Ikea to open downtown San Francisco location as other retailers flee

Ikea coming to San Francisco

San Francisco is looking to flip the narrative on the "doom loom" narrative with city leaders saying there are signs for optimism, especially with the arrival of a new major retailer.

SAN FRANCISCO - Ikea will open a new store location in Downtown San Francisco on Wednesday, despite other retailers closing up shop from the allegedly troubled business area.

The Swedish retailer said the demand for furniture and household items is stronger than ever, and the San Francisco location will offer "city living" solutions that reflect the needs of San Franciscans residents and how they live.

The new location sits at 945 Market Street and has more than 52,000 square feet of space across three levels of the building, including 27 fully furnished room settings.

Merchants, shoppers share thoughts on string of Market Street store closures

Shoppers and merchants were asked about the current changes and challenges businesses face with the Market Street store closures.

Customers can purchase furnishing accessories that focus on affordability, sustainability, and small-space living. Larger furniture items, like couches and bookshelves, are available for home delivery.

The new store will also offer a buy-back and resell service where customers can retire their IKEA furniture. Select used items will be eligible for store credit.

IKEA has only a few stores in the Bay Area. The first opened in Emeryville in 2000, followed by Ikea East Palo Alto in 2003.

The new downtown San Francisco location is not far from where the flagship Old Navy store on Market Street stood until it closed its doors in July. Saks Off 5th and Nordstrom Rack, which were also in the area, have closed due to declining foot traffic.

Williams Sonoma and Whole Foods have also announced plans to shutter their doors over safety concerns.

However, Supervisor Matt Dorsey believes the new Ikea could act as Market Streets next anchor store.

"Give it a few years," he said. "I have a feeling that everybody is going to look at Ikea and say 'they did it again. This is one where they made a good call before anyone else was making it about redefining what urban retail is going to be.' So, I'm excited about it."