Nordstrom expansion continues for off-price unit

While Saks Global is practically abandoning its off-price channel with plans to close most of its Saks OFF 5TH locations, Nordstrom, which started as a shoe store in 1901, continues to expand its off-price brand.

Nordstrom, Inc., now operating as a private company, is rapidly expanding its discount concept with 22 new Rack locations announced to open in 2026 across the U.S.

Signed leases will result in new Rack stores in Sarasota, Fla.; Pompano Beach, Fla.; Lake Nona, Fla. (near Orlando); Tampa, Fla.; Encinitas, Calif.; Elmwood, La.; Knoxville, Tenn.; Canton, Ohio; Fairlawn, Ohio; Deptford, N.J.; East Brunswick, N.J.; Marlton, N.J.; Plymouth, Mass.; Mansfield, Mass.; Williamsburg, Va.; Spokane, Wash.; Park City, Utah; Columbia, Mo.; Atlanta, Ga.; Media, Penn.; Exton, Penn. and Rockville, Md.

Most 2026 openings range between 23,000 and 31,000 square feet. Larger format locations like Spokane, Wash. (31,000 sq. ft.), Marlton, N.J. (30,000 sq. ft.) and Exton and Media, Penn. (30,000 sq. ft. each) are being placed in premier power centers alongside major anchors like Walmart, IKEA or Ulta Beauty. Compact format stores in Mansfield, Mass. (23,700 sq. ft.) and Canton, Ohio (23,800 sq. ft.) are tailored for smaller footprint lifestyle centers.

The upcoming openings show Nordstrom’s deliberate shift toward open-air shopping centers and lifestyle hubs (like Atlantic Station in Atlanta or Pinnacle at Turkey Creek in Knoxville) rather than traditional enclosed malls where Nordstrom operates full-line department stores.

The last time Nordstrom opened a brand-new, full-line department store was on October 24, 2019, in New York City. However, on March 6, 2025, Nordstrom opened a new 138,000-square-foot full-line store at Fashion Place Mall (Murray, Utah), which was relocated from another space within the same mall.

The Rack concept now represents about three-fourths of Nordstrom’s 390-plus stores nationwide. Amid rising demand for off-price retail concepts, which includes continued expansion by The TJX Companies, Inc., Burlington Stores, Inc. and Ross Stores, Inc., Nordstrom continues to expand Nordstrom Rack. It added about 20 locations last year.

Spend growth at off-price chains is among the strongest in retail, ‌with gains ⁠across all income segments, recently led by lower-income shoppers but with solid growth from middle- and higher-income households as well, Michael Gunther, CFA, SVP of research and market intelligence at ConsumerEdge Research told Reuters.

Read more: Nordstrom Rack adds more store openings — here is the 2026 lineup (chain Store Age)