The store will be Barneys' fourth new flagship location. Barneys opened a store in Copley Place in Boston in March of this year. This September, it will open a flagship in NorthPark Center in Dallas. Finally, right around the time the San Francisco store is set to open, a third new Barneys will open as part of the expansion of the Venetian Resort Hotel complex in Las Vegas. Barneys also operates three regional full-price stores, 10 CO-OP Barneys New York stores, 12 outlet stores and hosts two semi-annual warehouse sale events.

In May, a three-level building at the corner of Powell and O'Farrell streets, on the same block as 48 Stockton, changed hands for $12.6 million, or $1,575 per sf. The 200 Powell building shares the intersection with Starbucks and H&M, a hip UK-based clothing retailer. It was acquired by Blatteis & Schnur Inc., a Los Angeles-based national retail brokerage firm that is now also investing in real estate with Washington, DC-based ASB Capital Management.

The street and second levels of the building have 17- and 18-foot ceilings, respectively; the basement level has 13-foot ceilings. Sam Brownell, director of acquisitions for Blatteis & Schnur, tells GlobeSt.com the business plan includes a full interior and exterior renovation. Among other things, the building will receive a full seismic renovation and the historical facade will be uncovered and restored to its luxury art deco design. Ultimately, the space will be leased to a premier retailer looking for a flagship location, he says.

Both 48 Stockton and 200 Powell sit between Union Square and the newly expanded Westfield San Francisco Centre. Ground floor space on Union Square goes for more than $400 per sf per year, according to local brokers.