A joint effort by Dallas city leaders to keep the flagship Neiman Marcus store in downtown alive has netted positive results.
According to a release from downtown advocacy group Downtown Dallas Inc., a landlord who owned a piece of land on which the iconic store resides has agreed to donate it to the city of Dallas, so that there are no obstacles for the store's continued operation.
The magnaminous gesture comes following a February 18 announcement by Neiman Marcus owner Saks Global that the store — which had been a bedrock of downtown since it opened in 1914 — would be shuttered due to issues with the lease.
In response, leaders from the city of Dallas convened on Tuesday, February 25 to stress the importance of Neiman Marcus and why it should not be lost due to a lease dispute.
Downtown Dallas Inc. stated that, following conversations with Stephen Rogers, the asset manager for the Slaughter family, an agreement had been reached for the land in question: First, it will be donated to the City of Dallas, which will designate it for Neiman Marcus.
How soon before there's a parade for Stephen Rogers and family?
UPDATE 2-26-2025: Neiman Marcus owner Saks Global says in a statement that, despite the resolution of the lease issue, for now it is still moving forward with its plans to close the store. "Given our role in the Dallas community, we are working to schedule a meeting with the Dallas Consortium, however, at this time, our plans to close the Downtown Dallas Neiman Marcus remain in place," the statement said. Meanwhile, Saks has initiated a round of layoffs — its third since its July 2024 acquisition of Neiman Marcus.
Ground leases
When ground leases expire, there is no dispute. All the ground leases under the Neiman Marcus building were affirmed during the company’s bankruptcy. They all had longevity, except for the Slaughter lease. First signed in 1926, its 99-year duration ended on January 31, 2025, and was extended to March 31, 2025.
According to DDI, the 99-year lease was never an economic lease, but a philanthropic lease: C.C. Slaughter, the original owner, was close friends with the Neiman family and the Marcus family. Over 99 years, the lease never received more than $400 per month.
Conversations between Rogers and Todd Interests founder and CEO ran "late into the evening and early morning," before culminating with a meeting with City Manager Kimberly Bizor Tolbert on February 26, during which the Slaughter family confirmed their intention to donate the land to the city.
The City of Dallas will then commit this parcel for the continued operations of the Downtown Neiman Marcus flagship store.
Does this mean that reservations for the Zodiac Room, the store's equally iconic in-house cafe, will free up?
In a statement, Tolbert says that “this kind of vision and cooperation between the real estate community, Downtown stakeholders and longtime passionate Neiman Marcus customers have been the driving force motivating us for the betterment of our city. We are committed to ensuring that the flagship Neiman Marcus store in Downtown is open for many years to come with no barriers related to this land lease."
DDI offered thanks to the Slaughter Family and Stephen Rogers, whom they called "a family of tremendous integrity who are cut from the same fabric as their great-grandfather, C.C. Slaughter. They care about the bigger picture, the common good for all."
The organization also received a response from SaksGlobal that a representative would be available to meet in Dallas next week.
"We can now report that issues Saks leadership had perceived were 'beyond (Saks) control,' as expressed by CEO Mark Metrick, relating to issues with terms and conditions on the ground lease under the escalators are now under 'control' and will be secured going forward," DDI said.
