Living in and doing business in a blue state often means getting hammered with prohibitive costs and endless regulations.
But it is not just everyday citizens flocking away from blue states and into red states at breakneck speed these days.
Now, a massive, well-known footwear retailer just announced a smart move as it plans to take its company headquarters from a blue state to a red state.
Foot Locker moving from New York to Florida
If you have ever been to a shopping mall, you have probably seen a Foot Locker store at least once.
The major footwear retailer has been an American staple for decades, and it just announced that it is making a profound change.
Foot Locker says the company is relocating its company headquarters from New York to Florida, namely from New York City to St. Petersburg.
Plans for the move are now underway, and the retail giant expects the move to materialize sometime in late 2025.
In a company statement, Foot Locker said it seeks to “further build on the Company’s meaningful presence in St. Petersburg and to enable increased collaboration among teams across banners and functions, while also reducing costs.”
CEO Mary Dillon also noted that the retailer already has a “very meaningful commercial and executive team presence” in St. Petersburg.
She also told analysts and investors that the company will not require workers to relocate.
“Historically, that (St. Petersburg) was originally the headquarters of Champs Sporting Goods. We have a large concentration of folks there already, and we think it’s a great place for us to continue to grow and do business and continue to attract top talent,” she added.
The company’s corporate presence in New York City will be “limited” in the future.
According to Dillon, the decision to move to Florida would “give us better opportunities, both for further collaboration across the business and there’s some financial benefits over time as well.”
Based on these statements, it is clear the company’s CEO knows the cost of doing business is much more favorable in red states like Florida.
Company announces “Lace Up Plan”
Foot Locker says the move to Florida is part of a larger effort to “further support strategic progress” of its so-called “Lace Up Plan.”
This plan initially began in March and includes several initiatives like moving away from mall stores, revamping its customer loyalty program, developing new store formats, and moving more toward digital to help boost growth.
The retailer is also planning to launch a Global Technology Services Hub in Dallas in a separate move.
According to Dillon, that hub will be a “key enabler of our technology infrastructure modernization under Lace Up.”
Foot Locker is not the only massive company that has moved from New York to another state.
Icahn Capital Management left the state in 2020, and ARK Investment Management followed suit in 2021.
St. Petersburg Mayor Kenneth T. Welch is happy about Foot Locker’s HQ moving to his city.
He said, “Foot Locker’s move represents a significant corporate relocation, and importantly, it’s another example of impactful and inclusive economic development in our city and the Tampa Bay region.”
