Legendary toy store FAO Schwarz has decided to shut down its flagship store on Fifth Avenue in Manhattan due to rising rents.
Toys "R" Us, the iconic toy chain that owns FAO Schwarz, announced Friday that it will close the store on Wednesday, July 15 and is considering moving it to a spot in Midtown, according to NBC News.
"The decision to vacate the space is due to the continuing rising costs of operating a retail location on Fifth Avenue in New York City," Toys "R" Us said in a statement. The company added that it will try to help the store's employees find jobs at other Toys "R" Us and Babies "R" Us locations in the greater New York and New Jersey area.
Competition from discount and online retailers has played a large role in FAO Schwarz and Toys "R" Us closing its stores, The New York Times reported. FAO Schwarz use to have 40 stores across the U.S. but has had to vacate several of them over the years, with its store on Fifth Avenue remaining its only location left. Toys "R" Us is also planning on close its flagship store in Time Square at the end of 2016.
The store's closing will mark the first time since 1870 that FAO Schwarz has been unable to make its products available to New Yorkers.
Among the locations that FAO Schwarz is looking at is a basement space in the 48-story office tower at 1633 Broadway, The NY Times reported. An official deal has yet to be made.
"The company is committed to the F.A.O. Schwarz brand and growing its legacy," Toys "R" Us said.
FAO Schwarz is the oldest store in the U.S., NBC News reported, having been a popular tourist attraction over the years and made cameos in movies like "Mighty Aphrodite," starring Woody Allen, and "Big," starring Tom Hanks.
