Penneys says it's halting plans for a new store at the Dundrum Town Centre.
The retailer had planned to take over part of the units left vacant after the closure of House of Fraser.
But a Penneys spokesperson said all expenditure is being reviewed due to the COVID-19 pandemic.
They said the company's priority is to support people and the business.
Penneys, which trades as Primark outside Ireland, announced on March 18th that all its Irish shops were close due to the coronavirus pandemic.
Ireland's only House of Fraser department store is set to cease trading in May.
