FAO Schwarz makes a big comeback three years after it closed
FBN’s Cheryl Casone reports on the reason FAO Schwarz’s flagship Fifth Avenue store is closing.
It’s back and just in time for the toy rush.
Iconic toy store FAO Schwarz, which closed its doors three years ago on Fifth Avenue due to high rent and the uptick of online retailers, has made a comeback with a new store and a new owner.
On Friday, FAO Schwarz opened its new location in Manhattan’s Rockefeller Center, about 10 blocks from its former location near Central Park.
The 20,000-square-foot store will feature a combination of the old and the new, bringing back its famous giant clock tower as well as its giant dance floor piano, which was made famous in the 1988 film “Big,” starring Tom Hanks.
The toy brand’s new owner is ThreeSixty Group, which bought the rights to FAO’s name in 2016 after the 150-year-old retailer went through multiple corporate takeovers over the years.
In 2002, it was purchased by Right Start Inc., which later filed for bankruptcy twice. Then its next owner was Toys “R” Us - who closed for good themselves this June - was forced to close all FAO's locations in 2015 and sell its rights in 2016 after years of struggling sales and high rents.
David Niggli, FAO’s chief merchandising officer, told The Associated Press that the new FAO Schwarz shops are all about experiences and that’s what differentiates them from other retailers.
What’s more, the company isn’t just eyeing New York City, but it is planning a global marketing push that includes pop-up locations in England, Spain and Australia as well as a permanent store in Beijing.
Additionally, it hopes to add smaller retail locations in airports and other locations throughout the U.S. and Canada.
FAO was founded in 1862 by Frederick August Otto Schwarz, a German immigrant who specialized in high-end toys from Europe.