Iconic New York department store, Barneys, is set to close after filing for bankrupcy.
According to reports, the luxury chain has suffered at the hands of rising rents and low footfall in recent years. Business of Fashion has reveled it listed liabilities of between US$100 million and US$500 million following several weeks of attempts to find a new partner or buyer.
The Chapter 11 filing allows the stores to stay open while a plan is formulated as to how the business can pay its debts.
Barney's was founded in 1923 but came into its own during the 70s as the favoured retailer for fashionable New Yorkers. After filing for bankrupcy in 1996, it went on to open further stores around America but has recently struggled with rising rent. Madison Avenue, for example, has seen rents triple in the last year according to Bloomberg.