JCPenney Continues US Store Reductions, Closes California Location
The department store chain has shut down another anchor store in a California mall, part of a broader national contraction.
JCPenney is continuing to reduce its national store count with the closure of its longtime location at the Stoneridge Shopping Center in Pleasanton, California. The store, which had been a fixture since the 1980s, permanently closed in February after lease renewal negotiations failed.
A JCPenney spokesperson stated that the company was unable to continue with the existing lease terms and could not secure a suitable alternative location in the market. The company expressed gratitude to its employees and customers at the Pleasanton store.
The closure in Pleasanton is part of a wider trend of JCPenney downsizing its retail footprint across the country. Earlier in 2026, the company also closed stores at Seminole Towne Center in Sanford, Florida; Ford City Mall in Chicago; Rivergate Mall in Goodlettsville, Tennessee; and Springfield Town Center in Springfield, Virginia.
Additionally, the JCPenney store at Ross Park Mall near Pittsburgh, which had operated for nearly 40 years, recently closed after failing to reach a lease agreement. At its peak in the 1970s, JCPenney operated over 2,000 stores. By 2020, that number had decreased to 846 stores prior to its Chapter 11 bankruptcy filing. The chain currently operates approximately 640 stores nationwide.
Following its acquisition by Simon Property Group in a $1.75 billion deal in 2020, JCPenney has faced challenges with expiring mall leases and shifting consumer foot traffic, leading to the closure of underperforming or high-rent locations. The company's financial performance has also shown signs of strain, with net sales reportedly falling more than 8% year-over-year to $1.3 billion in the second quarter of 2026. Analysts noted that this sales dip represents a significant loss of market share, even as the overall department store market grew during the same period.
Despite these closures, JCPenney is exploring avenues to boost its business, including the launch of a new online marketplace and focusing on categories like beauty, jewelry, home, and activewear, which have shown stronger performance.