The Container Store location in Gaithersburg, Maryland, which was slated to be converted to a co-branded concept with Bed Bath & Beyond, will now permanently close.
The store, located at 201 Ellington Blvd., will shutter on July 18, according to a company spokesperson. That store was among a list of nearly 100 Container Store locations set to take on the co-branded concept with Bed Bath & Beyond.
“The company has no other closures to announce at this time, and the Bed Bath & Beyond rollout is still on track across all 97 locations of The Container Store. Product is arriving in stores daily,” the spokesperson said.
The Gaithersburg store is less than 10 miles away from The Container Store in Rockville, Maryland, which is still on track to be converted to a co-branded location with Bed Bath & Beyond.
The retailers’ first co-branded location opened last month in Fort Worth, Texas. The store combines the organizational elements The Container Store is known for, as well as home items from Bed Bath & Beyond.
“By bringing together the strengths of these two iconic brands, we’re creating a more connected shopping experience that combines inspiration, organization, solutions and value for customers across every room in the home,” Amy Sullivan, president of Bed Bath & Beyond Inc., said in a statement at the time.
Bed Bath & Beyond Inc. in early April announced plans to acquire The Container Store — as well as the company’s Sweden-based Elfa and Chicago-based Closet Works businesses — for about $150 million in stock and convertible notes. The deal is expected to close next month.
The deal is part of a string of other acquisitions Bed Bath & Beyond has pursued in recent months, including The Brand House Collective (formerly Kirkland’s Home), Cabinets To Go owner F9 Brands, installation and renovation services companies Installed Right and SFV Services and, most recently, real estate services platform Fathom Holdings.
The acquisitions in part have allowed Bed Bath & Beyond to reenter physical retail after shuttering its fleet of stores in bankruptcy and initially operating online only after Overstock acquired its intellectual property in 2023.
Bed Bath & Beyond Inc. has been executing on a strategy that focuses on three pillars: omnichannel retail and commerce; digital, financial, insurance and blockchain services; and beyond home, which includes an AI-powered home operating system.
In its most recent quarter, the home goods company reported Q1 net revenue increased nearly 7% year over year to $248 million, in what the company deemed its first quarter of “significant revenue growth” in 19 quarters. Operating loss improved more than 20% to $18.2 million, while net loss narrowed nearly 60% to $16.4 million.
