Few retail names carry as much weight in a city's memory as a department store that has stood for generations, and so it is with David Jones, whose receivers have now placed its only New Zealand store at Westfield Newmarket among nineteen locations marked for closure. The decision is less a sudden wound than the late stage of a long reckoning, in which rising costs, tangled supply chains and a sprawling, aging footprint met landlords who would not agree to the terms needed to keep the business whole. The receivers present it as a painful but unavoidable step toward a viable future, and whether
David Jones' Only New Zealand Store Earmarked for Closure in Receivership Restructure
Many David Jones staff face job losses or material impact from the closure of 19 stores, with consultation under way.
The only David Jones in New Zealand is earmarked to close by year's end
Mark
Why does a store closing in Newmarket matter beyond the people who shop there?
Mimi
It's the only David Jones in New Zealand, so this isn't a trimming of a local network. The whole New Zealand presence is on the list, and staff there are part of the seven-day consultation.
Mark
How did the company get here?
Mimi
Talks with major landlords broke down. The receivers cite rising costs, supply-chain challenges and a footprint they call significant and outdated.
Luke
Careful with that last description. It's the receivers' characterisation, not an independent finding.
Mark
What had David Jones proposed to the landlords?
Mimi
Keeping 12 stores on existing rents, and seven more if landlords agreed to concessions.
Luke
And the rejection claim comes from landlord sources speaking to The Australian. At least two major groups besides Scentre, but they're unnamed, and we haven't heard the landlords on the record.
Mark
Is the Newmarket closure certain?
Mimi
The store is earmarked, and the receivers anticipate trading will stop by year's end. They've said there's no final date.
Luke
So the timing is an expectation, not a fixed schedule. We also don't know how many Newmarket staff are affected, because that figure isn't given.
Mark
What should readers watch?
Mimi
Landlord responses, the final dates, and whether the plan holds together.
Il Polso
- Nineteen stores, including the only New Zealand location at Westfield Newmarket, have been named for closure, and staff learned of it with little warning.
- A seven-day consultation window has opened, leaving employees in a tense wait over jobs that may be lost or reshaped.
- Talks with landlords on a smaller footprint collapsed, forcing the receivers to choose closures rather than negotiated retention.
- Closures are expected to be complete by the end of 2026, but no final dates are set and the outcome for the wider business remains open.
Few retail names carry as much weight in a city's memory as a department store that has stood for generations, and so it is with David Jones, whose receivers have now placed its only New Zealand store at Westfield Newmarket among nineteen locations marked for closure. The decision is less a sudden wound than the late stage of a long reckoning, in which rising costs, tangled supply chains and a sprawling, aging footprint met landlords who would not agree to the terms needed to keep the business whole. The receivers present it as a painful but unavoidable step toward a viable future, and whether that promise holds will depend on what the landlords do next and on the people whose livelihoods are caught in the balance.
David Jones staff were told that their stores are among nineteen earmarked for closure, including the only New Zealand location at Westfield Newmarket. The receivers have opened a seven-day consultation with everyone tied to those stores, and the shops will keep trading for now. No final date has been fixed, but trading is expected to end by the close of 2026.
The receivers acknowledged the restructure will have a material impact on many team members and said the impacts were highly regrettable. They framed the steps as unavoidable if David Jones is to remain a viable business, and asked that affected staff be treated with respect.
The path here ran through voluntary administration and receivership, after talks with major landlords broke down. The company had proposed keeping twelve stores on existing terms and another seven with concessions, but the plan was rejected by several property groups. Rising costs, supply-chain strain and a footprint described as large and outdated had already weighed heavily on the business.
What comes next is in the hands of the landlords, the timing of closures for each of the nineteen stores, and whether the receivers' plan truly secures a sustainable future.
David Jones staff were told today that their stores are among 19 earmarked for closure, and that includes the only New Zealand location, at Westfield Newmarket. The department store's receivers have started an immediate consultation process with all employees tied to the 19 stores, and that consultation will run over the next seven days.
The receivers said the stores will keep trading for now. No final closure date has been set, but they expect trading to cease by the end of 2026. For Newmarket, that puts the store's closure within the year.
In a statement, the receivers acknowledged that the restructure will have a "material impact" on many members of the team, and said they are committed to treating all employees fairly and with respect. They called the impacts highly regrettable but said they believe the steps are unavoidable if David Jones is to continue as a viable business, and that the measures give it the best chance at a sustainable future. They also asked that respect be shown to team members, particularly those affected by today's announcement.
The road to this point began when David Jones entered voluntary administration and receivership after restructuring talks with its major landlords broke down. The backdrop, according to the receivers, was rising costs, supply-chain challenges and a retail footprint they described as significant and outdated.
The company had put a proposal to landlords: keep 12 stores on their existing rental terms, with another seven continuing if landlords agreed to concessions. That plan did not land. Landlord sources told The Australian that at least two major property groups, aside from Scentre, rejected it.
When the administration was first announced, chief executive Erica Berchtold called David Jones an iconic company. She thanked customers, team members and partners for their continued support through the period, and said there is a well-developed plan to reset the business for the future. She said the company would work with the administrators, the receivers and its secured lender to pursue that reset.
Hill, of FTI Consulting, pointed to the same pressures: the retail trading environment, rising costs, the large and outdated footprint, and supply-chain problems. He described voluntary administration and receivership as providing breathing space and an opportunity to restructure, and said the process would be managed carefully, mindful of the impact on some stakeholders but also recognising the need for difficult decisions.
What to watch now: how landlords respond, when final closure dates are set for each of the 19 stores, and whether the receivers' plan delivers the sustainable future they say the closures are meant to secure.
Citazioni salienti
The receivers believe the steps are unavoidable if David Jones is to continue as a viable business.— David Jones receivers' statement
Voluntary administration and receivership provides breathing space and an opportunity to restructure the business.— Hill, FTI Consulting
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