Watching another major retailer file for bankruptcy in 2025 felt like a rerun we’ve all seen too many times. Unlike Bed Bath & Beyond, which liquidated entirely in 2023, or The Container Store, which is still struggling through its own bankruptcy mess, At Home actually made it out alive.
The Texas-based home décor chain officially exited Chapter 11 bankruptcy last week, keeping 229 of its original 260 locations open for business. That’s roughly 88% of their stores surviving—a legitimate win in today’s brutal retail landscape.
The $500 million rescue deal
At Home filed for bankruptcy in June, drowning in nearly $2 billion in debt. The original plan called for closing 26 stores, though that number eventually reached 31 as proceedings continued.
Then a consortium of lenders – Redwood Capital Management, Farallon Capital Management, and Anchorage Capital Advisors – swooped in with a $500 million exit financing deal. These firms now own At Home and are betting Americans still want affordable home décor.
“We are officially starting our next phase with renewed financial strength, flexibility and momentum,” CEO Brad Weston said. “We’re taking decisive actions to become more relevant, more inspiring and more connected to our customers.”
What’s closing
At Home is shuttering 31 locations total, including six non-operational stores in Saint Paul, Minnesota; Redding, California; Salem, Oregon; Everett and Lacey, Washington; and Clackamas, Oregon.
The full closure list spans coast to coast—from Arizona to New York, hitting California, Florida, Illinois, Indiana, and Texas particularly hard. These stores ran liquidation sales throughout the bankruptcy process.
But here’s the reality check: according to the company’s website, At Home “will continue to assess our current store leases with a focus on increasing profitability moving forward.” Translation? More closures could be on the way if the numbers don’t work out.
The bigger picture
At Home’s survival comes during one of the toughest periods for home goods retailers. Consumers are pulling back on discretionary spending as inflation bites, making that decorative vase seem a lot less essential.
But the pandemic taught us our homes matter, and people still want spaces that feel good without premium prices. At Home’s new owners are counting on capturing those budget-conscious decorators – you don’t drop $500 million unless you see potential.
Whether that translates to sustainable profits is a question we’ll be watching over the next few quarters.
For now, it’s genuinely good news in a retail landscape serving up depressing headlines. The 229 stores staying open and their employees get to keep going, and shoppers get another affordable home décor option.
Source: The Sun