California, August 24, 2025
News Summary
Bed Bath & Beyond has announced it will not open any new retail locations in California, citing challenges due to high taxes and regulatory burdens. The company’s chairman, Marcus Lemonis, described California as overly regulated and costly for businesses. Following its bankruptcy in 2023, Bed Bath & Beyond has shifted focus to new store formats, with its first reopening in Nashville, Tennessee. Despite the setback, California residents can still shop online, with efficient delivery options available.
California – Bed Bath & Beyond has officially declared it will not open or operate any new retail stores in California, citing operational challenges that stem from the state’s business environment. Marcus Lemonis, the executive chairman, described California as one of the most “overregulated, expensive, and risky environments for businesses in America.” This assessment has not only been a blow to the state’s retail landscape but also raises concerns about California’s overall economic climate.
The decision against future retail locations in the state is not politically motivated, according to Lemonis. Rather, it is grounded in a series of economic realities that many businesses are currently facing in California, including higher taxes, fees, and wages. Lemonis asserted that these financial pressures make it increasingly difficult for businesses to operate and thrive in the state. He also noted that the challenging business climate complicates the hiring process and diminishes the capability to keep stores functioning effectively while providing customers with valuable products and services.
Bed Bath & Beyond, which filed for bankruptcy in 2023, previously closed all of its over 300 stores across the country. Following the bankruptcy, the company underwent a significant rebranding effort and has since opened its first small-format store, known as Bed Bath & Beyond Home, in Nashville, Tennessee. This new brick-and-mortar presence is part of a strategic shift aimed at offering a curated selection of products rather than the expansive inventory it previously carried.
The brand management has been taken over by the Brand House Collective, which is overseeing the operations under the new name. While the company plans to pursue further physical store openings in various locations, those plans do not include California until the operational landscape improves. Despite this setback, California customers will still have access to Bed Bath & Beyond’s online shopping options via the company’s website, which features a service commitment of 24-48 hour delivery and same-day service for select products.
In response to Lemonis’s criticisms regarding California’s business environment, the state’s governor’s office commented that they believed Bed Bath & Beyond had permanently closed its doors after declaring bankruptcy. This announcement comes amid a broader trend of companies relocating or downsizing within California, as many businesses express difficulties in navigating the state’s regulatory and operational hurdles.
As Bed Bath & Beyond shifts focus to new markets and develops its innovative store format, the situation in California highlights ongoing challenges within the state’s economy. Without changes to the business conditions, retailers may continue to reconsider California as a viable market for future expansion.
FAQ
Why has Bed Bath & Beyond decided not to open stores in California?
The decision is based on the operational challenges posed by California’s regulatory environment, including higher taxes, fees, and wages, which make it difficult for businesses to sustain operations.
What is the current status of Bed Bath & Beyond’s physical retail operations?
After declaring bankruptcy in 2023 and closing all of its stores, Bed Bath & Beyond has transformed its brand and opened its first physical store under the new name in Nashville, Tennessee, with plans to open more locations in the future, though none in California for now.
Can California residents still shop at Bed Bath & Beyond?
Yes, residents can still shop online through Bed Bath & Beyond’s website, which offers delivery options, including 24-48 hour delivery and same-day service for selected items.
Key Features
| Feature | Description |
|---|---|
| Future Store Operations | No new retail stores will be opened in California. |
| Business Challenges | High taxes, fees, and wages making operations unsustainable. |
| Rebranding Efforts | Opened first Bed Bath & Beyond Home store in Nashville, Tennessee. |
| Online Shopping | California customers can shop online with fast delivery options. |
| Management | Brand House Collective managing the Bed Bath & Beyond brand. |
Deeper Dive: News & Info About This Topic
- Patch: California Business News
- Wikipedia: California Economy
- Business Wire: Statement from Marcus Lemonis
- Google Search: California Business Environment
- LA Times: Bed Bath & Beyond in California
- Encyclopedia Britannica: Retail Industry
- The Hill: Newsom on California’s Business Environment
- Google News: Bed Bath & Beyond California
Author: STAFF HERE COSTA MESA WRITER
COSTA MESA STAFF WRITER The COSTA MESA STAFF WRITER represents the experienced team at HERECostaMesa.com, your go-to source for actionable local news and information in Costa Mesa, 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 the OC Fair, Concerts in the Park, and Fish Fry. Our coverage extends to key organizations like the Costa Mesa Chamber of Commerce and Boys & Girls Clubs of Central Orange Coast, plus leading businesses in retail, fashion, and technology that power the local economy such as Vans, Experian, and South Coast Plaza. As part of the broader HERE network, including HEREAnaheim.com, HEREBeverlyHills.com, HERECoronado.com, HEREHollywood.com, HEREHuntingtonBeach.com, HERELongBeach.com, HERELosAngeles.com, HEREMissionViejo.com, HERESanDiego.com, and HERESantaAna.com, we provide comprehensive, credible insights into California's dynamic landscape.
