Bed Bath & Beyond is back in California after vowing never to return

Bed Bath & Beyond is returning to California, less than a year after the company’s president vowed not to reopen in the Golden State.

The home goods retailer will re-emerge with the rebranding of 98 The Container Store locations, including 12 stores in California, the company announced Thursday.

There are five locations in Southern California, including one in Los Angeles and another in El Segundo.

The stores will be called “Container Store + Bed Bath and Beyond,” offering both corporate and household products.

The transition will begin Friday and include the elimination of 30% of The Container Store’s categories and products. Store formats will begin to change in May.

“This is a conscious reset,” Jen Pape, senior vice president of The Container Store, said in the statement. “We are actively remodeling our stores to make room for what comes next.”

Bed Bath & Beyond once had 80 locations in malls and strip malls across California, but closed all storefronts after filing for bankruptcy in 2023.

Marcus Lemonis, the retailer’s chief executive, said in August that the state was over-regulated, expensive and created a risky business environment.

Lemonis joined a number of corporate executives in denouncing California’s business climate. Many executives, small business owners and entrepreneurs complain about the state’s high taxes and cost of living; This, combined with strict environmental regulations, can hinder commercial activities.

Lemonis, a Fox Business Network regular, said the decision to give up jobs in California was not political but rather a move to protect employees and customers.

“This is a system that makes it difficult to hire people, keep doors open, and deliver value to customers,” Lemonis wrote. A statement about X in August.

At the time, Newsom responded to Lemonis’ allegations about the state’s business climate in X.

“After it went bankrupt and closed all its stores, we, like most Americans, thought Bed, Bath & Beyond no longer existed.” He said on Newsrom X. “We wish them success in their efforts to become relevant again.”

The retailer’s inability to ignore California shows that the state, whose GDP is higher than all other states and all but three countries, is still the economic leader.

More companies have moved out of state than have moved in the last decade. But that net loss is minuscule compared to the more than 7,000 companies founded in California during that period, according to the Public Policy Institute.

Governor Gavin Newsom welcomed the retailer’s return to the state.

“With a thriving economy growing faster than any other developed nation, California always reaches out with an open hand, not a closed hand,” he said. Published on X.

Lemonis responded with a post suggesting he was receiving some form of support from the government to offset the extra costs of doing business.

“Thank you for your great encouragement,” he said. in an X post“We are happy to add it,” he added. @BedBathBeyond
“This way we can generate the revenue needed to offset higher-than-normal operating costs.”

Bed Bath & Beyond acquired The Container Store, which sells storage and organization products, in April for about $150 million in stock and convertible notes; This is part of the company’s attempt to come back from bankruptcy.

Container Store emerged from bankruptcy in early 2025 after filing in 2024.

The company did not immediately respond to a request for comment.