Bed Bath & Beyond, once a mainstay of American home goods retail, is making headlines again—but this time, not for a triumphant return to every corner of the country. On August 20, 2025, Executive Chairman Marcus Lemonis announced that the company will not open or operate any new retail stores in California, despite a nationwide relaunch involving 300 new locations elsewhere. The decision, Lemonis insisted, wasn’t political. Instead, he called it a matter of “reality.”
“California has created one of the most overregulated, expensive, and risky environments for businesses in America,” Lemonis declared in a statement distributed through multiple outlets, including Business Wire and Newsweek. “It’s a system that makes it harder to employ people, harder to keep doors open, and harder to deliver value to customers.” He went on to cite higher taxes, fees, and wages, as well as “endless regulations that strangle growth.”
The move comes at a pivotal moment for Bed Bath & Beyond, which filed for bankruptcy in April 2023 after years of declining sales and mounting debt. The company’s woes were attributed to poor inventory management, slow adoption of online shopping trends, and an overreliance on coupon-driven sales, as detailed by Reuters. In June 2023, Overstock.com acquired Bed Bath & Beyond’s intellectual property for $21.5 million, relaunching the brand online by August of that year. By November, Overstock had rebranded itself as Beyond, Inc., setting the stage for the current resurgence.
Despite its bankruptcy and the closure of all physical stores, Bed Bath & Beyond is now plotting a comeback with a new strategy. Under Beyond, Inc. (NYSE:BYON), headquartered in Murray, Utah, the retailer owns or holds interests in several brands, including Overstock, buybuy BABY, and a portfolio of blockchain assets. The company has plans to open 300 new Bed Bath & Beyond Home stores nationwide over the next two years, with the first having opened in Nashville earlier this month. But California, the most populous state in the nation and often a bellwether for retail trends, is conspicuously absent from the list.
Why exclude California? Lemonis’s reasoning is blunt: “Even when the state announces a budget surplus, it’s built on the backs of ordinary citizens who are paying too much and businesses who are squeezed until they break.” He argued that the company’s responsibility is to its customers and shareholders, and that participating in what he described as an “unsustainable model” would undermine both.
Instead, Bed Bath & Beyond is doubling down on its digital presence for California customers. Lemonis explained, “We are investing in a California strategy that works: 24–48-hour delivery, and in many cases, same-day service.” Californians can still shop for their favorite products at BedBathandBeyond.com, but they won’t see a brick-and-mortar store return to their neighborhoods anytime soon. The company, he said, is “taking a stand because it’s time for common sense. Businesses deserve the chance to succeed. Employees deserve jobs that last. And customers deserve fair prices. California’s system delivers the opposite.”
The announcement sparked immediate and sharp reactions. California Governor Gavin Newsom’s press office responded on X (formerly Twitter) with a dismissive jab: “After their bankruptcy and closure of every store, like most Americans, we thought Bed, Bath & Beyond no longer existed. We wish them well in their efforts to become relevant again as they try to open a 2nd store.” The statement echoed a sentiment of skepticism about the brand’s ability to reclaim its former glory, especially after such a dramatic fall from grace.
Political commentators and figures quickly weighed in from all sides. Political scientist Norman Ornstein questioned the company’s credibility, asking on X, “Is this the same Bed Bath & Beyond that drove itself into bankruptcy?” Meanwhile, California Republican Rep. Jack Kimble used the moment to criticize state labor laws, writing, “And this is why California must change its labor laws. They drove Bed Bath and Beyond to close all their stores nationwide in 2023. I know, you’re my state but do better, California.” On the other hand, conservative social media accounts like LibsofTikTok cheered Lemonis’s decision, blaming California’s regulatory environment for the company’s struggles.
Lemonis, who is also known for his television work on CNBC’s “The Profit” and appearances on “Celebrity Apprentice,” pushed back against critics who accused him of not wanting to pay workers. In an interview with Brian Brenberg on FOX Business’s “The Big Money Show,” Lemonis said, “We don’t want the government telling us how to run our business. And to do business in California, quite frankly, for my shareholders and my customers, I don’t think we can deliver a good product and make a profit, which is the idea behind business.” He emphasized that his company already pays well and aims to pay more, but objects to what he sees as government overreach.
The company’s new approach to California is emblematic of a broader trend in retail: the shift to e-commerce and the reevaluation of physical store footprints. After acquiring Bed Bath & Beyond’s brand, Beyond, Inc. took an ownership stake in Kirkland’s Inc., a home decor chain with about 300 stores nationwide. Kirkland’s has since rebranded as The Brand House Collective and plans to convert approximately 75 stores to Bed Bath & Beyond Home locations through 2026, depending on the success of the Nashville pilot.
Just this week, Beyond announced it is changing its corporate name to Bed Bath & Beyond, Inc., and will begin trading under the ticker symbol BBBY on the New York Stock Exchange starting August 29, 2025. The move aims to leverage what Lemonis described as “the most valuable pieces of intellectual property that investors and consumers know today.” The company’s stated goal is to grow the Bed Bath & Beyond brand, rebuild Overstock.com “back to a billion-dollar nameplate,” and maximize value within its blockchain assets, including tZERO and GrainChain.
While Bed Bath & Beyond’s decision not to return to California brick-and-mortar retail has drawn both ire and applause, it is also a sign of the times. The company’s pivot to online sales for the state’s massive consumer base, while relaunching stores elsewhere, is a calculated gamble that reflects the shifting realities of American retail and the complex business climate in California.
As the dust settles, one thing is clear: Bed Bath & Beyond’s fate will be shaped as much by the regulatory and economic environment as by its ability to adapt and innovate. For now, California shoppers will have to settle for doorstep deliveries—and perhaps a front-row seat to one of the retail sector’s most closely watched comebacks.
