Fast fashion retailer Zara is planning to relocate a block away from its existing location in Union Square and open a huge new flagship store at the corner of Post and Powell.
The positive news items have generally been fewer than the negative ones in the past two years when it comes to Union Square retail. But SF Mayor Daniel Lurie was quick to celebrate the news Monday that Zara is taking over the prominent empty space at 400 Post Street, at Powell, across from Saks and the Westin St. Francis.
"This is what we're talking about," Lurie said in a video posted to Xitter. "We are seeing the momentum build every single day."
Zara is opening a flagship store in Union Square! This expansion is another vote of confidence in our city. We will continue to work every day to deliver safe and clean streets in Union Square and across the city, and let the world know that San Francisco is open for business. pic.twitter.com/Wi29uXLDpC
— Daniel Lurie 丹尼爾·羅偉 (@DanielLurie) April 7, 2025
As the Chronicle first reported, this will be a significant expansion of Zara's footprint in Union Square, with a four-story, 40,000-square-foot flagship store that is almost double the size of its existing store at 250 Post Street.
In a statement, Lurie told the Chronicle that this was a sign that "global brands want to grow here," and Zara's decision was "the latest vote of confidence in the future of our city."
Zara had announced, a little over a year ago, that it would be closing its Union Square store when its lease expired in January 2025. That may have been a negotiating play over that lease, which seems to have been extended, but the company decided to take a new lease up the street instead. The new store is expected to open next year.
There have been hopes that something similar could happen with Macy's, which announced its intent to close its Union Square flagship store over a year ago, once it sells the property. There have been no updates on that sale, however the Mayor's Office is no doubt continuing to try to get the company to stick around in some shape or form, just Mayor London Breed and former Supervisor Aaron Peskin were doing last year.
Last month, the Bloomingdale's store in the nearby SF Centre mall closed its doors, and last week we learned of nine more stores in that mall that were recently closed or closing. A foreclosure auction for the mall property has been delayed four times, and is now scheduled for June.
In other opening news around Union Square, Shoe Palace debuted in February in the former Express store space at Geary and Powell, and a Nintendo Store is opening at 331 Powell Street on May 15.
