PORTLAND, Ore. — Target announced Tuesday that it will close three locations in Portland, including the Galleria store downtown, citing ongoing problems with theft and "organized retail crime."
In a statement, the company said that it's closing nine stores in four states for the same reasons: the three in Portland, two in Seattle, three in San Francisco and one in New York City. All of them will be closed as of Oct. 21.
"In this case, we cannot continue operating these stores because theft and organized retail crime are threatening the safety of our team and guests, and contributing to unsustainable business performance," the company said. "We know that our stores serve an important role in their communities, but we can only be successful if the working and shopping environment is safe for all."
Target said it planned to close down the Galleria location downtown, as well as the small-format locations on Southeast Powell and in the Hollywood District on Northeast Halsey. According to the company, 15 stores will remain open in the Portland market, employing more than 2,500 people, and Target said "eligible" employees of the shuttered stores will be offered an opportunity to transfer.
The company said it invested in hiring more internal security staff and contracted third-party security guards in an attempt to deter theft, rolled out locked cases for theft-prone items and put time and resources into training store managers and security members to "protect themselves and de-escalate potential safety issues associated with organized retail crime incidents," measures that ultimately didn't change the outcome.
"While we will continue to make meaningful investments throughout our business, we cannot solve this issue on our own," Target said. "In addition, we are taking a whole of community, government, and industry approach to seek solutions."
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Shoplifting has become endemic in the Portland area post-pandemic, accompanying the rise in addiction and fentanyl use. While law enforcement agencies and the Oregon Legislature have stepped up efforts to crack down on retail theft, efforts by Portland police are usually limited to sporadic retail theft missions. Meanwhile, most large retailers have adopted policies directing their staff not to confront shoplifters for liability reasons.
However, Portland crime data shows that the three Target stores that are shutting down next month don't necessarily have the highest crime rates. They're small-format stores, which the company typically places in dense urban areas. KGW senior investigative reporter Kyle Iboshi said that these stores can't absorb the losses that larger Target locations can — their profit margins are already too thin. Even if they see fewer thefts than larger stores, the company has an incentive to shut them down first.
Target previously moved its downtown store from the second and third floors of the Galleria down to just the first floor. Last year, the building's owners announced a $20 million renovation project for the building that centers on the now-vacant second floor.