JCPenney, the well-known American department store chain, is set to close seven stores across the country by May 25, 2025, as it grapples with ongoing financial challenges. The closures are part of a broader trend affecting many retailers, with JCPenney following in the footsteps of other major chains like Macy’s and Kohl’s, which have also announced store closures this year.
According to reports from USA TODAY, the stores slated for closure include locations in California, Colorado, Idaho, Kansas, New Hampshire, North Carolina, and West Virginia. Specifically, the affected stores are:
- The Shops at Tanforan in San Bruno, California
- The Shops At Northfield in Denver, Colorado
- Pine Ridge Mall in Pocatello, Idaho
- West Ridge Mall in Topeka, Kansas
- Fox Run Mall in Newington, New Hampshire
- Asheville Mall in Asheville, North Carolina
- Charleston Town Center in Charleston, West Virginia
In addition to these closures, an eighth store located in Annapolis, Maryland, will remain open until at least August 31, 2025, due to a lease extension agreement, despite originally being scheduled to close by the end of May.
The decision to close these locations is not taken lightly, as JCPenney has stated that such actions are influenced by various factors, including "expiring lease agreements, market changes, or other factors," according to a company spokesperson. This announcement comes on the heels of JCPenney’s history of financial struggles, having filed for Chapter 11 bankruptcy protection in May 2020. At that time, the company closed around 200 stores nationwide.
JCPenney’s acquisition by Simon Property Group and Brookfield Asset Management Inc. later that same year aimed to stabilize the company, but it has continued to face significant challenges in the retail landscape. In January 2025, JCPenney announced a merger with Forever 21’s parent company, Sparc Group, to create a new entity called Catalyst Brands. This merger is expected to include exclusive private brands such as Stafford, Arizona, and Liz Claiborne, and aims to revitalize the company with a projected revenue of over $9 billion and a workforce of 60,000 employees.
As part of this restructuring, JCPenney has also scaled back its hiring goals and is currently optimizing its corporate structure, resulting in a 9% cut of its corporate workforce. Despite these efforts, the retail chain is not immune to the broader economic challenges facing brick-and-mortar stores, with experts predicting that approximately 45,000 physical retail locations could close in the next five years.
Shoppers in the affected states are already experiencing the impact of these closures, with significant discounts being offered across the board as the company attempts to clear out inventory. Reports indicate that prices on items are being slashed by up to 70% in anticipation of the store closures.
While JCPenney is facing significant hurdles, it is not the only retailer in distress. Other chains, including Joann Fabrics and Big Lots, have also announced substantial store closures this year. For instance, Joann Fabrics is set to close all 850 of its locations, while Big Lots plans to close around 600 stores, although about 200 will continue under new ownership.
In Ohio, JCPenney operates 25 stores, and while none are currently scheduled for closure, the overall trend of reduced physical retail presence is evident. The company’s ongoing struggle to adapt to changing consumer habits, particularly the shift toward online shopping, has put immense pressure on its operations.
As the retail landscape continues to shift, consumers are encouraged to explore alternative shopping options. Retailers such as Nordstrom, Dillard’s, and Kohl’s offer similar products and could serve as viable alternatives for those losing their local JCPenney stores. Additionally, local specialty stores and boutiques may provide unique shopping experiences that cater to individual tastes.
While the news of JCPenney’s closures is disappointing for many loyal customers, it serves as a reminder of the evolving retail environment and the importance of adaptability in the face of economic challenges. As the company navigates these turbulent waters, the future remains uncertain, but the commitment to providing quality products and customer service will remain at the forefront of its mission.
In summary, JCPenney’s decision to close several stores by May 25, 2025, highlights the ongoing struggles faced by traditional retailers in a rapidly changing market. With the company having previously filed for bankruptcy and now merging with other brands to create Catalyst Brands, the coming months will be crucial in determining JCPenney’s path forward.
