When the store opens, the company’s presence could grab some market share away from the city’s existing high-end department stores, including competitors Bloomingdale’s, Saks, Macy’s, Barney’s, Bergdorf Goodman and Henri Bendel. Saks generates about 20 percent of its annual sales from its Fifth Avenue store.

The announcement also comes amid concern for some high-end retailers, shown by slides in the stocks of Tiffany and Lululemon . It also follows a downgrade of its stock by Citi analysts on Wednesday, along with the shares of Macy’s and Saks, to “Neutral” from “Buy,” citing concern about high-income consumer spending.

In the report, analysts said they expect consumer spending to slow, driven by a soft U.S. macro environment, weakness in Europe that has led to a drag in tourism in the U.S and declining consumer confidence .

“We believe that the slowdown is being led by high-income consumers, who account for approximately 50 percent of spending, own approximately 90 percent of U.S. equities, and are most impacted by stock market volatility,” Citi analysts said.

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