Forever 21 to close its only Irish storeImage via Instagram

American retailer Forever 21 will shutter its flagship Dublin store this month.

Mounting debts and major losses of over €44m ($52m) have been cited for the reason to close the three storey Jervis Street outpost.

The 70,000sq foot location opened its doors in 2010, signing a 20-year lease in the shopping center located on Henry Street on the north side of Dublin city.

The arrival of the global outfitter, which has 500 stores worldwide, signaled a vote in confidence for the Irish retail scene.

However, Irish mecca Penneys soon followed suit with an innovative store offering clothing at even more competitive prices, located across the street. Increased competition with the arrival of European brands like Zara, Mango, Stradivarius, and Bershka at the same shopping destination may have further affected the retail power of Forever 21.

Accounts filed with the Companies Registration Office show that the LA-based retailer made pre-tax losses of €15.6m ($18.5m) in 2016, including costs of €11m ($13m) relating to the planned closure, such as redundancy and lease termination.

The fashion company also lost €8.4m ($10m) in 2015, reducing their staff as a result. Staff were informed of the proposed shuttering pre-Christmas, although a definite closure was not confirmed.

According to Mandate Trade Union, workers will receive only minimal compensation."It appears the company will only be imposing the minimum statutory redundancy of two weeks per year of service,” Mandate stated.

Judging by social media, its loyal shoppers are not happy about the news.