California, August 28, 2025
News Summary
Bed Bath & Beyond has confirmed it will not reopen any stores in California after its bankruptcy filing in April 2023. Citing the state’s overregulation and high operational costs, the retailer has opted for a digital-only presence in California, despite its intended rebranding as The Brand House Collective under new ownership. Customers will still have access to online shopping with same-day delivery options, but physical stores will not be established in the state due to ongoing business climate challenges.
California – Bed Bath & Beyond has officially announced that it will not be reopening any stores in California following its bankruptcy filing in April 2023. The retailer, which was once a staple of household goods shopping, closed a total of 360 stores before attempting a resurgence under new ownership in June 2023. As part of a strategic rebranding initiative, Overstock acquired Bed Bath & Beyond’s intellectual property and transformed it into The Brand House Collective. This new brand will mark its physical presence with the opening of a test store in Nashville.
Marcus Lemonis, the executive chairman of Bed Bath & Beyond’s new parent company, expressed concerns about California’s business environment. He stated that the state is “overregulated, expensive, and risky” for retail operations. Specific challenges highlighted included high taxes, elevated fees, increased wages, and stringent regulations that pose significant barriers to conducting business successfully in the state. Consequently, despite having a rich customer base, the company has opted to forgo any physical presence in California for the foreseeable future.
While Bed Bath & Beyond will not operate stores in California, the company will provide residents with an online shopping experience, which incorporates a “California strategy.” This initiative features same-day delivery options and expedited shipping, ensuring that customers still have access to Bed Bath & Beyond products even without brick-and-mortar locations.
The decision to abandon California comes amidst broader trends of companies reevaluating their operations in the state due to high costs associated with doing business. Notably, over 350 firms exited California between 2018 and 2021, citing similar operational frustrations. This trend is not unique to Bed Bath & Beyond, as many companies, including fast-food chain In-N-Out, have voiced complaints about the difficulty of navigating California’s regulatory landscape.
Additionally, incidents of retail theft have been on the rise in California, raising concerns about safety and operational viability for retailers. In response to increasing retail crime and its repercussions, California voters approved Proposition 36 in November 2024, reclassifying repeat shoplifting offenses as felonies in an effort to curb this issue. Nevertheless, executives like Lemonis continue to express skepticism about California’s ability to attract and retain businesses under its current regulatory framework.
The evolving dynamics regarding business operations in California are under critical examination, particularly as the state strives to maintain its allure for companies. Lawmakers and business leaders alike are navigating the balance between protecting consumer rights and ensuring a conducive environment for business growth.
FAQs
Why isn’t Bed Bath & Beyond reopening stores in California?
Bed Bath & Beyond has cited California’s overregulation, high costs, and operational risks as reasons for not reopening stores in the state.
What is the current status of Bed Bath & Beyond after its bankruptcy?
Following its bankruptcy filing in April 2023, Bed Bath & Beyond was relaunched under new ownership in June 2023, rebranded as The Brand House Collective.
Will Californians have access to Bed Bath & Beyond products?
Yes, Californians can still shop online at Bed Bath & Beyond through a dedicated “California strategy,” which includes same-day delivery options.
What challenges are businesses facing in California?
Businesses in California are struggling with higher taxes, fees, wages, and strict regulations. Increased retail theft has also been a growing concern for retailers operating in the state.
What legislative changes have been made to combat retail theft in California?
In November 2024, California voters approved Proposition 36, which makes repeat shoplifting offenses felonies to address the rise in retail theft.
Key Features of Bed Bath & Beyond’s Business Changes
| Feature | Details |
|---|---|
| Bankruptcy filed | April 2023 |
| Store Closures | 360 stores closed prior to June 2023 |
| New Ownership | Acquired by Overstock, rebranded as The Brand House Collective |
| Location Plans | Testing new store in Nashville |
| California Decision | No reopening of stores due to operational costs and regulations |
| Online Availability | California residents can shop online with same-day delivery options |
| Legislative Response to Theft | Proposition 36 passed, targeting repeat shoplifting |
Deeper Dive: News & Info About This Topic
- San Francisco Chronicle: Bed Bath & Beyond California Stores
- Wikipedia: Bankruptcy
- LA Times: Bed Bath & Beyond Store Reopening
- Google Search: Bed Bath & Beyond California
- CBS News: Bed Bath & Beyond Stores California
- Encyclopedia Britannica: Retail
- Kron4: Bed Bath & Beyond Bashes California
- Google News: California Business Environment
Author: STAFF HERE HUNTINGTON BEACH
The Huntington Beach Staff Writer represents the experienced team at HEREHuntingtonBeach.com, your go-to source for actionable local news and information in Huntington Beach, Orange County, and beyond. Specializing in "news you can use," we cover essential topics like product reviews for personal and business needs, local business directories, politics, real estate trends, neighborhood insights, and state news affecting the area—with deep expertise drawn from years of dedicated reporting and strong community input, including local press releases and business updates. We deliver top reporting on high-value events such as the Huntington Beach Surf City USA Marathon, the U.S. Open of Surfing, Fourth of July celebrations at the Huntington Beach Pier, and community festivals at Huntington Beach Central Park. Our coverage extends to key organizations like the Huntington Beach Chamber of Commerce and Visit Huntington Beach, plus leading businesses in retail, hospitality, and outdoor recreation that drive the local economy. As part of the broader HERE network, including HEREAnaheim.com, HERECostaMesa.com, HERESantaAna.com, and HERELosAngeles.com, we provide comprehensive, credible insights into Southern California's dynamic landscape.
