California, August 22, 2025
News Summary
Bed Bath & Beyond’s Executive Chairman Marcus Lemonis has announced that the company will refrain from opening any retail locations in California due to high operational costs and regulatory challenges. Despite seeking expansion, the state’s unfavorable business environment has led to this decision. Customers in California can still shop online with quick delivery options. This news follows the brand’s recent struggles, including a bankruptcy filed in 2023, prompting a strategic pivot towards opening smaller stores in other states.
California – Bed Bath & Beyond’s Executive Chairman, Marcus Lemonis, has announced that the company will not open any retail locations in California due to significant regulatory hurdles and high operational costs. Lemonis, who leads the brand’s recovery after its bankruptcy, described California’s business environment as “overregulated, expensive, and risky,” making it challenging for new ventures to thrive in the state.
This decision follows the opening of the first Bed Bath & Beyond Home store in Nashville, Tennessee, on August 8, 2025. As Lemonis looked to expand the brand, he engaged with potential customers on social media, asking for suggestions on where new stores should be located. However, his remarks on August 20, 2025, clarified that California will not be on that list.
Lemonis pointed to several factors that contribute to California’s unfavorable business climate, including high taxes, extensive fees, and elevated wage requirements. Currently, the state boasts a minimum wage of $16.50 per hour and has recently been ranked as the most expensive state for starting a business. These financial burdens, coupled with strict regulations, were central to Lemonis’ decision against opening any new stores in the state.
Despite this setback, California residents will still have access to Bed Bath & Beyond products through online purchasing, with deliveries expected to arrive within 24 to 48 hours. This approach aims to accommodate consumer demand in a state where the company has a notable absence of physical retail locations.
The situation follows Bed Bath & Beyond’s filing for Chapter 11 bankruptcy in 2023, which resulted in the closure of all of its stores across the country. Before this closure, the company had more than 300 locations. The brand is now under the ownership of Beyond Inc., which also owns other retailers like buybuy BABY and Overstock.com.
Marcus Lemonis has earned a reputation for his business transformation capabilities, largely showcased on his television programs, including “The Profit.” His recent announcement underscores a growing trend among businesses choosing to relocate away from California. Companies like Brightpoint Ventures have also announced transitions from California to states perceived as more business-friendly, particularly Florida, mirroring Lemonis’ perspective on the difficulties of operating in California.
In terms of future plans, Bed Bath & Beyond intends to open around 300 smaller store locations throughout the United States over the next two years, although none will be based in California. This strategic pivot aims to develop a more sustainable business model while reaching new consumers across the country.
The response from California Governor Gavin Newsom’s office indicated surprise at Lemonis’ remarks, highlighting the challenges and complexities facing businesses in the state as they navigate through its regulatory maze.
FAQ
Why is Bed Bath & Beyond not opening stores in California?
The company has cited California’s high taxes, extensive regulations, and a challenging business environment as reasons for its decision.
Will California residents still be able to purchase Bed Bath & Beyond products?
Yes, Californians can buy products online, with deliveries expected within 24 to 48 hours.
What are the future plans for Bed Bath & Beyond?
Bed Bath & Beyond plans to open approximately 300 smaller store locations across the U.S. over the next two years, though none will be in California.
Key Features of Bed Bath & Beyond’s Restructuring
| Feature | Details |
|---|---|
| Executive Chairman | Marcus Lemonis |
| New Store Openings | First Bed Bath & Beyond Home store opened in Nashville on August 8, 2025 |
| California Store Plans | No new stores planned due to regulatory challenges |
| Delivery Options | Online purchases with 24-48 hour delivery in California |
| Bankruptcy | Filed Chapter 11 in 2023, closed all stores |
| Future Store Locations | Approximately 300 smaller stores planned across the U.S. |
Deeper Dive: News & Info About This Topic
- USA Today
- Wikipedia: California
- San Francisco Chronicle
- Google Search: Bed Bath & Beyond California
- KTLA News
- Encyclopedia Britannica: Bed Bath and Beyond
- Forbes
- Google News: Bed Bath & Beyond California
- Newsweek
- MSN Money
Author: STAFF HERE HOLLYWOOD
The Hollywood Staff Writer represents the experienced team at HEREHollywood.com, your go-to source for actionable local news and information in Hollywood, 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 Hollywood Bowl summer concerts, the Hollywood Christmas Parade, film premieres at TCL Chinese Theatre, and festivals at the Magic Castle. Our coverage extends to key organizations like the Hollywood Chamber of Commerce and Visit Hollywood, plus leading businesses in entertainment, dining, and tourism that define the local economy. As part of the broader HERE network, including HERELosAngeles.com, HEREBeverlyHills.com, HEREAnaheim.com, and HEREHuntingtonBeach.com, we provide comprehensive, credible insights into Southern California's dynamic landscape.
