JCPenney’s nationwide closings include one store in the Triangle
The financial woes of retail giant JCPenney mean another blow dealt to a struggling local shopping center.
JCPenney confirmed on Thursday that one of the stores on its list of closures is its Cary Towne Center location.
A spokesperson for JCPenney told The News & Observer in an email Thursday afternoon that the store is expected to close on May 3 and that eligible employees who do not remain with the company will receive separation benefits.
“As part of a standard annual review, JCPenney can confirm that it will be closing its store located at Cary Town Center in Cary, N.C.” the statement read. “This decision is the result of an ongoing review of our store portfolio, which includes assessing locations that may not meet our required financial targets or represent an opportunity to capitalize on a beneficial real estate asset. It’s never easy taking actions that directly impact our valued associates and customers, however we feel this is a necessary business decision.
“Remaining inventory will be sold over the next several months, with the final closing day expected to take place on May 3. Eligible associates who do not remain with the company will receive separation benefits and all impacted associates may participate in an on-site career training class, which offers tips on resume writing, answering interview questions and more.”
JCPenney announced earlier in January that it would be closing at least three stores this spring, but an analyst interviewed by MSNBC earlier this week suggests the number of closings could range from 20 to more than 100 locations.
The closing of the Cary store will leave just two JCPenney stores in the Triangle, at North Hills in Raleigh and Streets of Southpoint in Durham.
The store’s next earnings report is scheduled for Feb. 28.
‘There isn’t much here anymore’
“It’s sad,” said Krysta Fitzpatrick of Holly Springs, who heard the news from a JCPenney’s clerk while shopping on Thursday. “She said she thought the store was doing OK but there isn’t enough foot traffic.”
Fitzpatrick said she shops JCPenney’s at Cary Towne Center maybe once every two months.
“It’s the closest mall, but there isn’t much here anymore,” she said. “I go to Penney’s and Belk’s when I am looking for dresses — things I am going to try on before I buy. I do a lot of online shopping, but with some things I want to touch them and see them first.”
She said she’ll now go to the JCPenney’s at North Hills.
“It’s nicer, and they have a better selection anyway,” she said. “It’s just farther for me to drive.”
Fitzpatrick said she felt bad for the employees because she knows how they feel. She worked for PacSun when the sunglasses retailer closed stores, including the one in Cary Towne Center.
“I’ve gone through it,” she said. “It’s a process.”
The store already is filled with bright yellow clearance signs left over from the holidays touting 70 percent savings. Soon they’ll be replaced with liquidation signs.
More vacancies for Cary Towne Center
Cary Towne Center already has two large vacant stores — Macy’s and Sears — which will leave Belk and Dillards as the only two anchor stores after JCPenney departs.
Swedish furniture and homegoods retailer IKEA announced plans in May 2017 to build a store at Cary Towne Center, but backed out of the deal one year later. The plan for IKEA included tearing down the Macy’s and Sears stores.
JCPenney has been an anchor store at Cary Towne Center since 1991. The shopping center originally opened as Cary Village Mall in 1979, anchored by Ivey’s (later Dillards) and Belk. The mall expanded and was renamed Cary Towne Center in 1991, when JCPenney, Sears and Thalheimers anchor stores were added.
Closure follows trouble at Sears
JCPenney rival Sears filed for bankruptcy protection in October (although there is a bid to keep the company from liquidation), and has closed or announced plans to close many of its Triangle locations.
The Sears at Crabtree Mall in Raleigh closed last summer, and the company plans to close both Durham stores — at Streets at Southpoint and Northgate Mall — in late March of this year. Auto centers in Durham were scheduled to close in January 2019.
Macy’s, Kohl’s and Nordstrom stores have also announced closures across the country. Those store closures are not in this area.
This story was originally published January 31, 2019 at 3:05 PM.
