Japanese department store operator Isetan Mitsukoshi is set to close its flagship store in Shanghai’s Westgate Mall on Nanjing Road after 27 years of operation. 

The store will operate until the end of June as the company decided not to renew the lease. The Shanghai department store was reported to be in the red in recent years. In 2022, the flagship posted a net loss of about $3.9 million. 

The company will also close two out of three stores in Tianjin City next month. 

Besides its home market, Isetan Mitsukoshi has stores in Malaysia, the Philippines, Singapore, Taiwan and the US. 

Isetan Mitsukoshi Holdings opened its first Mitsukoshi department store in the Philippines last year under a partnership with local property developer Federal Land.