Business & Finance

Starbucks to close 250 coffeehouses across North America

Starbucks says it will close approximately 250 coffeehouses across North America as part of its Back to Starbucks turnaround strategy, with affected workers offered transfers or severance where possible.

starbucks closures: Starbucks to close 250 coffeehouses across North America

Starbucks closures are expanding across North America, with the coffee chain announcing that approximately 250 coffeehouses will shut later this week.

The company said on September 24, 2026, that the closures represent about 1 per cent of its more than 18,000 North American coffeehouses.

Starbucks has not released a public location-by-location list or a separate breakdown showing how many of the affected stores are in Canada.

Why Starbucks is closing the coffeehouses

The company said it reviewed its North American coffeehouse portfolio to identify locations that could not consistently deliver the customer and employee experience targeted under its Back to Starbucks strategy.

It also identified stores where management did not see a clear path to acceptable financial performance.

Starbucks chief operating officer Mike Grams said the review showed that some locations continued to underperform despite broader improvements in the North American business.

The closures are part of a wider effort to concentrate investment on coffeehouses that can support warmer designs, faster service and a stronger in-store experience.

What affected Starbucks workers can expect

Starbucks said it is speaking directly with employees at the affected coffeehouses.

The company said it will offer transfers to other Starbucks locations wherever possible.

Employees who cannot be placed in another coffeehouse will receive severance support, according to the company’s announcement.

Store-level details may become clearer as employees are notified and individual locations complete their final operating days.

How this compares with earlier Starbucks closures

This is the second significant round of closures tied to Starbucks’ current turnaround strategy.

In an earlier restructuring announcement, Starbucks said it was closing coffeehouses that could not provide the physical environment expected by customers or did not have a viable path to financial performance.

The company’s 2025 annual report said the broader restructuring plan was expected to be completed during fiscal 2026 and included store closures, lease-related costs and employee separation expenses.

Starbucks also reported in a regulatory filing that 247 stores had been closed during the first three quarters of fiscal 2026 under its previous restructuring plans.

The newly announced 250 closures are separate from that earlier figure and show that the company is continuing to reshape its physical network.

What the closures mean for customers

Customers whose neighbourhood coffeehouse is affected will be directed to nearby Starbucks locations, the company said.

The impact will vary by market because some communities have several nearby stores while others depend on a single location.

Customers should check the Starbucks app or the company’s store locator before making a trip if their usual store has reduced hours or has stopped accepting orders.

Starbucks said it remains committed to expanding in North America even as it closes stores that do not fit its current operating and financial goals.

What happens next

The company is accelerating plans to upgrade 1,500 coffeehouses and continue rolling out its Green Apron Service operating model.

Starbucks said it is also developing a pipeline of new coffeehouses, meaning the latest closures are intended to shift the network rather than mark a complete retreat from physical locations.

The next key details will be the final list of affected locations, the number of Canadian stores involved and whether employees are transferred to nearby coffeehouses.

Frequently Asked Questions

How many Starbucks stores are closing?

Starbucks says approximately 250 coffeehouses across North America will close later this week.

How many Starbucks locations in Canada are closing?

Starbucks has not publicly released a separate Canada-specific number.

Why is Starbucks closing these stores?

The company said the affected locations do not consistently meet its target customer experience or lack a clear path to acceptable financial performance.

Will Starbucks employees lose their jobs?

Starbucks says it will offer transfers wherever possible and provide severance support to employees who cannot be placed in another coffeehouse.

Are more Starbucks stores expected to open?

Yes. Starbucks says it remains committed to North American growth while upgrading existing coffeehouses and developing new locations.

Fact-Checked: Key figures and the closure rationale were checked against Starbucks’ official announcement and regulatory filings.

Disclaimer: Individual store hours, closure dates and employee arrangements may vary by location and can change as Starbucks completes its notifications.

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