Shirokiya
| Company type | Private |
|---|---|
| Industry | Retail (department store) |
| Founded | August 1, 1662 in Nihonbashi, Edo (modern-day Tokyo), Japan |
| Founder | Hikotaro Omura |
| Defunct | 2020 |
| Fate | Ceased operations |
| Headquarters | Honolulu , United States |
Area served | Japan, United States (Hawaii) |
Key people | Koji Hayashi (CEO and President), Walter Watanabe (Director and Store Manager) |
| Products | Apparel, dry goods, various merchandise |
| Owner | Shirokiya Holdings, LLC |
| Parent | Shirokiya Holdings, LLC |
Shirokiya (Japanese: 白木屋) originated as a department store chain founded in Japan and later headquartered in Honolulu under the ownership of Shirokiya Holdings, LLC, a company based in the United States. Its last operating store ceased business in 2020.
Company overview
Shirokiya, Inc. is governed by a seven-member board that holds shares in its parent entity, Shirokiya Holdings, LLC. The company’s CEO and President, Koji Hayashi, who hails from Japan, oversees the remaining Japanese operations. Operational leadership and senior management responsibilities are primarily managed by Director and Store Manager Walter Watanabe along with other board members.
History
The origins of Shirokiya trace back to August 1662 when Hikotaro Omura established Shirokiya Gofukuten, a dry goods retailer located in Nihonbashi, Edo (modern-day Tokyo). Over the ensuing centuries, the company expanded its product range to include apparel and various other merchandise, competing alongside rivals such as Mitsukoshi starting in 1886. In 1903, Shirokiya launched a Western-style department store, followed by an even larger facility nearby in 1911.
The 1923 Great Kanto Earthquake devastated Shirokiya’s original building, which was subsequently rebuilt with contemporary architectural designs. A significant fire in December 1932 destroyed the larger store and resulted in 14 deaths. The impacts of World War II and the subsequent occupation of Japan severely affected Shirokiya’s primarily Tokyo-based holdings, whereas Mitsukoshi’s broader national footprint allowed it to maintain stronger resilience.
By 1958, despite implementing Western marketing techniques, Shirokiya was experiencing decline while Mitsukoshi continued to dominate the market.
Tokyu era
To prevent a hostile takeover in 1958, Shirokiya was incorporated into the Tokyu Group, a railway operator diversifying into retail. Tokyu consolidated its Japanese retail outlets under the Tokyu Department Store brand, which led to the gradual phasing out of the Shirokiya name in Japan, culminating with the renaming of the Nihonbashi location in 1967.
This corporate integration also encouraged international growth under the Shirokiya brand. The first overseas branch debuted on October 29, 1959, at Hawaii’s newly opened Ala Moana Center. In 1966, this store moved within Ala Moana to a site opposite Liberty House (now Macy's), where it operated for five decades. Additional stores were established in Maui (1973) and Pearlridge near Pearl Harbor (1981).
While these locations attracted both tourists and local shoppers, profitability fluctuated. The economic downturn in Japan during the 1990s left Tokyu burdened with $470 million in debt by 2001 and forced closure of its historic Nihonbashi flagship store in 1999 after over three centuries of operation. To reduce expenses, Tokyu divested its overseas assets by shutting down Pearlridge in March 2001 and Maui by May that year.
The closures sparked significant public outcry; Senator Daniel Inouye spearheaded a petition with 30,000 signatures urging Tokyu to address what became known as the "Shirokiya crisis." Media speculation suggested Tokyu might withdraw entirely from retail outside Japan following its refusal to renegotiate leases.
Modern era
In an effort to preserve the brand, Tokyu sold Shirokiya for $1 to a group of seven leading Hawaiian executives while absorbing a $23 million loss. This agreement included rights for future expansion at Ala Moana Center and ensured continuity for one of Japan’s oldest retail names despite concerns about losing its heritage.
Under new ownership as Shirokiya Holdings, operations were streamlined and lease agreements renegotiated. On November 17, 2002, Shirokiya reopened with then-Governor Benjamin J. Cayetano proclaiming "Shirokiya Day." By mid-2003, net sales had climbed to $35 million.
On March 31, 2016, Shirokiya closed its department store at Ala Moana Center but reopened on June 25 within the same mall at street level as Japan Village Walk. This concept recreated a traditional Japanese town reminiscent of Kyoto featuring four distinct areas: Yataimura (a food court and beer garden), Zeppin Plaza (shopping streets), Omatsuri Hiroba (festival plaza), and Guardian Spirits Sanctuary (a shrine dedicated to luck). The former department store space was repurposed into "The Lanai" food court.
Due to the impact of the COVID-19 pandemic, both Japan Village Walk and the adjacent Vintage Cave restaurant ceased operations in March 2020. In 2021, Ala Moana’s parent company initiated legal action against Shirokiya Holdings seeking nearly $8 million for unpaid rent on locations that remained closed post-pandemic. Shirokiya responded with a countersuit alleging wrongful lease termination and denial of opportunities to revive business operations. Mediation efforts stalled by November 2021 amid disputes over equipment and property left behind at shuttered sites.
External links
- Old Tokyo: History of Shirokiya Department Store
- More Than Just a Store: Shirokiya, Honolulu Advertiser, January 23, 2000
- Farewell to Shirokiya’s Pearlridge Location, Honolulu Star-Bulletin, February 6, 2001
- Efforts to Preserve Shirokiya, Honolulu Star-Bulletin, July 14, 2002
- Corporate History of Tokyu Department Store Co., Ltd.
- Tokyu Department Store Official Corporate History (Japanese)
- Creating Place: The Experience of Old Japan at Honolulu’s Japanese Department Store Shirokiya doi=10.1080/18692729.2017.1351025