At Home is preparing to close its Peoria storefront and 25 other “underperforming” locations as part of recently filed Chapter 11 bankruptcy proceedings, according to court documents.
The national home décor brand – headquartered in Coppell, Texas – boasts roughly 260 locations across 40 states, including nine in Illinois. However, the company and various affiliates filed voluntarily petitions “for relief under Chapter 11 of the Bankruptcy Code” on June 16.
At Home has already shuttered six locations over the past 12 months. Now, court documents said the company has “determined that it is appropriate to commence closings of 26 underperforming brick-and-mortar stores, with the potential to close additional underperforming stores in the future.”
Listed among the coming closures is the location at 5203 W. War Memorial Drive in Peoria – which opened at The Shoppes at Grand Prairie in late June 2022. A storefront in Crestwood, Illinois, is also set to close.
At Home expects to complete the initial closures by Sept. 30.
A customer FAQs section on https://www.athomerestructuring.com/ said patrons will be able to use reward dollars and gift cards at stores slated to close for 14 days after the court approves the closing process. Customers can continue to use both online and at remaining locations.
All sales at affected stores will be final, according to the page.
According to court documents, the company has “faced a challenging commercial environment brought on by both broader economic and retail-specific market pressures” in recent years. The documents highlighted a drop in foot traffic, rising interest rates, “concerns over unsustainable customs costs resulting from increased tariffs,” increased competition and other challenges.
At Home Group Inc. announced it had entered into a Restructuring Support Agreement with lenders on June 16. A press release about the restructuring said it will “eliminate substantially all of the Company’s nearly $2 billion in funded debt and provide a capital infusion of $200 million to support the Company through its restructuring process and beyond.”
This article originally appeared on Journal Star: Home decor brand to close Peoria storefront and other ‘underperforming’ locations
Reporting by Cassidy Waigand, Peoria Journal Star / Journal Star
USA TODAY Network via Reuters Connect
