Starbucks to Close 250 Stores Across North America

Starbucks is set to close approximately 250 coffeehouses across North America as the coffee giant continues its restructuring under CEO Brian Niccol.

The company announced the closures on September 24, saying the affected locations were identified after a review of its North American store portfolio. Starbucks said some stores were not delivering the customer and employee experience it wanted, while others did not have a clear path to achieving acceptable financial performance.

The closures represent roughly 1% of Starbucks’ more than 18,000 North American coffeehouses. The company expects most of the closures to be completed by the end of its 2026 fiscal year.

Starbucks expects the latest restructuring to cost about $300 million. About $200 million will be cash expenses, primarily related to lease-exit costs and employee separation benefits, while another $100 million will come from non-cash charges linked to the disposal and impairment of coffeehouse assets.

The company said employees at affected locations will be offered opportunities to transfer to other Starbucks stores where possible. Workers who cannot be placed elsewhere will receive severance support.

The move comes roughly a year after Starbucks closed 627 stores across North America and Europe and eliminated about 900 non-retail positions as part of its broader “Back to Starbucks” strategy.

At the same time, Starbucks is continuing to invest in stores it plans to keep. The company says it is accelerating renovations, with 1,500 North American coffeehouses expected to receive upgrades by September 30.

Starbucks also lowered its forecast for fiscal 2026 global net new store openings to about 440, down from its previous projection of 600 to 650. The company said the reduction reflects the North American closures, partly offset by additional openings in international markets.

Despite the closures, Starbucks says it remains committed to expanding its North American presence and developing new locations as part of its longer-term strategy.