David Jones will review its Wollongong operations next year when the lease expires on its CBD homewares store.
A spokesman said there were no plans to close the department store in Crown Street Mall but consideration may be given to moving the homewares section on the northern side of the mall into the main store.
The lease on the smaller site is set to expire in October 2015.
"It will be a matter of negotiating the lease with the landlord closer to the time," he said.
"It will depend on the commercial returns. We haven't made any decisions. We will make an announcement closer to the time."
The leases on David Jones stores at Sydney's Birkenhead Point and Harbour Town in Queensland are due to expire before the Wollongong lease.
The future of those outlets would be considered first.
There are six stores with leases up for review in the next four years which are, the company said, in "less robust demographics".
The others are at West Lakes in South Australia, Glen Waverley in Victoria and Macarthur Square in Campbelltown.