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Storecasting: A Nordstrom Rack for Union Square?

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Nordstrom's on-again-off-again flirtation with the Virgin Megastore space on Union Square seems to be heating up. According to today's WWD, the department store wants to place their discount offshoot, Rack, in the lower level, with an entrance on the street. Nordstrom had its eye on the location last fall, but they eventually dropped out, causing the building's landlords to drop the asking rent in March. Representatives from both the store and the property's owners told WWD that nothing has been signed yet, but it sounds like they're close to reaching a deal. If it comes to fruition, the already-hurting Filene's Basement is pretty much doomed.
· Nordstrom Eyes Manhattan Rack Unit [WWD, subscription req'd]
· Ditching a Virgin [Curbed]