A bombshell dropped on the retail world this week when Lord & Taylor, one of America’s oldest and most iconic department store chains, was sold to a little-known clothing rental service. Le Tote, a seven-year-old San Francisco company, is spending $100 million for Lord & Taylor’s website and 38 stores. The previous owner, Hudson’s Bay Company, closed Lord & Taylor’s flagship store in Manhattan this year and has been shuttering other locations including the one in Gaithersburg. Plans call for the remaining Lord & Taylor stores to stay open for at least three years – but it’s unclear how Le Tote’s clothing rental subscription model will be integrated into the business. Also unclear is the fate of the Lord & Taylor store on Rockville Pike, which has been the subject of ongoing litigation with the owners of the former White Flint Mall.
