Party City closes at least 22 stores, from this month
The festive supplies chain restructures its imprint at retail following a bankruptcy deposit.
The party will soon be over for more people in the United States in September 2022, parties based in Wisconsin 50-50 factory outlet announced that it was bankrupt, closing its four remaining stores in the state. But now, a larger brand followed suit. After sharing some clarity on its financial difficulties at the start of the year, Party City plans to close some of its stores accordingly. Read the rest to find out which 22 locations should soon close and why others could follow over time.
Read this then: These are all the walmart locations closing forever by March 10 .
Party City filed for bankruptcy last month.
Following rumors of a potential deposit, Party City officially submitted an official file for Chapter 11 Bankruptcy protection January 17. The comparable sales of the retailer fell 3.2% in the last quarter and had $ 1.67 billion in debt, according to the Last financial report Released in November 2022. Consequently, Party City uses bankruptcy as a means of restructure your debt And keep its doors open, said CNBC.
"While we take this important step to put our business Strong financial fong For the future, we are as committed as ever to inspire joy by facilitating the creation of unforgettable "Party City memories Brad Weston said in a press release. "We appreciate the commitment of our team members and the continuous support of our partners while we improve our position more as a" one -way "to celebrate the special moments of life."
But this step towards this future will not occur without losses.
The retailer now plans to close several stores.
When he filed a record, Party City had 770 stores belonging to the company and 53 franchise stores. But the festive supplies chain goes in its retail imprint in the United States as part of its restructuring efforts. Party City is Plan to close At least 22 stores following its bankruptcy deposit last month, Retail Dive reported. According to the media, the documents have filed In the bankruptcy court On February 16, indicate that Party City will sell at auction out of 12 first stores, then closed 10 other locations later in February. AE0FCC31AE342FD3A1346EBB1F342FCB
"Our work on our rental portfolio is evolving very quickly, with a plan for us to output locations which do not respect the main financial measures required for our fleet in advance, " Marc Ehle Said the executive vice-president of Party City business operations in a statement.
Better life Contacted Party City to find out more about these closures and when exactly they will occur but have not yet heard.
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A dozen City Party stores are now sold at auction.
Operating as a real estate advisor to Party City Holdco Inc. (PCHII), A & G Real Estate Partners announced on February 16 that it sells 12 leases from the party of the party as part of the first phase of the closures. According to a press release, affected stores cover six states: New York, Missouri, Michigan, Oklahoma, Oregon and Virginie-Western.
"We have a wide variety of users who have started to demonstrate interests, including gymnasiums, dollar stores, local retail operators, furniture users, local specialized retailers and non -detailed users such as Medical, "said A&G Managing Director Alexandra graduate said in a press release.
The stores are currently in auction vary from 9,000 to 28,000 square feet, some operating as independent locations while others are located in shopping centers or shopping centers. New York will lose the greatest number of stores, with four leases sold at auction in Manhattan, the Bronx, Buffalo and Irondequit. Meanwhile, three stores will leave Michigan from the cities of Ft. Gratiot, Benton Harbor and Jackson, while Missouri will lose locations in St. Joseph and Belton. The other stores sold at auction in this set are located in Lawton, in Oklahoma; Corvalis, Oregon; and Martinsburg, Virginie-Western.
But more locations will end after that.
In the second phase of the closures, 10 other stores will close in several different states. Georgia will lose locations of two cities in this phase, one in Rome and the other in Camstersville. Meanwhile, the other closures will affect individual locations in West Paterson, New Jersey; Corpus Christi, Texas; Manhattan, New York; Beckley, Virginie-Western; Slidell, Louisiana; Hollande, Missouri; Waterloo, iowa; And Bradley, Illinois.
According to court documents, all of these locations must be sold before the end of April. But some seem to close much earlier than that. For example, the city of Beckley Party in Virginia-Western is turn off to prove yourself On March 27, local WVNS reported. On the other hand, an employee of the city of the Dutch Party of Missouri declared to Holland Sentinel that his store will remain open Until April 29, unless the whole inventory is sold before that.
But these 22 stores might not be all that the city of the party gets rid of. According to the press release of February 16, A&G will continue "at the auction of additional leases in the coming weeks, the total number according to the outcome of the negotiations in progress between A&G and the Party City owners".
