The new year could be another difficult one for traditional retailers. After shutting down more than 5,000 stores in 2017, we're already getting word of closings for 2018.
In early January, department stores Macy’s, Sears and Kmart came out with plans to close additional locations.
2018 retail closings: What you need to know
If you happen to receive a gift card for any of the retailers on this list, money expert Clark Howard wants you to spend it right away in case your local store is on the chopping block.
“If you have any gift cards for major retailers, I want you to go and shop. I want you to use them up,” Clark said.
The following list of major retailers closing stores in 2018 is only expected to grow as the year goes on. Here’s where things stand right now:
Macy’s – 11 stores
Nearly a dozen Macy's department stores will soon be closing their doors forever.
Macy’s intends to close an additional 19 stores as leases or operating covenants expire or sale transactions are completed.
The following Macy’s stores will be closing in early 2018. In most cases, clearance sales will begin on January 8, 2018, and run for approximately 8 to 12 weeks.
- Laguna Hills Mall, Laguna Hills, CA
- Westside Pavilion, Los Angeles, CA
- Novato (Furniture), Novato, CA
- Stonestown Galleria, San Francisco, CA
- The Oaks, Gainesville, FL
- Miami (Downtown), Miami, FL
- Magic Valley Mall, Twin Falls, ID
- Honey Creek Mall, Terre Haute, IN
- Birchwood Mall, Fort Gratiot Township, MI
- Fountain Place, Cincinnati, OH
- Burlington Town Center, Burlington, VT
Sears and Kmart – 103 stores
Just days after the holiday shopping season ended, Sears Holdings announced that it's closing more than 100 stores.
In a news release, the struggling retailer said it told associates at 64 Kmart and 39 Sears stores that the locations will be shut down between early March and early April 2018.
Liquidation sales will begin as early as January 12 at the impacted department stores. See the full list here.
“Sears Holdings continues its strategic assessment of the productivity of our Kmart and Sears store base and will continue to right size our store footprint in number and size,” the company said in a statement. “In the process, as previously announced we will continue to close some unprofitable stores as we transform our business model so that our physical store footprint and our digital capabilities match the needs and preferences of our members.”
Sears Holdings previously announced plans to shut down 63 Kmart and Sears stores this January. The company closed more than 350 locations last year.
Bon-Ton – 40 stores
Bon-Ton Stores, a department store chain, is closing 40 underperforming locations in 2018. The retailer has 260 stores across the country.
No list of the affected stores was provided when company executives made the announcement in November.
J. Crew – 50 stores
In a news release, J.Crew said it expects to close 50 stores during fiscal 2017, which ends in January.
Gap and Banana Republic – 200 stores
Gap Inc. plans to close 200 Gap and Banana Republic locations over the next three years, the company announced in September 2017. No list of the stores was released, but they're all "underperforming."
At the same time, Gap Inc. will open 270 locations for its growing brands, Old Navy and Athleta.
Teavana – 379 stores
Many of the 379 Teavana stores, which are primarily mall-based, have been underperforming. Starbucks said it tried to improve sales through creative merchandising and new store designs, but it just wasn’t working.
Fortune reports that a court ruling has blocked Starbucks from closing Teavana locations at Simon-owned malls — at least for now.
Ascena Retail Group – At least 268 stores
Ascena Retail Group, the women's clothing retailer that operates the brands Ann Taylor, Loft, Dress Barn, Lane Bryant, Justice and several others, is planning to close hundreds of stores.
In June 2017, company executives announced that 667 stores are part of its fleet optimization program.
At least 268 of those stores will definitely be closed by July 2019. The remaining 399 stores will be shut down if rent concessions aren’t obtained through negotiations with landlords.
The company didn’t specify which locations will be closed.
Michael Kors – 100 to 125 stores
Michael Kors is closing between 100 and 125 of its retail stores over the next two years.
According to a May 2017 news release, the company is making the move to improve the profitability of its store fleet. No list of the affected stores was released.
More Clark.com retail coverage:
- 12 money-saving secrets to know about Ross Dress for Less
- 9 things to know before your first trip to Costco
- 12 money-saving secrets to know about T.J. Maxx and Marshalls