Under Armour has confirmed reports that it will close its flagship Portland, OR office, which was initially opened to support its push into footwear, which is expected to shift some operations and jobs to UA’s headquarters in Baltimore, MD, and its New York office.
Under Armour said it will lease a “much smaller” Portland office in a new location by the end of 2026, but it has not yet signed a lease.
In a conversation with SGB Executive, active lifestyle industry consultant and advisor Matt Powell stressed that Portland, OR has been the “epicenter” of sneaker development for years. “Brands find it tough to acquire [footwear] talent in other cities,” Powell stated. “UA will need [that] presence in Portland to stay relevant in athletic footwear.” He said brands need “a great product to stay relevant today.”
UA said in a media statement that it is making a strategic shift to strengthen key functions in Baltimore and expand our presence in New York by relocating some roles from the West Coast. This will help us move faster, collaborate more closely, and better align our teams around serving athletes and building the brand. We will continue to invest in our footwear design and development operations in Portland, which remain central to our innovation pipeline and future growth.”
The move was reported to be partly tied to the opening of the company’s new campus around 18 months ago. Under Armour initially opened a smaller office in Portland in 2013 before opening its 70,000-square-foot office in the city in 2017 in a former YMCA next to Duniway Park south of the city’s downtown area. The company attempted to tap into Portland’s footwear design ecosystem anchored by Nike and Adidas. That talent was not moving to Baltimore, MD.
The facility initially housed around 100 people and now employs approximately 60.
The move comes as Under Armour continues to undergo a lengthy restructuring that has seen the brand report eight consecutive quarters of year-over-year sales declines. In its fiscal year ended March 31, sales were down 4 percent to $5.0 billion, led by an 8 percent tumble in North America. Under Armour at the time also reduced its financial outlook, issuing full-year guidance that came in significantly below Wall Street expectations.
Footwear has been the brand’s weakest category, with sales down 11 percent last year. Under Armour last November also announced it was ending its 12-year partnership with its top footwear endorser, Stephen Curry, after sales shortfalls. Earlier this month, Curry announced a new deal with China-based Li Ning to relaunch the Curry brand globally.
Image courtesy Under Armour
