JCPenney is a major American department store chain, but now, in May 2025, the company is closing several locations across the country. Many consumers might be wondering if their local store is on the chopping block or not.
The closures are part of a broader industry trend, where many businesses are downscaling and withdrawing their reach. While the company has faced significant financial challenges in the past, including bankruptcy, the closures do not signal the end, but rather a restructuring effort to maximize the chances of success in a fiercely competitive market. The store closures include JCPenney’s fashion departments, which have been a longstanding part of the retailer’s identity.
JCPenney
JCPenney was founded in 1902 by James Cash Penny in Kemmerer, Wyoming, and was originally part of the Golden Rule dry goods stores. The company was incorporated as J.C. Penney Company in 1913 and quickly expanded, with 175 stores being operated across 22 different states just 4 years later.
The company quickly became a retail giant, making innovations like store credit cards in 1959. JCPenney has anchored shopping malls for decades, offering consumers a convenient place to shop for anything from home goods to fashion apparel and accessories. The downsizing reflects a broader trend in the fashion market where fast fashion brands and online retailers have captured a lot of the market.
Closing In Key Cities
The JCPenney store closures are going to stretch across the United States, affecting seven different locations in cities from California to West Virginia. The shutdown of these locations has implications for local staff who rely on jobs from the retailer.
Furthermore, routine shoppers who have grown accustomed to the convenience of a department store with so many options may now be left behind, feeling a void and either having to travel further to find a JCPenney’s or needing to seek an alternative. Major malls will even be affected, and they could see less foot traffic as essential department stores leave nothing but vacant shops.
Anchoring Malls
JCPenney has long stood as an anchor store in malls and shopping centers across the United States. The chain is an important department store that has offered consumers a convenient place to purchase fashion apparel, home goods, and more. Many shoppers see JCPenney as a familiar and reliable part of their retail experience, especially in suburban malls that thrived in the late 20th century.
The closure of these stores could mark the beginning of a cultural shift, as other well-beloved brands with history and heritage are having to downscale as well. The shopping experience has been shaped for generations by these stores, making it a go-to brand for many families. The closing of many stores could mark the end of an era for many malls in America.
What Drove JCPenney’s Closures
This downscaling is a natural part of many businesses that experience reduced profit margins. In JCPenney’s case, it could be driven by a number of factors, including expiring leases, competition from online giants like Amazon, which siphon off customers, and changing consumer trends, who are starting to favor more convenient options over traditional means of shopping.
The new generation lacks the nostalgia that previous generations did, and JCPenney could be nothing more than “another department store” to them. For those worried that this could signal the end, the company is only closing the weakest examples of the chain and would rather continue to support its flagship stores. This restructuring shows that stores need to adapt to the challenges of modern retail.
Seven Store Closures
JCPenney has announced that it will be permanently closing seven of its locations by May 25, 2025. The closures span a large goegraphic area, from the West Coast through the Mountain West, Midwest, Northeast, and Appalachia.
This includes many nostalgic locations that consumers have gone to for many years, such as The Shops at Tanforan in San Bruno, California, The Shops at Northfield in Denver, Colorado, and Charleston Town Center in West Virginia.
Full List Of Closures
The full list of closures is as follows: San Bruno, CA; Denver, CO; Pocatello, ID; Topeka, KS; Newington, NH; Asheville, NC; and Charleston, WV. These closures will affect numerous populations who have grown reliant on the department stores and will now be displaced at the end of May 2025.
The company doesn’t close these stores lightly, and it reflects a nationwide restructuring effort that JCPenney hopes will improve efficiency and profitability.
Bankruptcy
Many different retail franchises have been struggling in the modern market, and JCPenney is just one of many that have filed for Chapter 11 bankruptcy. The chain has been suffering due to declining mall traffic and online shopping becoming more and more popular.
The company reemerged after filing for bankruptcy under new ownership by mall operators Simon Property Group and Brookfield Properties. JCPenney also merged with SPARC Group to form Catalyst Brands. These efforts aim to revive the brand and revitalize its retail portfolio.
Challenges
JCPenney has faced tough competition from other retailers that have innovated into the digital space, offering consumers a more convenient way to shop. Newer mall brands have also captivated younger audiences, meaning that the company isn’t bringing in the new generation.
These trends are challenging many traditional department stores, and closures reflect a reinvestment into already successful locations rather than trying to break out into new markets.
A Rebound Is In The Works
Despite the several closing locations, JCPenney isn’t ready to throw in the towel and exit the market. Now it has support from Catalyst Brands and new leadership, which signals that new innovation is on the horizon. Customers should expect to see the stores that remain only become more appealing in the future.
Even if the road ahead might be uncertain, JCPenney is dedicated to making a turning point in its long history, which is a necessary step in its ongoing transformation to stay relevant and thrive in today’s fierce retail landscape.
Discover more DIY hacks and style inspo- Follow us to keep the glow-up coming to your feed!
Love content like this? Tap Follow at the top of the page to stay in the loop with the latest beauty trends, DIY tips, and style inspo. Don’t forget to share your thoughts in the comments — we love hearing from you!