REI Co-op has announced the impending closure of its store in Paramus, New Jersey, part of a broader strategy affecting locations in New York City and Boston. This move comes as the company faces declining sales and seeks to adapt to evolving market conditions.
Store Closures Details
The Paramus store, located within the Bergen Town Center shopping center, will cease operations in the first quarter of 2026. Closures in SoHo, New York City, and Boston are scheduled for later that same year.
Company Statement
In an official statement, REI expressed gratitude to its teams, members, and the communities that supported these stores. “After thoughtful consideration, we have made the difficult decision to close our Paramus, N.J. store and locations in Boston and SoHo, NYC,” the statement read. The company emphasized its focus on long-term success amidst changing customer needs.
Impact of Sales Decline
The closures are a reaction to a significant revenue decline. REI reported a 6.2% drop in revenue for 2024, totaling $3.53 billion. This follows a previous decline of 2.4% in 2023.
REI’s Business Landscape
- REI currently operates 195 stores: 193 REI locations and two REI Re/Supply stores.
- The Paramus store opened in August 2011.
- Future operations will continue at other locations in the New York and Boston regions until these closures are finalized.
This decision forms part of REI’s effort to streamline its operations in the face of shifting consumer preferences and market dynamics.
