Joann Fabrics to Close All 790 Stores After Second Bankruptcy Filing

The 82-year-old crafts retailer is liquidating assets, citing financial challenges and lack of a buyer to sustain operations.

Joann Fabrics filed for Chapter 11 bankruptcy for the second time in January 2025, following ongoing sales declines and inventory issues.
All 790 store leases and five distribution centers are being auctioned, with the bid deadline set for April 16 and the auction on April 22 in New York.
Going-out-of-business sales are underway at all locations, offering discounts up to 40% on crafting and home décor items, with most stores expected to close by May 2025.
Customers expressed frustration over the company’s decision to stop accepting gift cards after February 28 and to end personalized discounts for groups such as teachers and military personnel.
Joann’s intellectual property, furniture, fixtures, and equipment are also being sold as part of the liquidation process, with no indication of a national-scale revival.