California, August 24, 2025
News Summary
Marcus Lemonis, the Executive Chairman of Bed Bath & Beyond, has announced that the retailer will not be opening any new stores in California due to the state’s challenging business environment. He criticized the high taxes and regulatory issues as significant barriers for the company. Although plans include opening 300 new stores nationwide, California is not part of this expansion. Instead, Bed Bath & Beyond will focus on enhancing its e-commerce platform to serve California customers through online deliveries, as they aim to rebound from their bankruptcy.
California
Marcus Lemonis, Executive Chairman of Bed Bath & Beyond, has announced that the company will not open any new retail stores in California, citing the state’s challenging business environment. This declaration was made on August 20, 2025, and underscores ongoing tensions surrounding California’s regulatory framework for businesses.
Lemonis criticized California for being “overregulated, expensive, and risky,” which he claims poses significant barriers to operating efficiently in the state. The remarks come as Bed Bath & Beyond is working to rebound from a bankruptcy filing in 2023 and aims to execute a comeback strategy through the establishment of 300 new neighborhood stores nationwide. Despite this expansion plan, California is notably absent from the roadmap.
The first of these new concept stores, named Bed Bath & Beyond Home, recently opened in Nashville on August 8, 2025. Bed Bath & Beyond intends to focus significantly on enhancing its e-commerce platform, ensuring that customers in California will still have access to products via online delivery, despite the lack of physical store locations.
Lemonis reiterated that the decision to not operate in California is grounded in economic realities rather than political motivations, emphasizing that “this isn’t about politics—it’s about math.” He pointed specifically to high taxes, fees, wages, and a cumbersome regulatory environment as crucial reasons inhibiting profitability and growth in the state.
Governor Gavin Newsom responded to Lemonis’s comments through social media, downplaying the relevance of Bed Bath & Beyond following its bankruptcy and extensive store closures. By mocking the company’s past struggles, Newsom highlighted the broader debate involving California’s attractiveness as a business location, which continues to provoke differing opinions regarding governmental oversight.
In light of Lemonis’s statements, discussions around California’s stringent regulatory landscape have resurfaced. Some proponents of regulations argue that they protect workers and ensure quality of life, while critics, including Lemonis, maintain that such overregulation stifles business opportunities and economic growth.
A spokesperson for the Brand House Collective, which oversees Bed Bath & Beyond, confirmed that although the company has plans for further expansions, California remains off the agenda until operational conditions improve. This decision aligns with Bed Bath & Beyond’s strategy to primarily serve customers in California through an efficient and effective e-commerce delivery model.
The company’s commitment to enhancing online services marks a significant shift in the retail landscape, highlighting a growing trend towards digital shopping options in response to economic challenges. As Bed Bath & Beyond navigates its transition from bankruptcy and aims for recovery, it remains to be seen how the company’s decisions will affect its standing in the highly competitive retail market.
FAQ
Why won’t Bed Bath & Beyond open stores in California?
Bed Bath & Beyond will not open stores in California due to the state’s high taxes, regulatory complexities, and overall business environment, which the company’s executive chairman described as overregulated, expensive, and risky.
What is Bed Bath & Beyond’s strategy moving forward?
The company plans to open 300 new neighborhood stores across the country, with an emphasis on enhancing its e-commerce platform. Customers in California will be served through online delivery options rather than physical retail locations.
How did Governor Gavin Newsom respond to these comments?
Governor Newsom responded by mocking Bed Bath & Beyond’s past bankruptcy and the closure of its stores, questioning the company’s relevance in today’s market.
Key Features of Bed Bath & Beyond’s Current Situation
| Feature | Details |
|---|---|
| Current Status | Not opening new stores in California |
| Executive Chairman | Marcus Lemonis |
| Focus on E-commerce | Products available through delivery |
| First New Store | Bed Bath & Beyond Home in Nashville |
| Expansion Plan | 300 new neighborhood stores nationwide |
| Governor’s Remarks | Mocking the company’s bankruptcy |
Deeper Dive: News & Info About This Topic
- Business Wire: Statement from Marcus Lemonis
- USA Today: California Governor Newsom on Bed Bath & Beyond
- KTLA: Bed Bath & Beyond California News
- San Francisco Chronicle: Bed Bath & Beyond California Stores
- KBTX: Bed Bath & Beyond Not Opening Stores in California
- Wikipedia: Bed Bath & Beyond
- Google Search: California business regulations
- Google Scholar: California business environment
- Encyclopedia Britannica: California
- Google News: Bed Bath & Beyond
Author: STAFF HERE BEVERLY HILLS WRITER
The Beverly Hills Staff Writer represents the experienced team at HEREBeverlyHills.com, your go-to source for actionable local news and information in Beverly Hills, Los Angeles 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 Rodeo Drive Concours d'Elegance, the Beverly Hills artSHOW, Concerts on Canon, and holiday celebrations throughout the city. Our coverage extends to key organizations like the Beverly Hills Chamber of Commerce and Visit Beverly Hills, plus leading businesses in luxury fashion, hospitality, and entertainment that drive the local economy. As part of the broader HERE network, including HERELosAngeles.com, HERESantaAna.com, HEREHuntingtonBeach.com, and HERECostaMesa.com, we provide comprehensive, credible insights into Southern California's dynamic landscape.
