Retailer With 21 New York Locations Plans to Close at Least 200 Stores

A major name in retail has announced plans to file for a second bankruptcy and possibly close at least 200 stores across the U.S.

We are two full months into the new year and it appears that the trend of major names in business filing for bankruptcy and closing stores is continuing in 2025. Over the last few months, we've learned that Walgreens, GameStop, and Joann Fabrics are all planning to close locations across the country this year and now we can add a popular name in clothing to the list of companies that could shutter hundreds of locations.

Forever 21 Bankrupt Again?

Back in 2019, the popular fashion store Forever 21 announced it would be filing for bankruptcy protection and five years later it has announced they are considering bankruptcy again according to a recent USA Today story. The fast-fashion retailer which has been selling the newest trends in women's fashion for over 40 years peaked in popularity in the early 2000s but since then has struggled.

Forever 21 Fighting to Compete

The LA-based company has struggled over the last few years to compete with online retail giants like Shein and Temu, who offer similar products at oftentimes cheaper prices. Forever 21's operating company, F21 OpCo, told USA Today that the company is exploring its "options" saying,

"Forever 21’s operating company, which is the brand licensee in the U.S., continues to explore strategic options, including a potential sale, while also reducing costs and optimizing its store footprint. The efforts are ongoing and no final decisions have been made regarding the outcome of the process or the number of stores that may be closed."

 

Forever 21 Closing Stores?

According to Newsweek,  Forever 21 is exploring its options and recently said that it is planning to close at least 200 stores across the U.S. as it seeks financial restructuring and a potential buyer. It's unclear which of the company's 500+ stores might be closing, but a few news outlets have reported that locations in Connecticut, California, and Washington state have stated they would be closing soon.

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Forever 21 currently has 21 stores across New York including stores in Bay Shore, Brooklyn, Central Valley, Middletown, NYC, Poughkeepsie, West Nyack, White Plains, Yonkers, and Yorktown Heights. We've contacted the Forever 21 locations at the Galleria at Crystal Run Middletown, NY and the store at the Poughkeepsie Galleria in Poughkeepsie, NY and employees at both stores said they weren't aware of plans for either store to close anytime soon.