Diesel opened a new flagship store in LA this week, on Melrose Place. The 3,500 square foot shop reportedly cost the brand "seven figures" to outfit and decorate, reports today's WWD. The store, which is located across the street from Marc Jacobs, is out to project an image that's both luxury and hip. Butterscotch leather and polished wood set the high end tone in the shop, while exposed electrical work and a panel from an F-16 fighter jet, used to display jeans, give the store a quirky vibe. The store will house everything Diesel- from the top tier Denim Gallery stuff to its main collection, fashion show pieces, and a small grouping by the winner of its annual young designer contest.