CHAPEL HILL – Dillard’s in University Mall will remain a clearance store in the “immediate future,” according to a representative from the company.

Julie Bull, Director of Investor Relations at Dillard’s, said that the store will remain in “full clearance mode” and that a timeline has not been set for any further changes. Bull said that 18 of the approximately 300 Dillard’s stores in the United States are clearance centers.

A source told WCHL News last Wednesday that Dillard’s was leaving University Mall and that negotiations were underway with a non-retail store to replace it.

A cashier of the store told WCHL’s Aaron Keck Thursday that Dillard’s is likely closing in a few months. She said she also had heard conflicting reports.

Currently Dillard’s is the only department store in Chapel Hill providing a sizable source of sales tax. It’s also one of the few places to buy clothing. Other stores include Roses and Julian’s, among others.

There was a proposal to relocate the Chapel Hill Public Library to the store’s location, until Town staff recalculated and found it would have been more costly than they originally thought.

UMall General Manager Peter De Leon said that he could not comment on the matter at this time, though last week he said the store would remain in the shopping center.

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