Built in 1880, and vacant since 2018, the owner of the historic Wagener Building at 161 East Bay St. recently made a deal with luxury lifestyle retailer Restoration Hardware Inc. for their takeover of the Charleston landmark.

Who Came Before and Why Did They Leave?

Previously occupied by Lagunitas Brewing Co., the building had become known as a social club for a period before the company moved out six years ago. The company discovered severe structural issues with the building that would have cost more than was reasonable, resulting in their property abandonment.

Poor Timing and Shifting Plans

The timing wasn’t ideal for a three-story brick building since the COVID-19 pandemic would make its way through the United States in 2020. Still, things were looking up for the Wagener Building when Soho House & Co., Inc. announced they would move into the structure in 2023.

Restoration Hardware’s Plans to Move in

While the details aren’t clear, the London-based Soho House and the Wagener Building’s owner recently terminated the lease. Soho House determined that their social club would not move into the building. This decision became an opportunity for the international luxury lifestyle retailer Restoration Hardware to agree on an initial 15-year lease with the property owner in late October, a deal that includes a nearby parking lot.

According to The Post and Courier, Restoration Hardware declined to comment on its plans for the space moving forward despite the 15-year commitment. The owner of the Wagener building, affiliated with the AJ Capital Investors firm, which borrowed almost $16 million against the building when the deal was finalized, did not comment. Soho House was also not prepared to comment, with the website still being active as of the request.

Part of a Wider Expansion Effort

Restoration Hardware is a publicly traded home goods and interior design service curator. It has been expanding its reach through North and South Carolina. Its catalog is generally pricier than one would like, erring on the side of luxury costs. 

A Chance at Revitalization

Despite the usual concerns with luxury stores, Restoration Hardware has the potential to revitalize the 16,300-square-foot corner building following the departure of Lagunitas Brewing. Though it has been unoccupied for a while now, the Wagener Building is in an ideal location in all respects. The French Quarter of Charleston is a popular location, close to the City Market, and perfect for a gallery-style interior design space.

Restoration Hardware CEO Gary Friedman is keen on expansion and growth in the United States and Europe, preferring bold landmarks to the average commercial space. This move would make the luxury lifestyle retailer stand out from the competition and generally situate them in more heavily trafficked locations.

“Our plan to expand the RH brand globally represents a multibillion-dollar opportunity,” Friedman said in a statement. “We believe great architecture amplifies and renders our product and brand more valuable.”

More than a Furniture Store

Fortunately for fans of Lagunitas Brewing, Restoration Hardware has been known to incorporate upscale restaurants, wine bars, and other amenities that take advantage of increased foot traffic to their locations. It doesn’t hurt that these additions create more revenue for the company.