California, August 28, 2025
News Summary
Following its Chapter 11 bankruptcy, Bed Bath & Beyond will not reopen its stores in California due to the state’s challenging business environment. Overstock.com, which acquired the brand, has rebranded it as The Brand House Collective. While the retailer plans a test location in Nashville, California’s high taxes and strict regulations have influenced its decision against reentering the market. Despite store closures, Californians can still shop online, as the retailer pivots its business strategy towards e-commerce in the state.
California – Bed Bath & Beyond will not be reopening its stores in California following its recent bankruptcy, a decision stemming from a challenging business climate in the state. The company, which filed for Chapter 11 bankruptcy in April 2023, closed a total of 360 stores before its relaunch under new ownership in June 2023, transitioning its business strategy.
Overstock.com acquired Bed Bath & Beyond’s intellectual property and has rebranded it as The Brand House Collective. The retailer plans to establish a new store in Nashville, Tennessee, which is set to serve as a test location for future expansions. However, California’s regulatory environment has been deemed too challenging for the company’s operational plans.
Executive chairman Marcus Lemonis expressed concerns regarding operating in California, describing it as an “overregulated, expensive, and risky” environment for businesses. He cited high taxes, increased fees, elevated wages, and strict regulations as significant barriers to running a business in the state. Despite the closure of physical stores, Lemonis revealed that Californians would still be able to shop online with specific arrangements for prompt deliveries as part of the retailer’s “California strategy.”
The announcement that Bed Bath & Beyond will not be returning to California aligns with a larger trend of corporations relocating due to the combination of high operational costs and stringent regulations. Data indicates that more than 350 companies moved out of California between 2018 and 2021 as business owners searched for more favorable environments. This trend has drawn attention from various sectors as they express their frustrations with the state’s business climate.
Notably, Bed Bath & Beyond is not alone in its grievances regarding California’s operational difficulties. Other prominent figures in the business community, such as In-N-Out CEO Lynsi Snyder, have also voiced their concerns about doing business in the state. Moreover, retail crime remains a pressing issue, with a marked increase in theft incidents, which has raised significant concerns among executives about safety and viability of operations.
In response to rising retail theft, California voters approved Proposition 36 in November 2024, categorizing repeat shoplifting offenses as felonies. This move aims to combat the surge in retail crime and pressure on businesses to maintain security.
As Bed Bath & Beyond adapts to the new economic landscape, the company’s decision to forgo a California presence adds to the ongoing conversation regarding the state’s attractiveness to businesses. The state continues to examine its policies, aiming to ensure it can retain current businesses while enticing new companies to consider California as a viable location for operations.
Conclusion
The current landscape highlights the significant shifts in retail dynamics as companies reassess their operational strategies. Bed Bath & Beyond’s future will now be directed towards online platforms and select physical locations, with California remaining outside its business plan for the foreseeable future.
FAQs
Question | Answer |
---|---|
Why won’t Bed Bath & Beyond reopen in California? | The company cites California’s regulatory environment as overregulated, expensive, and risky. |
What actions did Bed Bath & Beyond take before its relaunch? | Before relaunching in June 2023, the company closed 360 stores as part of its bankruptcy proceedings. |
What is The Brand House Collective? | It is the new branding for Bed Bath & Beyond after being acquired by Overstock.com. |
Will Californians have access to Bed Bath & Beyond products? | Yes, Californians can shop online with a dedicated strategy that includes quick shipping options. |
How has retail theft impacted businesses in California? | Executives have cited rising theft as a significant concern, leading to Proposition 36 that imposes stricter penalties for repeat offenders. |
Deeper Dive: News & Info About This Topic
- The Street: Home Goods Retailer Sets Closing Sale for 31 Stores in Bankruptcy
- Wikipedia: California
- Kron4: Bed Bath & Beyond Bashes California as it Emerges from Bankruptcy
- Google Search: Bed Bath and Beyond
- LA Times: Bed Bath & Beyond Won’t Reopen Stores in Overregulated Expensive California
- Encyclopedia Britannica: Bureau of Consumer Financial Protection
- SF Chronicle: Bed Bath & Beyond California Stores
- Google News: Retail Theft California
- CBS News: Bed Bath & Beyond Stores California
- Desert Sun: At Home California Store Closures 2025

Author: STAFF HERE BEVERLY HILLS WRITER
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