Virgin Megastore to close in L.A.

New York outlet likely to follow

By PHIL GALLO

The Virgin Megastore in West Hollywood will be closing early next year and its highly likely the Gotham outlet will follow.

Rent increases are being given as the key reason the CD-DVD-book outlets are about to pack it in. The L.A. store is likely to shutter at the end of January; New York's Union Square Megastore will follow a year later.

The Union Square space, at ground level in a mixed-use residential tower, is being offered for Feb. 1, 2009 occupancy.

After the two outlets close, Virgin Megastores will still be operating in Hollywood and Times Square.