Walgreens, Macy’s and Kohl’s to Close Stores in Bay Area

Walgreens, Macy’s and Kohl’s will shutter nearly 20 underperforming stores in nine cities across the Bay Area.

The Illinois-based Walgreens will close a dozen drugstores in San Francisco, the San Francisco Standard reported.

The New York-based Macy’s will close two department stores in Corte Madera and Newark, the San Francisco Business Times reported.

And Wisconsin-based Kohl’s will close five department stores in Fremont, Mountain View, Napa, Pleasanton and San Rafael, according to the Business Times.

Walgreens announced the closure of 12 stores in San Francisco by the end of February, citing rising costs from regulatory and reimbursement pressures.

The affected locations include high-theft stores and a Market Street site where a security guard fatally shot suspected shoplifter Banko Brown in 2023. Although some closures are in markets with known crime issues, Walgreens insists that crime is not the primary factor in the decision.

A company spokesperson highlighted challenges in managing rent, staffing and supply expenses that have made it hard to maintain the targeted stores. In October, the chain announced it would shutter 1,200 stores across the U.S.

The 12 stores to be closed are at 1201 Taraval Street; 3201 Divisadero Street; 1363 Divisadero Street; 825 Market Street; 1750 Noriega Street; 5280 Geary Boulevard; 1524 Polk Street; 1301 Franklin Street; 1189 Potrero Avenue; 135 Powell Street; 1630 Ocean Avenue and 5300 Third Street.

Macy’s and Kohl’s are also scaling back operations across the Bay Area.

Macy’s will close two stores as part of a broader plan to close 66 locations nationwide. The closures contribute to plans announced early last year to eliminate 150 U.S. locations in response to consumer shifts away from big-box stores to smaller formats supplemented by e-commerce.

They include stores at the Village at Corte Madera at 1400 Redwood Highway, in Corte Madera; and the NewPark Mall at 200 Newpark Mall Road in Newark. Most of the Macy’s locations are expected to close before March.

The company also plans to eventually sell its 700,000-square-foot flagship store in San Francisco’s Union Square.

Kohl’s, meanwhile, is shuttering five “underperforming” Bay Area stores by April as part of a larger strategy to close 27 stores nationwide as the retailer focuses on more profitable locations.

The five stores to close include 43782 Christy Street in Fremont; 350 Showers Drive in Mountain View; 1116 1st Street in Napa; 4525 Rosewood Drive in Pleasanton and 5010 Northgate Drive in San Rafael.

— Dana Bartholomew