In spring 1979, it was announced that the downtown Steinbach would close after a liquidation sale, with the store's closing on July 14, 1979. The public entrances were padlocked, and the remaining display windows were boarded up. Steinbach continued to use the building as a base for its maintenance staff for a few years, before abandoning the building entirely. In the late 1980s, an arson fire nearly destroyed the entire building, but did result in the removal of the clock tower and fifth floor.