Zephyr Home Opens Flagship Store on Michigan Avenue

A major home goods retailer is betting big on Chicago’s retail future with the opening of its largest flagship store on the Magnificent Mile, bringing hundreds of jobs and a fresh shopping experience to Michigan Avenue.

Zephyr Home, the Minneapolis-based sustainable furniture and home decor chain, officially opened its 45,000-square-foot flagship location at 679 North Michigan Avenue on Tuesday, marking the company’s most ambitious retail expansion to date. The store occupies three floors of the former Anthropologie space, which had been vacant since early 2022.

The opening comes at a critical time for Michigan Avenue’s retail corridor, which has struggled with vacancy rates and reduced foot traffic since the pandemic. Several high-profile retailers, including Gap, Banana Republic, and Disney Store, have closed locations along the strip in recent years, leaving property owners and city officials searching for ways to revitalize the area.

“We see tremendous opportunity in Chicago,” said Maria Gonzalez, Zephyr Home’s Vice President of Retail Operations, during a ribbon-cutting ceremony attended by local officials and business leaders. “The Michigan Avenue corridor remains one of the most iconic shopping destinations in the country, and we’re committed to being part of its renaissance.”

The new flagship store features Zephyr Home’s full range of eco-friendly furniture, home accessories, and lifestyle products, with prices ranging from $15 decorative items to $3,000 dining room sets. The company has built its brand around sustainable materials and manufacturing processes, appealing to environmentally conscious consumers willing to pay premium prices for responsibly sourced goods.

Unique to the Chicago location is a 2,000-square-foot “design studio” on the second floor, where customers can work with in-house designers to create custom furniture pieces. The third floor houses a workshop space where the company plans to host community events, design classes, and local artist collaborations.

The store’s opening represents a significant investment in Chicago’s retail landscape, with Zephyr Home committing to a 10-year lease and hiring approximately 200 full-time and part-time employees from the local area. The company partnered with Chicago-area workforce development organizations to recruit staff, with starting wages ranging from $18 to $25 per hour.

“This opening is exactly the kind of investment we need to see on Michigan Avenue,” said Alderman Brian Hopkins, whose 2nd Ward includes the Magnificent Mile. “Zephyr Home isn’t just filling vacant space – they’re creating good-paying jobs and bringing an innovative retail concept that will draw visitors back to the area.”

The retailer’s expansion into Chicago follows strong performance at its existing Midwest locations in Milwaukee, Indianapolis, and Columbus. Company executives said they chose Michigan Avenue specifically for its tourist traffic and proximity to affluent North Side neighborhoods where the brand’s target demographic resides.

Local retail analysts view the opening as a positive sign for Michigan Avenue’s recovery, though challenges remain. Foot traffic along the corridor is still approximately 25% below pre-pandemic levels, according to data from the Magnificent Mile Association, and several prominent spaces remain vacant.

“One store doesn’t make a turnaround, but it’s an encouraging sign,” said Jennifer Walsh, a retail consultant who tracks Chicago market trends. “Zephyr Home is bringing something different to the mix – not just another fast fashion or tourist trap store, but a destination retailer with a strong brand identity.”

The company plans to integrate deeply with Chicago’s design and arts community. Starting in December, the third-floor workshop space will host monthly events featuring local artists, with a portion of sales from featured pieces going to support Chicago-area arts organizations. Zephyr Home has also committed to sourcing 20% of its Chicago store’s inventory from Midwest-based manufacturers and artisans.

Challenges facing the new location include ongoing concerns about safety and cleanliness along Michigan Avenue, issues that have deterred some shoppers and tourists in recent years. The Magnificent Mile Association has increased security patrols and worked with the city to address these concerns, but retailers continue to monitor the situation closely.

Zephyr Home’s arrival is part of a broader effort by property owners and city officials to attract retailers that offer unique experiences rather than just traditional shopping. The strategy aims to differentiate Michigan Avenue from suburban malls and online shopping by emphasizing entertainment, customization, and community engagement.

The store will operate seven days a week, with extended hours during the holiday season. Company officials said they expect the Chicago flagship to become one of their top-performing locations within two years, driven by both local customers and the millions of tourists who visit the Magnificent Mile annually.

For Michigan Avenue stakeholders, Zephyr Home’s commitment represents hope that the corridor can adapt and thrive in the evolving retail landscape. The store’s emphasis on sustainability, local partnerships, and experiential retail aligns with broader consumer trends that favor authentic, purpose-driven brands over conventional chain stores.