Chloe’s Closet, the consignment store at 451 Cortland specializing in clothes for kids and expectant moms, has been a cherished resource for budget-conscious Bernal parents for more than a decade. Yet recently the business has been struggling, and today Chloe’s Closet announced a series of changes intended to keep the Cortland store afloat.
In an email to customers, Chloe’s writes:
It is no secret that San Francisco has a rapidly declining population of the people Chloe’s Closet really depends on: middle class and working class families. Many of those families just can’t afford to live here any longer and it shows in our sales. The last three years have seen decreasing revenue at both our San Francisco locations, especially in Bernal Heights. While sales have dropped steadily, costs have risen – rent, insurance, taxes and payroll go up and up. We are just barely hanging on.
At this time we are considering our options. We have 18 months left on our lease in Bernal Heights and the next few months will determine whether we can turn things around in Bernal. If we can’t make it work, then unfortunately we will need to find a tenant and close that location down. (We will continue in the Inner Sunset as well as in Berkeley)
In order to hang on in the meantime, we have no other option but to decrease our overhead. To this end, we will be reducing our employee hours at all three locations, and doing a partial shutdown of the “Toy” side at our Bernal Heights location. We are having a sale on our remaining Women’s and Maternity clothing, then we will close that section down. This will allow us to have one fewer person on the payroll per day.
We are also considering going to limited drop off days/hours and/or closing one day per week at all of our locations.
In addition, Chloe’s Closet will implement changes to its consignment policy in order to reduce the quantity of unsellable items dropped off at the store.