January 10: Macy’s to Close 14 Stores in Q1 under Turnaround Plan
Macy’s confirmed macy stores closing in Q1 2026 as part of its “Bold New Chapter” retail turnaround strategy. Fourteen locations across 12 states will wind down, with clearance sales starting mid-January for about 10 weeks. Management plans to close 150 locations and focus investment on 350 core stores. The move follows strong holiday sales and aims to lift margins and improve capital efficiency. We explain the plan, the Macy’s closures list context, what customers should expect, and the key signals investors should watch this year.
What Macy’s is doing in Q1 2026
Macy’s will shut 14 stores across 12 states in Q1 2026 as the first wave in a plan to close 150 locations over time. The company will concentrate investment on about 350 core stores and digital. This initial macy stores closing step tightens the footprint, trims low-return sites, and seeks better store productivity. Management frames it as a reset toward higher-margin locations and more efficient capital use.
Clearance events begin in mid-January and are expected to run about 10 weeks at affected stores. As macy stores closing proceeds, expect progressively deeper markdowns and reduced assortments. Some services may be limited late in the sale as inventory thins. Shoppers can shift to nearby core stores and online once locations wind down, minimizing disruption to regular purchases.
Why the move now
The goal is to exit underperforming leases, lower fixed costs, and redeploy capital to the best 350 stores. That includes better staffing models, upgraded fixtures, and improved fulfillment. This aligns with a broader retail turnaround strategy that favors productive square footage and faster turns. By pruning weaker boxes, Macy’s aims to lift operating margins and simplify its real estate mix in 2026 and beyond.
Management is moving after a solid holiday season, which provides cash flow and customer momentum for change. Stronger seasonal demand offers cover to start macy stores closing while maintaining brand engagement. With traffic concentrated in top centers, the company can lean into winning locations. The plan also reduces risk from low-traffic malls that weigh on profits and require ongoing capital.
Local impact and examples
Local reports confirm select store exits, including the Grandville, Michigan location at Rivertown Crossings Mall source. Coverage also notes closures across 12 states, including New York source. These examples illustrate how macy stores closing will vary by market. Communities may look to repurpose large boxes, while Macy’s directs shoppers to stronger nearby stores and online.
If your location appears on the Macy’s closures list, plan early. Expect 10 weeks of markdowns, shrinking assortments, and rising discounts late in the sale. Use gift cards and rewards promptly. Consider buy-online options from nearby core stores to avoid stockouts. Subscribe to local updates, since macy stores closing schedules can adjust based on sell-through and lease timing.
Investor watchlist and scenarios
Expect near-term closure costs tied to inventory, severance, and lease exits. These may pressure quarterly earnings as macy stores closing progresses. Longer term, removing low-margin stores should raise average four-wall profitability and improve return on invested capital. Success depends on maintaining holiday-driven momentum while executing upgrades in the 350 core stores and scaling omnichannel service profitably.
Investors should watch comparable sales and traffic in the 350 core stores, digital penetration, inventory turns, and SG&A rate. Track gross margin mix during clearance periods, then stabilization once macy stores closing completes. Monitor lease commitments and capex shifts to high-return projects. Local market share in affected trade areas will show whether sales migrate to nearby core stores and online.
Final Thoughts
Macy’s is taking decisive steps with macy stores closing in Q1 2026, beginning with 14 locations and mid-January clearance sales that run about 10 weeks. The plan aims to improve margins, lower fixed costs, and concentrate capital on 350 core stores after a strong holiday season. For shoppers, act early on gift cards, watch markdown cycles, and shift to nearby core stores or online to avoid stockouts. For investors, balance near-term closure charges against potential productivity gains, better ROIC, and cleaner real estate exposure. Track comps in core stores, gross margin recovery after clearance, and evidence that sales migrate rather than disappear.
FAQs
How many Macy’s stores are closing in Q1 2026?
Macy’s plans to close 14 stores across 12 states in Q1 2026. This is the first wave in a broader plan to close 150 locations and focus investment on about 350 core stores. Local reports confirm examples in Michigan and New York, with mid-January clearance events lasting around 10 weeks.
When do clearance sales start and how long will they last?
Clearance events are set to begin in mid-January and run for about 10 weeks at affected locations. Shoppers should expect deeper discounts as inventory sells down, along with fewer sizes and brands late in the sale. Consider shopping early for selection, and later for the steepest markdowns.
What is Macy’s “Bold New Chapter” strategy?
“Bold New Chapter” is Macy’s retail turnaround strategy to close 150 underperforming stores and channel capital into about 350 core locations and digital. The goal is higher margins, more efficient stores, and better returns on capital. It follows a strong holiday season that supports execution and customer retention.
What should investors watch as closures progress?
Focus on comparable sales and traffic in the 350 core stores, gross margin trends through and after clearance, inventory turns, and SG&A rate. Monitor lease exit progress, capex reallocation to top projects, and local market share retention where stores close. These signals will show if the strategy is working.
Disclaimer:
The content shared by Meyka AI PTY LTD is solely for research and informational purposes. Meyka is not a financial advisory service, and the information provided should not be considered investment or trading advice.
