Former Bed Bath & Beyond locations become coveted real estate for retailers seeking expansion
The closure of major retailers like Sears, Toys “R” Us, and Circuit City in recent years has presented an opportunity for other businesses to occupy their vacant storefronts. Now, as Bed Bath & Beyond joins the list of bankrupt retailers, a new wave of companies is seizing the chance to move into their empty spaces. From Burlington to Barnes & Noble, various chains are capitalizing on the prime real estate once occupied by Bed Bath & Beyond stores. Additionally, unconventional tenants such as indoor pickleball courts and trampoline parks are also filling the void. This article explores the growing trend of retailers and other businesses taking over former Bed Bath & Beyond locations, highlighting the factors driving this shift in the retail landscape.
What’s moving in to old Bed Bath & Beyond stores
The closure of Bed Bath & Beyond stores has created a prime opportunity for retailers and businesses looking to expand. Burlington, Michaels, Barnes & Noble, Ollie’s Bargain Outlet, Macy’s, and HomeGoods are among the chains that have replaced the former Bed Bath & Beyond stores. Moreover, the vacancies have attracted unique tenants such as indoor pickleball courts, trampoline parks, and bowling alleys. For instance, Foxboro’s Patriot Place will soon welcome a Restoration Hardware Outlet, while Seekonk has seen Ocean State Job Lot move into a former Bed Bath & Beyond location. The diverse range of businesses moving into these spaces demonstrates the appeal and versatility of former Bed Bath & Beyond stores.
The allure of former Bed Bath & Beyond stores
Amid a slowdown in retail spending, the demand for former Bed Bath & Beyond stores remains high. The limited availability of new large retail spaces, coupled with the impact of the 2008 financial crisis and the rise of online shopping, has resulted in a scarcity of suitable locations for retailers. As a result, retail vacancy rates are at historic lows. The majority of Bed Bath & Beyond stores are situated in suburban areas of mid-size and large cities, with sizes under 50,000 square feet. These characteristics make them attractive to retailers, especially those opting for smaller spaces to save on rent and labor costs, given the increasing popularity of online shopping. Macy’s, for example, is opening its smaller “Market by Macy’s” versions in former Bed Bath & Beyond stores, including one in Dorchester’s South Bay center.
The resilience of brick-and-mortar stores
Despite the rise of e-commerce, brick-and-mortar stores continue to play a vital role in the retail industry. Discount retailers, in particular, have experienced significant growth as budget-conscious shoppers seek affordable prices. Additionally, many companies are leveraging their physical stores to fulfill online orders, which can be more efficient than relying solely on warehouses for deliveries. Even digitally native brands like Warby Parker have recognized the value of physical stores and have opened their own retail locations. This demonstrates that while the retail landscape is evolving, physical stores still hold importance for many consumers.
The closure of Bed Bath & Beyond stores has created a unique opportunity for retailers and businesses seeking expansion. Former locations are being swiftly occupied by a range of companies, from established chains to unconventional tenants. The scarcity of new large retail spaces, coupled with the appeal of smaller store formats, has contributed to the high demand for these vacancies. Despite the challenges faced by brick-and-mortar stores in recent years, their resilience and importance to shoppers cannot be underestimated. As the retail landscape continues to evolve, the repurposing of former Bed Bath & Beyond stores serves as a testament to the adaptability and creativity of businesses in meeting consumer needs.