whether the clothing store will close, move into the shopping center, or downsize to make room for RH.
On Long Island, RH Outlet opened at Tanger Outlets Riverhead in 2008 and RH Gallery opened in East Hampton in 2011.
Founded in 1979 in Eureka, California, RH, known until 2012 as Restoration Hardware, was previously a chain of mall-based retailers selling furniture and accessory hardware. It was something like that, Basham said.
“Over the past 10 years, they have moved towards a gallery strategy of stand-alone, much larger stores to display their products in a more elegant and luxurious way,” he said.
The luxury furniture and home decor retailer has 71 RH Galleries, including four opening in 2024, and 38 RH Outlet Stores across the U.S., Canada and Europe.
The company also operates the RH Guest House, a luxury hotel that opened in Manhattan in 2022, and 14 plumbing showrooms selling bath and kitchen products.
RH reported sales of $812 million for the fiscal third quarter ended Nov. 2, an 8.1% increase compared to the same period in 2023.
Bill McLaughlin, editor-in-chief of Furniture Today, a high-end trade publication, said that while lower-end retailers have been hit hard by the downturn in furniture sales, RH is a luxury retailer built around furniture. He said it is more resilient because it is a lifestyle brand. Point, North Carolina.
McLoughlin said RH is creating an experience around shopping, citing RH Restaurants and Wine Bars in 19 of the retailer’s Furniture Gallery stores as an example.
RH’s “customer is a much higher income consumer. It’s not someone who’s choosing between paying rent and buying a new couch,” he said.
The luxury home furnishings retailer formerly known as Restoration Hardware is opening two stores on Long Island, including a discount outlet in part of the space vacated by “underperforming” Target six years ago. The plan is to open it.
The RH Outlet is planned for part of the former Target store in Commack, according to building plans filed with the City of Smithtown. The planned RH Gallery in Manhasset is also one of seven full-price home furnishings stores that RH will open in North America in 2025, according to the retailer’s third-quarter earnings report. Two international galleries are also scheduled for this year, one in London and one in Paris.
RH is based in Corte Madera, California. The company’s growth strategy also includes introducing an almost entirely new product lineup starting last summer, as high interest rates reduced sales of new homes and reduced demand for new furniture across the industry. He contributed to turning around the slump.
RH CEO Gary Friedman told analysts on an earnings call in December that “the significant investments we’re making during this downturn in the housing cycle are helping us become one of the most important brands in the world.” “We believe we are creating a comparable level of strategic separation in the industry.” .
On Monday, the Town of Smithtown issued a building permit for interior changes to the approximately 41,000-square-foot RH Outlet planned for 4 Henry Street in the Commack South Shopping Center, said William, director of the town’s Department of Buildings.・W. White said.
According to RH’s 2023 Annual Report, RH’s distributors “primarily provide an efficient means of selling returned merchandise and, to a lesser extent, discontinued merchandise and sales outside of our core sales channels.” “We are selling excess inventory products.”
Seth Basham, a retail equity research analyst in the Manhattan office of Los Angeles investment firm Wedbush Securities, said RH’s 38 discount outlets lack the luxury of the company’s full-price furniture gallery. says.
The 143,000-square-foot Target in Commack, which opened in 2002, was one of six “underperforming” stores in five states that Minneapolis-based Target Corp. closed in 2019. The company operates a Commack store 5.5 miles away at 98 Veterans Memorial Highway).
Floor & Decor took over part of Target’s former Commack space in 2021, when the Atlanta-based flooring chain opened a 95,000-square-foot warehouse store and design center.
Islandia’s Cosentino Realty Group owns Commack South Shopping Center. Managing partner Peter Cosentino declined to comment Friday.
It is unclear when the Commack store will open, as RH did not respond to requests for comment.
The retailer’s other new store planned for Long Island will be a 19,410-square-foot store in the upscale Americana Manhasset shopping center, according to plans submitted for approval to the Town of North Hempstead. is scheduled to open.
On December 17, construction work for interior changes and other work was completed by Long Island Realty Fifth Avenue, an affiliate of Castagna Realty, owner of Americana Manhasset and managing the property. A permit application has been submitted.
The future address of the RH store is listed as 2128Northern Blvd. Although not in the plans, a Brooks Brothers men’s clothing store currently resides at that address.
Castagna confirmed that RH will open at Americana Manhasset this year, but declined to provide further information. Brooks Brothers did not respond to a request for comment, so it’s unclear whether the clothing store will close, move into the shopping center, or downsize to make room for RH.
On Long Island, RH Outlet opened at Tanger Outlets Riverhead in 2008 and RH Gallery opened in East Hampton in 2011.
luxury lifestyle
Founded in 1979 in Eureka, California, RH, known until 2012 as Restoration Hardware, was previously a chain of mall-based retailers selling furniture and accessory hardware. It was something like that, Basham said.
“Over the past 10 years, they have moved towards a gallery strategy of stand-alone, much larger stores to display their products in a more elegant and luxurious way,” he said.
The luxury furniture and home decor retailer has 71 RH Galleries, including four opening in 2024, and 38 RH Outlet Stores across the U.S., Canada and Europe.
The company also operates the RH Guest House, a luxury hotel that opened in Manhattan in 2022, and 14 plumbing showrooms selling bath and kitchen products.
RH reported sales of $812 million for the fiscal third quarter ended Nov. 2, an 8.1% increase compared to the same period in 2023.
Bill McLaughlin, editor-in-chief of Furniture Today, a high-end trade publication, said that while lower-end retailers have been hit hard by the downturn in furniture sales, RH is a luxury retailer built around furniture. He said it is more resilient because it is a lifestyle brand. Point, North Carolina.
McLoughlin said RH creates experiences around shopping, citing the RH restaurants and wine bars in the retailer’s 19 furniture galleries as examples.
RH’s “customer is a much higher income consumer. It’s not someone who’s choosing between paying rent and buying a new couch,” he said.
Tory N. Parrish covers retail and small business for Newsday. She has worked at the Pittsburgh Tribune-Review and Observer-Dispatch in Utica, New York.
