Kohl's Confirms Closure of 27 Stores Nationwide, Including Five in Bay

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Kohl's, the nationwide department store chain, has announced plans to shutter 27 underperforming locations by April 2025, including those peppered across the California landscape. According to a press release provided to BizJournals, five Bay Area stores have been slated for closure in Fremont, Mountain View, Napa, Pleasanton, and San Rafael. These closures represent a broader reevaluation of the company's real estate portfolio.

While the Fremont store at 43782 Christy St. and the other Bay Area locations prepare to cease operations, the publicly traded retailer is also closing down its San Bernardino e-commerce fulfillment center amid increased efficiencies and enhanced capabilities at newer facilities. In the face of these closures, Kohl's remains confident about the remainder of its profitable store base. As Kohl's stock (NYSE: KSS) experienced a 40% drop over the previous six months, the company reminds stakeholders of its focus on the long-term growth strategy, albeit along with these necessary consolidations.

The announcement has tangible implications for Kohl's staff, with mass layoff notice filings indicating that at least 60 employees will be affected at the Pleasanton location alone. "All associates have been informed, and offered a competitive severance package or the ability to apply to other open roles at Kohl's," Kohl’s conveyed in a statement highlighting their commitment to support associates during the transition, as reported by Kohl's website. This sentiment mirrors the company's dedication to its workforce.

"We always take these decisions very seriously," Tom Kingsbury, Kohl’s chief executive officer, emphasized in statements regarding the closures, per Kohl's website. With an eye towards the future and customer satisfaction, Kingsbury assures that actions taken, however difficult, are in pursuit of the company's health and longevity. Additional California stores facing closure include locales in Balboa, Encinitas, Point West, San Luis Obispo, and Westchester – as per the details shared by Kohl's corporate statements.