Bed Bath & Beyond Cancels New Store Openings in California

California, August 22, 2025

News Summary

Bed Bath & Beyond’s Executive Chairman, Marcus Lemonis, announced that the company will refrain from opening new stores in California due to the state’s high operational costs and regulatory challenges. The decision follows a social media inquiry about potential store locations, emphasizing California’s challenging business landscape. Customers in the state can still access products online with prompt delivery options. This comes as the company seeks to revitalize its brand post-bankruptcy and focuses on launching smaller stores nationwide, excluding California.

California – In a significant development for the retail sector, Marcus Lemonis, Executive Chairman of Bed Bath & Beyond, announced that the company will not be opening any new retail stores in California due to the state’s challenging business environment. This decision comes after Lemonis solicited input on potential new store locations on social media but ultimately deemed California as too “overregulated, expensive, and risky” for new business ventures.

The announcement was made on August 20, 2025, as Lemonis highlighted various barriers that hinder business growth in the state, including high taxes, hefty fees, and elevated wages. Currently, California’s minimum wage stands at $16.50 per hour, making it one of the most expensive states to start a business in America.

Despite this setback for California residents, they will still have access to Bed Bath & Beyond products through online platforms, ensuring deliveries can be made within 24 to 48 hours. This is essential for the company, which filed for Chapter 11 bankruptcy in 2023 and subsequently closed all of its stores, which had numbered over 300 prior to the bankruptcy event. The brand is now under the ownership of Beyond Inc., which also oversees buybuy BABY and Overstock.com.

Recent Business Developments

Bed Bath & Beyond opened its first Bed Bath & Beyond Home store in Nashville, Tennessee, on August 8, 2025, marking the beginning of its strategy to revitalize the brand. Lemonis, who is well-known for turning around struggling businesses and features prominently in his television shows, recently indicated plans to launch approximately 300 smaller store locations across the United States over the next two years, though these will not include California.

Broader Context and Reactions

Lemonis’s remarks reflect an emerging pattern, as numerous companies are considering relocating their operations out of California due to perceived challenges related to the state’s business climate. This trend was echoed by Brightpoint Ventures, which announced its planned relocation from California to Florida, underscoring similar concerns about regulatory burdens.

The response from California’s Governor Gavin Newsom’s office was one of surprise, acknowledging the company’s attempts to regain relevance following its bankruptcy. The state has long been regarded as a challenging environment for new businesses, as reflected in Lemonis’s assessment of its regulatory landscape.

While the decision may disappoint some customers looking for physical Bed Bath & Beyond stores in California, the company remains committed to offering its products through online shopping avenues, ensuring continued accessibility for Californians. This strategic pivot underscores the company’s flexibility in adapting to a complex retail environment.

Key Takeaways

• Marcus Lemonis announced that Bed Bath & Beyond will not open stores in California.
• California’s regulatory environment is viewed as challenging for new businesses.
• The company plans to open around 300 smaller stores nationwide, excluding California.
• Online shopping remains an option for Californian consumers, with quick delivery times.
• Bed Bath & Beyond emerged from bankruptcy and is now operated by Beyond Inc.

Future Outlook

The strategic choices laid out by Lemonis indicate a focused effort on reconsolidating the Bed Bath & Beyond brand while navigating the complex landscape of American retail. As the company moves forward with its expansion plans outside California, it will be crucial to monitor how these developments affect both customers and the broader market.

Key Features of Bed Bath & Beyond’s Recent Announcements

Deeper Dive: News & Info About This Topic

• USA Today: Bed Bath & Beyond and California’s Business Environment
• Wikipedia: California
• San Francisco Chronicle: Bed Bath & Beyond in California
• Google Search: Bed Bath & Beyond
• KTLA: Bed Bath & Beyond’s California Decision
• Encyclopedia Britannica: Retail
• Forbes: Bed Bath & Beyond’s Future Plans
• Google News: Bed Bath & Beyond California
• Newsweek: Bed Bath & Beyond’s California Backlash
• MSN: Major Retailer Rejects California

Author: Anaheim Staff Writer

Anaheim Staff Writer The Anaheim Staff Writer represents the experienced team at HEREAnaheim.com, your go-to source for actionable local news and information in Anaheim, Orange 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 major conventions at the Anaheim Convention Center, including NAMM and VidCon, exciting games at Angel Stadium and Honda Center, and developments at Disneyland Resort Our coverage extends to key organizations like the Anaheim Chamber of Commerce and Visit Anaheim, plus leading businesses in hospitality, entertainment, and innovation that power the local economy As part of the broader HERE network, including HERECostaMesa.com, HEREHuntingtonBeach.com, HERESantaAna.com, and HERELosAngeles.com, we provide comprehensive, credible insights into Southern California's dynamic landscape.