American Apparel, a sweatshop free, brand-free clothing store with locations in Los Angeles and New York as well as six other countries, will move into the space at 37th and Walnut streets previously occupied by Smith Bros.
Smith Bros. moved out of the location yesterday.
It is still unknown when American Apparel will move into the space.
University officials have a letter of intent from American Apparel expressing a desire to operate on Penn's campus and are in the final stages of lease negotiations.
Neither Smith Bros. or American Apparel officials could be reached for comment.
"When we were given the opportunity to bring in a new business to University Square, we looked towards this company, American Apparel," Facilities and Real Estate Services spokesman Tony Sorrentino said, "and they fit the bill."
"It'll be bringing nice apparel at an affordable price for men and women," he added.
Smith Bros. notified the University within the last few weeks that it was planning to move from University Square. Before Smith Bros. moved in, Ma Jolie, a women's boutique, operated in the location.
Sorrentino said that officials "are always in a constant state of research as to what [they] think will bring a good amenity to Penn's campus."
"Some of the results of our research ... have told us that there could be a successful business on campus that sells both men's and women's apparel and fashion," Sorrentino said.
He added that when conducting research, University officials keep the interests of students, staff, faculty and residents in mind. "We're trying to meet the needs of a very diverse group of shoppers, so we're always trying to look for products that the majority of people can afford."
College freshman Kyle Beltran is familiar with American Apparel and is excited that it is coming to campus.
"I think it's sort of cool and funky and casual," Beltran said. "I like the style."
"It's nice to have stores so close to campus that you can shop in and not have to go way far into Philadelphia," he added.
Beltran said that the only places on campus for men to shop now are Urban Outfitters and the Gap.
"It'd be cool to have another store," he said.
Though Smith Bros. was popular with a number of students, many found it out of their price range.
"I really liked it," College sophomore Katie Taylor said. "It was a little expensive, though. I probably spent more money than I should have."
Although Taylor had never heard of American Apparel, she plans to check out the store when it opens.
"I'd definitely go look there," she said. "I'd have to see what their clothes look like. ... It might be good."
College freshman Ali Sher had also never heard of American Apparel either, but was interested in seeing what kind of clothes it sells.
She shopped at Smith Bros. on occasion.
"I liked it a lot, I just didn't go there normally by myself," Sher said.
