8 J.C. Penney Stores Closing In 2025: The Full List And The $1 Billion Plan To Save The Brand
The retail landscape continues its dramatic transformation, and J.C. Penney is once again making headlines with a new round of store closures. As of late 2025, the iconic department store chain has confirmed it will be shuttering several more locations across the United States, a move that is part of its ongoing, post-bankruptcy strategy to right-size its physical footprint and focus resources on a massive, multi-year turnaround plan. This latest wave of closures, which is expected to be completed by mid-2025, signals a clear focus on profitability and a shift away from underperforming mall locations, even as the company pours over $1 billion into modernizing its remaining stores.
The decision to close these stores comes at a crucial time for JCPenney, which is striving to regain its footing in a hyper-competitive market dominated by fast-fashion digital retailers and off-price giants. While the news of JCPenney store closures is disappointing for local communities, it is inextricably linked to a much larger, self-funded investment strategy designed to revitalize the 121-year-old brand. The company is not merely retreating; it is strategically consolidating to fund a comprehensive JCPenney turnaround plan that includes extensive store remodels and a complete overhaul of its digital experience.
The Confirmed List of J.C. Penney Stores Closing in Mid-2025
The company has confirmed that a select number of stores will be closing their doors permanently in the first half of 2025. These closures are reportedly due to a combination of factors, including the expiration of existing lease agreements, declining in-store traffic at specific locations, and the need to shed unprofitable stores to boost the overall financial health of the brand. The total number of confirmed closures is approximately eight locations, a relatively small number compared to the hundreds of stores shuttered during its 2020 bankruptcy proceedings, but each closure still represents a significant loss for the community it serves.
Below is the list of J.C. Penney locations confirmed to be closing by mid-2025, as reported by various sources:
- Westfield Annapolis Mall in Annapolis, Maryland
- Fox Run Mall in Newington, New Hampshire
- Charleston Town Center in Charleston, West Virginia
- Pine Ridge Mall in Pocatello, Idaho
- West Ridge Mall in Topeka, Kansas
- Location in the Bay Area, California (Specific mall name often withheld initially)
- One additional location in a yet-to-be-named state
- One additional location in a yet-to-be-named state
The closures are scheduled to take place around May 25, 2025, with liquidation sales beginning several weeks prior. These strategic exits allow JCPenney to focus its capital and operational efforts on its stronger, more profitable locations, which are now the centerpiece of its long-term retail strategy.
Beyond the Closures: JCPenney’s $1 Billion Turnaround Strategy
To understand the current round of JCPenney store closures, one must look at the bigger picture: the company's massive, self-funded $1 billion investment plan. Announced in 2024, this multi-year initiative is set to run through the end of Fiscal Year 2025 and is the strongest signal yet that the brand's owners are committed to a full revitalization. This is not a story of a retailer simply shrinking; it is a story of a retailer aggressively reinvesting in its future.
The $1 billion is being strategically allocated across three main pillars:
1. Store Remodels and the "Penney's" Reimagined Format
A significant portion of the investment is dedicated to modernizing the remaining fleet of hundreds of stores. The goal is to create a more inspiring and seamless customer experience. This includes major renovations, updated flooring, brighter lighting, and new fitting rooms. Furthermore, JCPenney is actively developing and testing a "reimagined" store format, sometimes referred to with the script "Penney's" name, which emphasizes a more curated and modern shopping experience. These new formats are often smaller than the traditional department store footprint, reflecting a broader industry trend toward efficiency. The Hurst, Texas, location is one example of this new look.
2. Enhancing the Digital and Omnichannel Experience
In the age of e-commerce, a strong online presence is non-negotiable. The turnaround plan commits substantial funds to improving JCPenney’s digital platform. This includes a revamped website, a more intuitive mobile app, and better integration between online shopping and in-store services like "BOPIS" (Buy Online, Pick Up In Store) and ship-from-store capabilities. The goal is to meet the customer wherever they are, ensuring a consistent and high-quality experience whether they shop from their couch or walk into a physical store.
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3. Operational Efficiencies and Supply Chain Optimization
Behind the scenes, the investment is targeting the supply chain and logistical operations. This focus on operational efficiency is critical for boosting profit margins. Streamlining the flow of merchandise from vendor to shelf, improving inventory management systems, and enhancing data analytics capabilities are all part of this effort. By becoming a leaner and more agile operation, JCPenney aims to better compete with low-cost rivals and rapidly changing consumer demands.
The Competitive Pressure: Why Department Stores Are Shrinking
The current JCPenney store closures are not an isolated event but rather a symptom of the intense pressure facing the entire department store sector. The retail environment has fundamentally changed, creating a new set of challenges that legacy brands must overcome.
The Rise of Digital-First Retailers: The emergence of ultra-fast-fashion and low-cost online platforms like Shein and Temu has significantly eroded the market share of traditional department stores. These digital giants offer massive selections and aggressive pricing, forcing established retailers to re-evaluate their value proposition.
The Mall Decline: Many of the stores being closed are located in struggling or "dead" malls. As anchor tenants, department stores rely on foot traffic from the mall environment. When the mall itself declines, the anchor stores suffer. By exiting these locations, JCPenney is freeing itself from the financial drag of underperforming real estate. This strategic reduction in its physical footprint is a common tactic among major retailers, including rivals like Macy's and Kohl's, who are also exploring smaller store formats and off-mall locations.
The Post-Bankruptcy Reality: Although JCPenney successfully emerged from bankruptcy in 2020, the process fundamentally changed the company. The initial round of closures was a necessary step to shed debt and unprofitable stores. The 2025 closures are a continuation of this right-sizing, ensuring that every remaining store contributes positively to the company's financial health. The company is determined to prove that its financial struggles are behind it and that its future lies in a curated, modernized, and omnichannel shopping experience, making the handful of 2025 closures a calculated sacrifice for long-term survival and growth.
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