- Starbucks plans to close roughly 400 stores across U.S. metro areas in 2026.
- Closures target underperforming urban locations amid remote work and rising competition.
- Around 10 percent of stores will be remodeled with a refreshed design.
Starbucks has been everywhere for decades—sometimes literally across the street from itself. But next year, that might not be the case.
According to CNN, the coffee giant is closing roughly 400 stores across major U.S. cities as part of a $1 billion restructuring plan under CEO Brian Niccol (yep, the former Chipotle guy). That includes 42 New York locations, around 20 in Los Angeles, and others spread across Chicago, San Francisco, Minneapolis, Baltimore, and beyond.
The reason? Starbucks’ once-bulletproof “there’s one on every corner” strategy just doesn’t hit as hard as it used to. Between remote work, rising costs, and local competition, the company’s urban footprint has turned into more of a liability than a bold statement.
It even lost its title as Manhattan’s largest coffee chain to none other than Dunkin’, according to the Center for an Urban Future, which documents major chain openings and closings.
The brand says it’s closing what it calls “underperforming” cafes while putting more resources into its stronger locations. Starbucks reviewed more than 18,000 stores across the U.S. and Canada to determine which would stay, close, or receive an upgrade.
As part of the plan, about 10 percent of its company-owned stores—roughly 1,000 locations—will be remodeled with updated layouts, seating, and outlets (a win for me, someone with a laptop permanently on its last leg) in an attempt to bring back that “third place” vibe it became famous for.
In some cases, the closures may actually boost business nearby. Starbucks’ former head of real estate strategy told CNN that closing lagging locations can increase sales at nearby locations, especially when customers have an easier time finding a seat or a mobile pickup spot.
It’s obviously not the end of Starbucks (far from it), but it’s definitely the end of you passing four identical green sirens in a row during your afternoon stroll. And hey, if your usual one does vanish, you might finally learn the name of the coffee shop you’ve been walking past for three years.