There will be another conspicuous vacancy at the Camino Real Marketplace soon, as Linens ‘n Things has declared bankruptcy and will be shutting its doors in the coming months.
A leading retailer in home textiles, house wares and home accessories, Linens ‘n Things declared bankruptcy on Oct. 14, and will be closing the Goleta branch once a majority of its remaining merchandise has been sold. According to a press release, the branch has already started its closing sales.
The company started its downward fall in May when it filed a voluntary petition under Chapter 11 of the United States Bankruptcy Code and announced the liquidation of 120 stores. On July 28, however, Linens ‘n Things announced that it would only close 57 underperforming stores. The Goleta store was among these 57.
“While a very difficult decision,” Michael F. Gries, chief restructuring officer and interim CEO, said, “The stores that are closing are necessary given the current retail and economic climate and the need to drive the cost savings and operational efficiencies that will allow us to position Linens ‘n Things for long term growth.”
Linens ‘n Things is the closest house wares and appliance store to campus, and Kimberly Borel, a second-year business economics major, said the closure would be a nuisance.
“It’s an inconvenience, because I am always looking for appliances and that’s the best place for me to get them besides Target, which is in Ventura,” Borel said.
Store employees predict that Linens ‘n Things will stay open through the holidays, and shut its doors for good sometime in January.
Linens ‘n Things appeared in the U.S. Bankruptcy Court in Wilmington, Del. on Oct. 14 in hopes of being auctioned out, but there were no bidders. Due to the lack of a buyer, the company went to a joint venture group that includes Gordon Brothers Retail Partners, Hilco Merchant Resources, SB Capital Group, Tiger Capital Group, Hudson Capital Group and Great American Group for approximately $475.5 million.