A MAJOR retailer is preparing to close 66 stores in 2025.
The shutterings are part of the company’s “Bold New Chapter” restructuring strategy.
2
2
Macy’s plans to shutter 66 underperforming stores by the end of 2026, as the retail chain struggles to adapt to shifting consumer behavior and reduced foot traffic.
The impacted stores span 22 states, with key closures already confirmed in Arlington, Virginia, and San Leandro, California.
In New York, five stores – including Fordham Place, Queens Place, Sheepshead Bay, Sunrise Mall, and Staten Island Furniture – are among those slated to shut down.
A longtime Macy’s store in Brooklyn recently closed after 30 years in business.
READ MORE ON STORE CLOSURES
The company began its downsizing effort in early 2024 and initially targeted 50 locations for closure this spring.
That figure later increased to 55, then 65, and most recently to 66, according to Axios.
Macy’s has cited underperformance and real estate value as leading factors in determining which locations to shutter.
Most affected stores are located in legacy malls that have struggled to maintain profits as consumer shopping habits shift online or to off-mall retail centers.
All 66 locations will hold closing down sales, marking the end of operations while offering discounts to clear remaining inventory.
Despite the widespread closures, Macy’s is reinvesting heavily in formats it believes have stronger long-term potential.
The company plans to open 30 smaller-format Macy’s stores, 15 Bloomingdale’s locations, and 30 new Bluemercury beauty shops by the end of 2026.
Macy’s will also renovate approximately 350 existing stores with a focus on product curation, enhanced design, and integration with online platforms.
These upgrades will be funded in part by $600 million to $700 million in capital made available through the store closures.
“This transformation is about aligning our assets with where customers are shopping and how they want to shop,” said Macy’s CEO Tony Spring.
“So the fact that we are closing more stores this year is a reflection of the fact that our assets have value and that even in this less stable market, we are transacting.”
Spring also emphasized the company’s renewed focus on customer experience, saying during January’s National Retail Federation Big Show.
“The customer shopping experience can and should be better,” he said.
The move comes as Macy’s reported a 2.4% year-over-year revenue decline in its most recent fiscal quarter, totaling approximately $4.7 billion.
Digital sales remain steady, but the company’s physical locations continue to struggle with profitability.
Through this sweeping overhaul, Macy’s hopes to streamline operations, modernize its store portfolio, and regain momentum in a rapidly evolving retail landscape.