Big Lots! opened its doors at 1611 E. Hatch Road in October 2023 and is getting ready to close.

In early September the Ohio-based retail chain filed for Chapter 11 bankruptcy protection and ordered the closing of 390 stores, including 48 in California.

“In 2024, the U.S. economy has continued to face macroeconomic challenges, including elevated inflation, which has adversely impacted the buying power of our customers,” the bankruptcy filing from Big Lots read.

California has 109 Big Lots stores, second only to Texas (116) in the nation.

“Though the majority of our store locations are profitable, we intend to move forward with a more focused footprint,” said Bruce Thorn, the retailer’s president and CEO.

The company noted that core customers have cut their discretionary spending on home and seasonal products, which make up a large portion of Big Lots’ revenue. 

The private equity firm Nexus Capital Management is acquiring “substantially all” of Big Lots stores and business operations. During the process, its locations and website will remain open for shopping.

Big Lots has blamed several economic factors for its bankruptcy, including high inflation and interest rates which has triggered changes to customers’ purchasing habits. Customers are seeking out value – but not necessarily lower costs so dollar stores have been struggling while Walmart and Amazon sales have been booming. It’s also why McDonald’s has been struggling while casual chains like Applebee’s have been growing.

In the past 12 months, Big Lots has occupied the western half of the former original Raley’s store building while Grocery Outlet Bargain Market has occupied the eastern half. The building was last used as Ranch San Miguel Market.

The mega retail chain began slapping banners across many of its locations websites stating “Closing This Location” offering a “Closing Sale” for many of its already low-priced items.