California, August 22, 2025
News Summary
Bed Bath & Beyond’s Executive Chairman, Marcus Lemonis, announced that the company will not open new stores in California due to the challenging business landscape, characterized by high costs and heavy regulations. Instead, the brand plans to expand outside the state, including a recent opening in Nashville, Tennessee. Customers in California can still purchase products online with fast delivery options. This decision reflects a trend where businesses are looking for more favorable environments beyond California.
California – Bed Bath & Beyond’s Executive Chairman, Marcus Lemonis, has announced that the company will not open any new stores in California due to the state’s challenging business environment. Lemonis, who leads the brand’s efforts for recovery following its Chapter 11 bankruptcy, cited California’s high costs, heavy regulations, and a lack of business-friendly policies as significant hurdles for operations in the state.
On August 20, 2025, Lemonis publicly addressed these concerns, emphasizing that the decision is a practical measure rather than a political statement. The state’s regulatory landscape has made it notably difficult for businesses to thrive, escalating operational costs. As a result, Bed Bath & Beyond will focus on expanding its footprint outside California—where it recently opened its first Bed Bath & Beyond Home store in Nashville, Tennessee, on August 8, 2025.
Despite the absence of retail outlets in California, customers within the state will have the option to purchase Bed Bath & Beyond products online, with delivery services available within 24 to 48 hours. This approach will allow the brand to maintain its presence in California’s market without the burden of physical storefronts.
California’s minimum wage is currently set at $16.50 per hour, positioning it as the highest in the nation. Additionally, the state has been ranked as the most expensive locale for business startups, a fact that played a crucial role in Lemonis’s decision-making process. The high taxation levels, extensive regulatory requirements, and elevated wages are all considered barriers to business growth in the Golden State.
Prior to declaring bankruptcy in 2023, Bed Bath & Beyond had operated over 300 locations nationwide. Now owned by Beyond Inc., which encompasses buybuy BABY and Overstock.com, the brand aims to open approximately 300 smaller retail locations throughout other parts of the United States over the next two years. However, California is not on this list.
Lemonis, well-known for his expertise in transforming businesses, is looking to revitalize the Bed Bath & Beyond brand. His social media presence, with 1.3 million followers on Instagram, has proven effective for gathering public input on potential expansion locations, as he recently solicited suggestions for future store openings.
The response from California’s government was unexpected, with representatives expressing surprise regarding Bed Bath & Beyond’s interest in revitalizing its operations after the bankruptcy. This decision reflects a broader trend, in which several companies, including Brightpoint Ventures, are vacating California for states perceived as more favorable to business conduct, such as Florida.
In summary, while Bed Bath & Beyond seeks to reclaim its footing in the retail landscape, its decision to forgo openings in California highlights ongoing concerns regarding the state’s ability to support business growth and sustainability.
FAQ
Why won’t Bed Bath & Beyond open new stores in California?
Marcus Lemonis has cited the state’s overregulated, expensive, and risky business environment as significant challenges that deter new store openings.
How is Bed Bath & Beyond performing after its bankruptcy?
The company is focusing on expansion outside of California and plans to open about 300 smaller locations across the U.S. over the next two years.
Will California customers be able to purchase products from Bed Bath & Beyond?
Yes, California customers can order Bed Bath & Beyond products online with deliveries available within 24 to 48 hours.
What is the minimum wage in California?
The minimum wage in California stands at $16.50 per hour, which contributes to the high operational costs for businesses.
Key Features Overview
| Key Feature | Details |
|---|---|
| New Store Openings | No new openings in California |
| Recent Opening | First Bed Bath & Beyond Home store in Nashville, TN |
| Products Availability | Online purchasing with delivery options |
| Minimum Wage in CA | $16.50 per hour |
| Future Expansion Plans | Approximately 300 smaller locations in other states |
Deeper Dive: News & Info About This Topic
- USA Today: California Governor Newsom on Bed Bath & Beyond
- Wikipedia: Bed Bath & Beyond
- KMPH: Bed Bath & Beyond Exits California
- Google Search: Bed Bath & Beyond California
- Newsweek: Bed Bath & Beyond and California Store Openings
- Encyclopedia Britannica: Business
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