Bed Bath & Beyond Halts Retail Expansion in California

California, August 24, 2025

News Summary

Bed Bath & Beyond has announced it will not open new retail stores in California, citing the state’s overregulation, high costs, and market challenges. Following its recent bankruptcy, the company highlighted ongoing difficulties related to taxes and minimum wage that hinder business operations. Although the brand will not expand locally, Californians can still shop online. This decision reflects broader concerns among retailers about the viability of doing business in California, a state facing increasing economic pressures.

California – Bed Bath & Beyond Announces No Future Retail Expansion in the State

Bed Bath & Beyond has officially declared that it will not open or operate any new retail stores in California, a decision that has drawn attention to the state’s challenging business environment. The company’s executive chairman outlined the operational difficulties that contribute to this decision, describing California as one of the most overregulated, expensive, and risky places for businesses in the United States. This pronouncement comes in the wake of Bed Bath & Beyond’s significant restructuring following its bankruptcy earlier this year.

The decision to retreat from retail expansion in California is attributed to various issues, including higher taxes, excessive fees, and increased minimum wage requirements, which many companies consider unsustainable. These economic pressures, according to the executive chairman, make it increasingly difficult for businesses to hire staff, maintain operations, and deliver value to consumers.

Bed Bath & Beyond’s announcement follows the closure of all its over 300 stores nationwide earlier this year as part of its bankruptcy proceedings. Subsequent to this, the company has undergone a rebranding initiative, launching its first new concept store named Bed Bath & Beyond Home in Nashville. This new retail strategy emphasizes a smaller, curated format aimed at revitalizing the brand amid changing market conditions.

The California market will not see any new Bed Bath & Beyond locations in the foreseeable future until improvements in the business climate are realized. Consumers in California will still have access to the brand through online shopping at BedBathandBeyond.com, which offers quick delivery options, including 24-48 hour shipping and same-day service for select items.

The governor’s office in California has responded to the company’s critique, stating that it believed Bed Bath & Beyond had ceased operations permanently after declaring bankruptcy. They noted that the state is experiencing an ongoing trend of businesses relocating or shutting down due to perceived challenging conditions that deter new investments.

Background Context

The moves made by Bed Bath & Beyond reflect broader economic trends within California’s business landscape, where many retailers and other companies have expressed concerns about operational feasibility. High costs associated with running a business in the state, combined with regulatory burdens, have prompted a number of organizations to reconsider their presence in California entirely.

The company’s current management, now under Brand House Collective, is focused on strategic revitalization. While Bed Bath & Beyond Home has opened its doors in places like Nashville, its absence in California raises questions about the state’s ability to attract and retain new business ventures amidst ongoing challenges.

Conclusion

The decision by Bed Bath & Beyond not to expand into California underscores significant concerns regarding the economic environment and its suitability for new retail investments. As companies reevaluate their strategies, the future of retail in California remains uncertain.

FAQ

Deeper Dive: News & Info About This Topic

• Los Angeles Times: Bed Bath & Beyond Won’t Reopen Stores in Overregulated California
• Fox Business: Major Retailer Says No to California
• The Hill: Newsom on California’s Business Environment
• DoorDash: Smart Reforms Help CA Restaurants
• CBS News: Bed Bath & Beyond Stores in California
• Wikipedia: California
• Google Search: California Business Environment
• Google Scholar: California Retail Industry
• Encyclopedia Britannica: California
• Google News: California Business News

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.