Kmart is shutting down its final large store in the contiguous United States, as reported by employees to CBS MoneyWatch, marking the end of an era for what was once a leading discount retailer in America.
Kmart is set to close its store at Bridgehampton Commons Mall in Bridgehampton, New York, on October 20, according to two employees at the location. This site stands as the retailer’s last full-size outlet in the United States. Kimco Realty, the entity behind Bridgehampton Commons, has officially announced that Kmart will be departing from the shopping center.
A spokesperson for Transformco, the parent company of Kmart, has yet to respond to the inquiry.
The retail chain will maintain a smaller store presence in Miami, Florida. The company has a presence in both Guam and the U.S. Virgin Islands.
Kmart launched its inaugural store in Garden City, Michigan, back in 1962. Twenty years back, the company boasted 1,400 stores throughout the U.S., yet it faced declining sales due to increasing competition from major players like Costco and Walmart, as well as the rise of online shopping.
A significant merger in 2005 with another struggling retail brand, Sears, orchestrated by hedge fund manager Eddie Lampert, did not succeed in stopping the decline.
In 2023, a significant number of retailers, such as Bed, Bath & Beyond, Rite Aid, CVS Health, and Foot Locker, closed a total of 4,600 locations, marking an 80% increase compared to the prior year.