Starbucks is closing about 1% of its corporate-owned stores across North America, which translates to roughly 150 to 200 stores. Among the notable closures is its iconic Reserve Roastery in the Capitol Hill neighborhood of Seattle. The stores being closed are those where Starbucks found it unable to create the physical environment customers and employees expect or where there is no path to financial performance. Additionally, Starbucks is closing 80 to 90 "Pick Up" stores in more than 20 states, including Pennsylvania. The closures are part of a $1 billion restructuring plan announced by CEO Brian Niccol as part of a turnaround effort, which also includes laying off around 900 non-retail employees. The company aims to finish the fiscal year with about 18,300 stores in North America, down from 18,734 at the end of June 2025. Starbucks has not provided a detailed list of which stores exactly are closing, but the closures target underperforming locations, and the company is focusing on remodeling and improving other stores to create a warmer and more welcoming coffeehouse environment.
