By Joshua Burd
Party City is set to close its roughly 700 stores nationwide, including two dozen in its home state of New Jersey, as the struggling retailer prepares to go out of business.
Based in Woodcliff Lake, the company on Saturday announced that it has begun to wind down its retail and wholesale operations after nearly 40 years and after succumbing to “an immensely challenging environment driven by inflationary pressures on costs and consumer spending, among other factors.” It also said it was filing for Chapter 11 bankruptcy protection for the second time in two years.
“These proceedings follow the Company’s 2023 restructuring through which (Party City Holdco Inc.) eliminated nearly $1 billion in debt, among other things,” the company wrote in statement Saturday. “As with many other retailers, macroeconomic headwinds more recently proved too severe for the Company to overcome.
“PCHI is grateful to its team members for their commitment over the years and is retaining more than 95 percent of its 12,000 employees for some time to assist with the wind down process. The Company thanks its customers for their business and appreciates the support it has received from its valued partners.”
According to its website, Party City’s footprint in New Jersey includes 25 stores and stretches from Paramus in Bergen County to Mays Landing in Atlantic County. The company in 2021 also announced that it had leased 208,911 square feet of office space for a new headquarters at 100 Tice Blvd. in Woodcliff Lake, under a highly touted deal that allowed it to consolidate teams that were spread across Rockaway and Elmsford, New York.
Originally founded in East Hanover, Party City has been the largest retailer of party goods in the U.S., Canada and Mexico. Published reports have said it would complete its store closings by February, while the company on Saturday noted that, during the going out of business sales, shoppers will be able to take advantage of deals and deep discounts on merchandise while supplies last.
Signature Acquisitions details lease with Party City at 209,000 sq. ft. Woodcliff Lake building
