Fondaco dei Tedeschi in Venice closed

Fondaco dei Tedeschi in Venice closed? Yes! Majestic, historic, unexpected: this is the fate of the Fondaco dei Tedeschi in Venice.

The news of the closure of one of the city’s most iconic symbols of luxury and beauty hit me like a ton of bricks.

But what really happened? And why is such a prime location, overlooking the Grand Canal and just steps from the Rialto Bridge, going to close by 2025? Let’s get to the bottom of it.

Fondaco dei Tedeschi in Venice closed: What?

The closure of the Fondaco dei Tedeschi in Venice leads to questions. What happened? We've rounded up the important information you need to know.

Here’s what happened:

1. A sudden decision: DFS Italia, managed by the international LVMH group, has decided not to renew the lease on the historic building.
2. Unbearable losses: Over 5 years the shopping centre has lost 100 million euros.

Opened as a luxury shopping destination in 2016 after a major restoration, the Fondaco was a must see for tourists, especially those from Asia and Russia. But with the pandemic, this key clientele disappeared and the revenues collapsed.

The lease expires in September 2025 and will not be renewed. Along with it, the Fondaco’s role as a luxury hub will also disappear. 226 employees will be out of a job, a huge blow to Venice’s economy and image.

Why is the Fondaco dei Tedeschi in Venice closing?

Why is the Fondaco dei Tedeschi in Venice closing? We've looked at all the reasons below.

Why:

1. Luxury sector crisis: The pandemic has hit the luxury and tourism sectors hard.
2. Lost clientele: The collapse of Asian tourists, the main buyers, was fatal.

DFS said these economic problems are not exclusive to the Fondaco but are part of a global crisis in “travel retail”, the luxury commerce for travelers. But Venice’s case is special because of the scale and speed of the losses.

The numbers:

• 2020: 30.6 million euros.
• 2022: 24.4 million euros.
• 2023-2024: 6-17 million euros.

These are the numbers of a business that’s no longer sustainable, despite the location and the historic building.

When will the Fondaco dei Tedeschi in Venice close?

The final closure will be in September 2025 when the lease with the Benetton Group expires. But the shopping centre will close gradually:

1. First half of 2025: Full activity.
2. Last months of 2025: Dismantling and closure.

This leaves some time for the City of Venice and the unions to find a solution for the 226 employees involved. But for now, no concrete solutions have been announced.

Fondaco dei Tedeschi closure: The date

September 2025 will be the end of the Fondaco’s life as a luxury shopping centre. But the building, built in the 13th century, has survived many eras and functions—what’s next?

Fondaco dei Tedeschi in Venice closed: What does it mean for the city?

The closure is a big blow to Venice:

1. Job losses: The 226 employees will be laid off are just the tip of the iceberg.
2. Image damage: The end of an icon of modernity and luxury.
3. Uncertainty returns: The future of the building is unknown.

Rialto Bridge and the Fondaco’s symbolic role

Located just a step away from the Rialto Bridge, the Fondaco has been a landmark for years. Its rooftop terrace with views of the Grand Canal was one of the most photographed and loved spots in the city.

DFS Group: A crisis of vision

The DFS Group, based in Hong Kong, is part of the luxury giant LVMH which includes brands like Louis Vuitton and Loro Piana. Closing the Fondaco is part of a wider restructuring and shows the gravity of the luxury sector’s crisis.

All you need to know about Fondaco dei Tedeschi in Venice closed

The announcement that the Fondaco dei Tedeschi in Venice is closed has sent shockwaves through the city, ending an era that combined history, commerce and culture. This iconic building, near the Rialto Bridge, has a long history dating back to the Republic of Venice when it was a hub for German merchants and other foreign merchants trading goods.

Built in the 13th century, the Fondaco dei Tedeschi has been many things: a post office, a warehouse for merchants and most recently a luxury mall. After a major restoration led by the DFS Group, a LVMH company, it was opened as a luxury store in Venice in 2016, attracting tourists for the brands and the views of the Grand Canal.

But the global pandemic hit the travel retail sector hard and the DFS Group was struggling to make profits. The closure was announced in November. The lease ends in September 2025 and that will be the end of this investment. 226 employees will lose their jobs.

Historically the Fondaco dei Tedeschi has survived fires (like the one in the 1500s) and political upheavals (Napoleon’s occupation). It was rebuilt and redesigned many times, adapting to the city’s needs. But this closure, due to reduced tourism and changes in stores worldwide, is different – it’s a symptom of a broader economic crisis.

Recent articles about the closure talk about the loss of a big space for the city and its visitors. Tourists will no longer be able to enjoy its rooftop terrace, which was a must see. The building that was part of Venetian tradition will now wait for its next chapter, but for now we don’t know what that will be.

As the year ends the closure of this iconic Venice store is a reminder of how history, commerce and culture are intertwined – and even the most enduring landmarks have to adapt to the times.

Who owns the Fondaco dei Tedeschi?

The building is owned by the Benetton Group which leased it to DFS in 2016. Benetton, famous for its architecture and Italian culture, will now have to decide what to do with this Venetian treasure.

Why is it called the Fondaco dei Tedeschi?

The name of the building dates back to the time of the Maritime Republics when Venice was a global hub. The "Fondaco" (from the Arabic funduq, warehouse) was where the German merchants stored their goods before distribution.

This historical connection to trade and commerce has made the Fondaco a special place and it has been at the heart of Venice’s economic life for centuries.

Conclusion: A piece of Venice says goodbye

Emotional, bittersweet, inevitable: the Fondaco dei Tedeschi is closing its doors. A place that was history and modernity, luxury and culture is saying goodbye and leaving behind questions about the building and the city.

Anyway the Fondaco’s story doesn’t end here. Whatever will be its next chapter the building will remain a symbol of Venice’s ability to adapt.

As you look out over the Grand Canal where the German merchants used to unload their goods, be inspired by this timeless place. Because Venice, with its eternal magic, always has a surprise.