[3] The brothers moved to Allentown that year, and leased space in what was then the Grand Central Hotel at 3rd and Hamilton streets.

Hess bought a significant amount of advertising space in the local Allentown newspapers to market the store.

The restaurant lost close to $20,000 a year, but it was a success in achieving its primary purpose of retaining customers with the store.

[4] Hess also cultivated strong relations with store employees, inviting them to regular company barbecues at his country house on Bausch Road in Lowhill Township, outside Allentown, until World War II made travel too difficult for his workers.

[8] With offices in London, Paris, and Rome, Hess Brothers Department Store was always at the forefront in selling the latest fashions.

Giant toy soldiers were used as Christmas decorations, and "Pip the Mouse" appeared in a puppet show at the flagship store.

In 1968, Hess contacted Philip Berman, who operated a local trucking business for many years with his brother, and offered to sell the store.

[3] Additional stores were established in Lancaster and Easton in 1971, in Bethlehem in 1973, two in suburban Allentown shopping centers in 1974, and others in eastern and central Pennsylvania by 1979.

[7] In October 1979, Crown American, a developer and owner of hotels and shopping malls, purchased the Hess's chain, which then included 17 large stores, as a wholly owned subsidiary.

In 1985, it opened new Hess's stores in State College, Johnstown, and acquired Rices Nachmans in Virginia Beach.

[10] In September 1987, Hess's agreed to acquire Snyder's, Inc., a privately held Louisville, Kentucky-based department store,[11] and five L. S. Ayres stores in Kentucky that Snyder's had agreed to buy[12] L. S. Ayres acquired them from Stewart Dry Goods and Pogue's a few years earlier.

In November 1987, Hess's announced that it would phase out the Millers and Snyder's names in favor of its own moniker in February 1988.

[14] A number of cost-cutting measures were made following the transfer of the chain to Crown American, including abandoning most of Hess's flower and fashion shows and celebrity appearances.

[citation needed] In the early 1990s, Hess's suffered as retail competition increased and the Allentown region was impacted by a national recession.

He was involved in a series of disputes with the City of Allentown with regards to non-payment of taxes, and the properties he owned being permitted to deterioriate to states of disrepair.

[19] Allentown Mayor William L. Heydt began a campaign for the city to purchase the property and redevelop the building.

[19] With the purchase by the city, however, a survey of the property revealed that the 9th and Hamilton Street building was in relatively poor condition and considered unsuitable for any other use.

During this time, a series of redevelopment options, including the building of PPL Center, a 10,000 capacity indoor arena that hosts the Lehigh Valley Phantoms and various entertainment events and concerts, was reviewed by the city.