McDonald’s sues Milan over eviction from plush Galleria shopping mall
McDonald’s is suing the city of Milan for 24 million euros in damages and lost revenue after being kicked out of a tourist-packed shopping arcade after 20 years.
Prada will now replace the branch of the U.S. fastfood chain in the 19th-century marble-floored Galleria Vittorio Emanuele II in the Italian city.
“For stores like Prada or Gucci, to have a McDonald's across from them probably didn't play well into the prestige of the gallery," said Italian luxury adviser Salvo Spagna. "It probably struck a wrong chord with the elegant, salon-of-Milan image.”
Losing the spot in the Galleria, which links the city’s historic Duomo cathedral to La Scala Opera house and is close to the chic Montenapoleone shopping street, would cause a 6 million euro loss in missed annual sales, said Paolo Mereghetti, head of communication at McDonald’s in Italy.
“No jobs will be lost as a result,” he said.
In a show of affection, 1,500 people left messages on a Facebook page set up in early October to comment on the closure.