When a retailer has filed for Chapter 11 bankruptcy but intends to close some stores while keeping other open, it creates a challenging operating environment. It's important, at least at the locations that aren't closing, to look like nothing is wrong.
Nobody will place an order and put down a deposit on a piece of furniture or some other expensive item if they don't believe the store will actually make that delivery. At normal price, consumers won't risk having their orders sitting in warehouses because they paid for delivery, but the company did not pay the delivery bill.
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That's dual existence is happening right now with At Home. The retailer has filed for Chapter 11 bankruptcy, but it does plan to close 29 of its 229 stores across 39 U.S. states as part of the bankruptcy process.
In stores that are not closing, and on the company's website, there's no mention that anything might be wrong. The chain greets people with an upbeat message that does not mention that a wrong turn in the Chapter 11 bankruptcy proceedings could force a broader, or even a complete, shutdown,
For over 46 years, At Home has been a trusted destination for stylish, approachable design — offering everything a decorator may need to transform their space into a true reflection of who they are, how they want to live, and the memories they aim to create at home. Discover everything for every room, from Furniture, Rugs and Décor to Bedding, Bath, Outdoor and more. Explore curated collections, incredible seasonal selections and unique pieces that show off your signature style. Design your life At Home.
For the 29 locations slated to close, however, the message is very different.
“All sales are final.” “No returns accepted,” and other similar language fills those locations.
At Home closing roughly 10% of its stores
After filing for Chapter 11 bankruptcy on June 16, At Home will close 29 “underperforming” stores by Sept. 30. Some may close sooner if they run out of merchandise.
All fixtures are being sold as well.
At Home has taken significant steps to survive its Chapter 11 bankruptcy.
The company has entered into a Restructuring Support Agreement (RSA) with lenders holding more than 95% of the Company’s debt that sets forth terms of a prearranged financial restructuring that will eliminate substantially all of the company’s nearly $2 billion in funded debt and provide a capital infusion of $200 million to support the Company through its restructuring process and beyond.
New CEO Brad Weston shared some of the steps the company has already taken.
“Over the past several months, we’ve taken deliberate steps to strengthen the foundation of our business – sharpening our focus, elevating our customer value proposition, and driving operational discipline. These efforts are aimed at delivering sustained sales growth, optimizing our inventory management, improving efficiency, and enhancing overall profitability,” he shared. in a press release.
Closing stores is an unfortunate, but necessary part of that project.
These are the 29 closing At Home locations:
- 6135 Junction Boulevard in Rego Park, New York
- 300 Baychester Ave. in Bronx, New York
- 750 Newhall Drive in San Jose, California
- 2505 El Camino Real in Tustin, California
- 14585 Biscayne Boulevard in North Miami, Florida
- 2200 Harbor Boulevard in Costa Mesa, California
- 3795 E. Foothills Boulevard in Pasadena, California
- 1982 E. 20th St. in Chico, California
- 2820 Highway 63 South in Rochester, Minnesota
- 26532 Towne Center Drive Suites A-B in Foothill Ranch, California
- 1001 E. Sunset Drive in Bellingham, Washington
- 8320 Delta Shores Circle South in Sacramento, California
- 1361 NJ-35 in Middletown Township, New Jersey
- 2900 N. Bellflower Boulevard in Long Beach, California
- 720 Clairton Boulevard in Pittsburgh, Pennsylvania
- 2530 Rudkin Road in Yakima, Washington
- 571 Boston Turnpike in Shrewsbury, Massachusetts
- 5203 W. War Memorial Drive in Peoria, Illinois
- 8300 Sudley Road in Manassas, Virginia
- 461 Route 10 East in Ledgewood, New Jersey
- 301 Nassau Park Boulevard in Princeton, New Jersey
- 300 Providence Highway in Dedham, Massachusetts
- 905 S 24th St. West in Billings, Montana
- 19460 Compass Creek Parkway in Leesburg, Virginia
- 3201 N. Mayfair Road in Wauwatosa, Wisconsin
- 13180 S. Cicero Ave. in Crestwood, Illinois
- 5101 Fashion Drive in Nanuet New York
- 2100 S. Randall Road in Geneva, Illinois
- 2201 Zeier Road in Madison, Wisconsin
Source: Court filing
Macroeconomic issues, including a rapid and dramatic rise in interest rates, persistent inflation, and concerns over unsustainable customs costs resulting from increased tariffs all placed significant pressure on the debtors’ revenue and cost structure.Retailers specifically contend with reduced foot traffic in stores, heightened competition from comparable and off-price retailers offering substantial discounts, and a disparity between inventory and customer demand, were the reasons for the closures At Home cited in a court filing.
Fewer homes are being bought
High interest rates have led to a slowdown in home purchases.
“For the first time in years, home prices are failing to keep pace with broader inflation,” Nicholas Godec, head of fixed-income tradables and commodities at S&P Dow Jones Indices, said in a statement to Marketwatch .
Even though housing prices are flat or down, demand has been weak.
“National house prices have effectively gone sideways so far this year. This means house prices are falling in about half the nation’s housing markets, mostly in the South and western U.S.,” Mark Zandi, chief economist at Moody’s Analytics, told MarketWatch.
“This reflects extraordinarily weak housing demand and a modest increase in existing and new housing supply,” he added. Hence, he said, “housing will be an increasing headwind to broader economic growth.”
At Home Store Closure Policies 2025
- Discounts Up to 30%: All merchandise, fixtures, and store equipment are being sold at discounts up to 30% until all inventory is cleared.
- Final Sales: All sales are final on purchases made on or after August 1, 2025.
- Gift Cards and Rewards: Gift cards, gift certificates, loyalty, and credit card rewards are no longer being accepted at closing stores, but can be used at other stores or online
- Store Fixtures and Equipment: Store fixtures and equipment are also for sale during the liquidation process.
- Store Operations: Closing stores will remain open during their normal operating hours until closure.
Source:
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