New York (CNN Business) In another sign of trouble for traditional retailers, iconic department store Lord & Taylor has been sold for $75 million to Le Tote, Inc., a fashion rental subscription service.

Lord & Taylor opened its first store in New York in 1826, making it the nation's first department store. It was once a mainstay of high-end fashion.

Hudson's Bay Company HBAYF , the owner of both Lord & Taylor and Saks Fifth Avenue, will get an equity position in Le Tote as part of the deal, in addition to the modest cash payment, according to a statement from the companies on Wednesday. It will also continue to own the real estate and leases associated with the remaining 38 Lord & Taylor stores.

But in a sign of the limited value that the chain now has, Canada-based Hudson's Bay has agreed to pay about $58 million in annual rent on the Lord & Taylor stores that are leased for "at least" the next three years.

During that time, Le Tote expects to keep the stores open and will continue to employ most of Lord & Taylor's staff. But starting in 2021, the two companies will have the option to "reassess" the store network, allowing Hudson's Bay to find other uses for the properties.