SEATTLE — Target cited theft and organized retail crime in its decision to close two of its Seattle store locations earlier this year, saying the focus was on the safety of both workers and shoppers.
However, a CNBC investigation released this week contradicts the stance that crime and safety were the primary reasons for closures in Seattle and other major U.S. cities.
Target closed locations in the Ballard and University District neighborhoods in October, leaving 22 of its stores open in the Seattle area.
CNBC found that crime reports between January 2021 and the end of September 2023 at the two locations chosen to close were much lower than the number of incidents at two stores that remain open: one on Second Avenue near Downtown and another on Northeast Northgate Way just east of Interstate 5.
Per CNBC, while both locations Target chose to close were seeing a decline in crime in the surrounding areas, the Northgate location was seeing a significant rise.
“We know that our stores serve an important role in their communities, but we can only be successful if the working and shopping environment is safe for all," Target said in a statement when the closures were announced.
Target said in May that theft was cutting into its bottom line and it expected related losses could be $500 million more than last year, when losses from theft were estimated to be anywhere from $700 million to $800 million. So that means losses could top $1.2 billion this fiscal year.
CEO Brian Cornell also told analysts in August that violent incidents against workers at Target stores increased by 120% for the first five months of the year compared with the same period a year prior.
CNBC found similar trends with Target closures in the San Francisco Bay Area, Portland and New York City.