CLEVELAND (WJW) – It was another tough year for restaurants and traditional brick-and-mortar retailers. Several national chains announced closures and bankruptcies in 2024 – not to mention the local small businesses that quietly shuttered around the country.
Stores ranging from Advance Auto Parts, to JOANN Inc., have announced closures as well as restaurants, including Red Lobster and Wendy's.
Retail closures were up 69% in 2024 when compared to last year, according to Coresight data reviewed by Newsweek.
Advance Auto Parts
Advance Auto Parts, which has more than 4,700 stores across nearly every state, announced its decision to close more than 700 locations as part of “a strategic plan to improve business performance."
The company’s footprint is expected to be cut by 523 Advance Auto Parts corporate stores, 204 independent locations and four distribution centers.
American Freight
According to documents filed in the U.S. Bankruptcy Court in Delaware, American Freight will close all locations following a move by its parent company, Franchise Group, to file bankruptcy protection. The furniture and appliance chain announced closing sales were expected to start in November.
Big Lots
Big Lots filed for Chapter 11 bankruptcy protection in September. After announcing store closings in batches, the retailer confirmed earlier this month that it was preparing to close all locations.
After a plan to sell to a private equity firm failed, president and CEO Bruce Thorn said in an email sent to employees that the forthcoming store closures could “be reversed if we successfully complete a sale.”
Buybuy Baby
Buybuy Baby is going bye-bye – if you want to shop in person. The company announced plans to close all of its stores nationwide over the next few months.
In a statement released in October, the retailer said it would strengthen its online shopping experience as it moves to an online-only business model. Closing sales are underway at remaining stores and online.
CVS
The pharmacy giant was the retailer that closed the second-most stores in 2024, according to Coresight.
The closures follow a growing trend in the industry. A recent study published in Health Affairs found that more than 29% of the nearly 89,000 retail U.S. pharmacies that operated between 2010 and 2020 had closed by 2021. That amounts to more than 26,000 stores.
Drugstores have been dealing with shrinking reimbursement for prescriptions, rising costs and changing customer shopping habits. The chains have been closing money-losing stores and transferring prescription files to more profitable locations.
Denny's
Denny’s said it’s closing 150 of its lowest-performing restaurants in an effort to turn around the brand’s flagging sales.
About half of the closures will happen this year and the rest in 2025, the company said.
Family Dollar
Earlier this year, the parent company of Family Dollar announced plans to close nearly 1,000 locations around the country.
Most of the impacted locations were Family Dollar stores, but dozens of Dollar Tree locations were impacted, as well.
JOANN Inc.
The fabric and craft company announced in March that it entered into a Transaction Support Agreement with a majority of its financial stakeholders and additional industry financing parties to strengthen the Company’s financial position.
JOANN Inc. has more than 800 stores across the United States.
Party City
The CEO of Party City told employees this month the company was preparing to go out of business following years of financial trouble. Party City quickly initiated closeout sales at all stores.
Red Lobster
After filing for Chapter 11 in May, Red Lobster announced more than 100 restaurants would be closing nationwide. The process was expected to bring the total number of Red Lobster restaurants to around 500 in the U.S. – down from about 700.
Rue21
Clothing retailer Rue21 announced in May it would be closing all 540 stores. The apparel company had filed for bankruptcy protection three times since 2002.
TGI Fridays
TGI Fridays has closed nearly 50 stores in the U.S.
TGI Fridays had 270 locations nationwide at the start of the year, according to CNN. In January, it closed 36 “underperforming” locations throughout the U.S. in order to “focus on streamlining operations.”
True Value
True Value, a well-known home improvement company, entered into a sale agreement with Do It Best in October after filing for Chapter 11 bankruptcy.
All stores will remain open, with business remaining unaffected since the stores, except for one company-owned store in Palatine, Illinois, are independently owned and not directly a part of the Chapter 11 filing.
True Value has an international network of over 4,500 independently owned and operated stores.
Walgreens
Walgreens plans to close about 1,200 locations over the next three years as the drugstore chain seeks to turn around its struggling U.S. business.
The company said in October that about 500 store closures will come in the current fiscal year. Walgreens operates about 8,500 stores in the United States and a few thousand overseas. All of the stores that will be closed are in the United States.
Wendy's
One of the country's largest fast-food chains is planning to shut down 140 locations by the end of the year. Wendy’s president and CEO Kirk Tanner recently said he has decided to close 140 “underperforming” and “outdated” eateries.
The chain, known for hamburgers and Frostys, still has a pretty large footprint with more than 6,000 locations across the country.
The Associated Press and Nexstar's Addy Bink and Michael Bartiromo contributed to this report.
