Rite Aid to Close All Stores Amid Second Bankruptcy Filing

Rite Aid filed for Bankruptcy the second time in in two years this past week. The national pharmacy giant first filed for Chapter 11 in October 2023, closing hundreds of stores nationwide in an effort to restructure the business and address over $2 billion in outstanding debt.

The retailer emerged from Bankruptcy in August of 2024 with roughly 1200 stores still in operation. If you’ve visited a Rite Aid stores recently, however, limited inventory, reduced hours, and scant staffing have been the norm. Not signs of a thriving enterprise.

A mere eight months after Rite Aid’s initial Bankruptcy ended, the company has filed for Chapter 11 once again. And this time, the tanking retailer plans to completely liquidate the business, closing all stores still in operation.

As the retail landscape continues its steady reinvention, similar operators, including CVS and Walgreens, have experienced parallel struggles. And many analysts predicted Rite Aid’s demise was all but inevitable.

Some of the leases will be assigned in the bankruptcy proceedings. But the majority of Rite Aid occupied spaces will soon go dark.

Are you landlord with Rite Aid as a tenant? The good news for you is this is an opportunity. Clearly, the Rite Aid approach is a dying model, and their closure clears a path to placing a new and better performing tenant.

And CORE CRE can help!

Get in touch to discuss how to lease your Rite Aid vacancy.

Contact Daniel Bahr: 323.646.5938 | daniel@core-cre.com