JCPenney announces nationwide store closures this May

JCPenney will close seven stores across the United States by May 25, according to USA Today, which first reported the closures initially announced in February. The retail chain, which has faced significant challenges in recent years, is shuttering locations in California, Colorado, Idaho, Kansas, New Hampshire, North Carolina, and West Virginia. These closures follow more than 200 U.S. locations that were shut down when JCPenney filed for Chapter 11 bankruptcy protection in May 2020.

After the bankruptcy filing, the company was acquired by Simon Property Group and Brookfield Asset Management Inc. in December 2020, helping the retailer stay afloat. Earlier this year, JCPenney announced a partnership with Forever 21 to create a new company called Catalyst Brands. As USA Today explains, this merger also includes several other well-known brands such as Brooks Brothers, Aéropostale, Lucky Brand, Nautica, and Eddie Bauer. Despite these significant business changes, a JCPenney spokesperson has clarified that the current store closures are not related to the Catalyst Brand merger, which was expected to expand with 1,800 store locations and 60,000 new employees.

The seven JCPenney stores set to close this weekend are located in shopping centers across the country, as Men's Journal details in their coverage of this retail development. These include 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; and Charleston Town Center in Charleston, West Virginia. While specific reasons for each closure weren't provided, a JCPenney spokesperson suggested to Men's Journal that individual store closures may happen due to "expiring lease agreements, market changes, or other factors." There was also a planned closure at the Westfield Annapolis Mall in Maryland that was previously announced.

However, through a recently extended lease agreement, this particular location will now remain open until August 31, showing that some locations can be saved through new negotiations. This information from Men's Journal highlights how traditional brick-and-mortar retail continues to face challenges as more consumers choose to shop online rather than visit physical department stores.

The struggle of mall anchor stores like JCPenney reflects broader changes in the retail landscape, as The Street points out in their analysis of the situation. These large department stores, typically located in strategic corners of shopping malls with direct access to parking areas, once benefited from their position by capturing customers entering the mall. The Street notes that this business model worked well during the shopping mall boom of the 1980s and 1990s, when simply securing a good location with well-stocked shelves was often enough to ensure success. However, times have changed dramatically for these retail giants. Even with strong sales at remaining locations, the significant reduction in store count inevitably impacts overall profits, according to The Street's reporting.

Sources:

https://www.usatoday.com/story/money/2025/05/20/jcpenney-store-closing-locations/83723262007/

https://www.mensjournal.com/news/beloved-retail-giant-closing-7-stores-before-memorial-day

https://www.thestreet.com/retail/after-bankruptcy-mall-anchor-begins-going-out-of-business-sales