End of a toy era

It's any kid's dream destination, but New York's legendary toy store FAO Schwarz opened its doors for the very last time on Wednesday. And it's the little ones in particular who will miss it dearly.

"It's so sad, it's such an awesome store," one group of children complains outside the shop. "It has jumbo-size candy and jumbo-size stuffed animals! We're really sad it's closing today."

It also has a huge piano, which starred in the film "Big" with Tom Hanks in the late 1980s. A few years later, the store featured in "Home Alone 2: Lost in New York."

"It just creates a lot of good memories," one girl from Arizona said. "When you're older you can look back and remember the good old toy store, the old-fashioned one with all those fun toys."

"I had to just jump in the car and come," said FAO fan Dawn, who drove 300 kilometers (180 miles) to see the store one more time before it shut. "My childhood playground is going, and I'm really depressed."

Toy sales seasonal

For over a century, 6,000 square meters (65,000 square feet) in the heart of Manhattan offered everything from a tiny Barbie doll to a gigantic stuffed toy hippo. Roaming its aisles was a dream come true for every kid, local or tourist.

Like the Empire State Building and the Statue of Liberty, FAO Schwarz was on many visitors' sightseeing itinerary.

"It's tough running a toy store, which is mainly seasonal business and to be profitable in New York, where you have ridiculously high lease payments to make," Jim Silver, who works for an online magazine specializing in the toy industry, told DW.

The average price for an apartment in Manhattan has just smashed another record, it now stands at $1.87 million (1.7 million euros). In the last three years alone, the average price has increased by 10 percent.

With its prime location near Central Park, FAO Schwarz is believed to pay an annual rent of around $15 million. But the average price for a similar property in that area is normally much higher still.

The store has also had to grapple with online competition from the likes of Amazon. But Silver does not believe that that was FAO Schwarz's main problem.

"FAO is really more of an upscale, unique type of shopping experience which you can't get online," he told DW. He believes the digital age has had a bigger impact on other retailers.

Founder was a German immigrant

In 1863, German immigrant Friederich August Otto Schwarz opened his first toy shop in Baltimore, which he later reopened in New York. More branches followed in the decades to come with varying ownership. The flagship store on 5th Avenue opened its doors in 1870.

Six years ago, US toy giant Toys 'R' Us bought the stores and the rights to the brand name. But Toys 'R' Us, too, is struggling with debt and lower sales.

"The other concern is Hamleys, which is coming over to the United States," Silver explained. "It's a huge toy store over in England, very successful. It's similar in that it's all about hands on, a lot of demonstrations, you get to try out toys."

"If FAO is going to open as a separate entity, they're going to have to step up their game," Silver added.

Whether or where there is a future for FAO is unclear. There has been speculation that there it may reopen near Times Square next year, in time for Christmas trading. But that is precisely where owner Toys 'R' Us is closing down a major branch.

So, the most important question for FAO Schwarz fan Dawn remains unanswered for now.

"Who will be playing the big piano?"