Bed Bath & Beyond Is Back With Plans For 300 New Stores, But None In California

Core Viewpoint - Bed Bath & Beyond, under the leadership of executive chairman Marcus Lemonis, has decided to avoid opening new stores in California due to high operational costs and regulatory challenges, focusing instead on expanding in other regions and online sales [1][3][4]. Company Strategy - The company plans to open 300 new stores over the next 24 months, with the first new store recently opened in Nashville, TN [3][4]. - Lemonis emphasized that the decision to avoid California is based on practical considerations rather than political ones, citing the state's high taxes, fees, and wages as prohibitive factors [2][3]. Financial Performance - Bed Bath & Beyond previously operated 365 stores before its bankruptcy in 2023, with California housing the largest number of stores at nearly 90 [5]. - The company generated $1.4 billion in fiscal 2024, a decrease from $1.6 billion in 2023, and revenues for the first half of 2025 fell from $780 million to $514 million [5]. - Consolidated operating losses improved from $117 million to $59 million year-over-year [5]. Partnerships and Expansion - Kirkland's has become the exclusive brick-and-mortar partner for Bed Bath & Beyond, operating smaller stores and facilitating the rebranding process [6][7]. - The rebranding of Kirkland's Home stores to Bed Bath & Beyond Home stores has begun, with plans for additional store openings in Nashville [6][7]. Industry Context - Several companies have relocated their headquarters from California to Texas in recent years, indicating a trend of businesses seeking more favorable operating environments [8].