What’s going on with JCPenney? If you’ve been keeping an eye on the retail landscape lately, you may have heard that JCPenney just pulled off a massive deal — selling 119 stores for nearly $1 billion. Yep, you read that right. A company that’s been a staple in American malls for generations is making another major move, and it’s making waves everywhere from SouthPark Mall to stores across 35 states.
Let’s break down exactly what this means, especially if you’re a shopper, a local business owner, or just curious about what the heck is happening to our department stores.
Why Did JCPenney Sell 119 Stores?
So, first things first — why did JCPenney sell so many stores? The answer lies in its rocky financial past. The retail giant filed for bankruptcy back in 2020, hit hard by changing consumer habits and the COVID-19 pandemic. Since then, it’s been trying to claw its way back to stability.
These 119 stores were held in a trust called Copper Property CTL, created by JCPenney’s lenders during the bankruptcy reorganization. Fast forward to July 25, 2025, and boom — Onyx Partners, a Boston-based private equity firm, steps in with $947 million in cash to scoop up the properties.
Who Bought the JCPenney Stores and Why?
The buyer here is an affiliate of Onyx Partners Ltd., a private equity firm known for investing in real estate assets. Their move isn’t about running a retail business — it’s about owning the properties and earning rent.
That’s right. These stores are under net leases, which means JCPenney keeps operating them, paying rent and all operating expenses. Onyx just becomes the landlord — think of it as buying the house and letting someone else continue living in it, rent included.
Are the Sold Stores Closing? Here’s the Good News
If you’re panicking about your local JCPenney shutting its doors, take a breath — all 119 stores will stay open for now. In fact, they’re still very much a part of JCPenney’s footprint.
That includes the beloved JCPenney at SouthPark Mall, which is still welcoming shoppers, running sales, and helping you find the perfect outfit or home item. This move doesn’t mean goodbye — it’s more like a change of landlords behind the scenes.
What This Means for SouthPark Mall Shoppers
Let’s talk local. The SouthPark location is one of the 119 stores involved in the deal. If you’re a frequent shopper there, here’s the scoop:
- Your experience won’t change. Same staff, same products, same store hours.
- The mall will likely benefit from continued traffic. With JCPenney staying put, it helps anchor the retail mix and keeps foot traffic healthy.
- But longer-term? It depends on how JCPenney performs. If sales stay strong, we’re golden. If not, well… we’ve seen malls reinvent themselves before, right?
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How Did We Get Here? A Quick History Lesson
Back in the day, JCPenney was a retail titan, with stores dotting nearly every major shopping center in the country. But between online shopping’s rise and some corporate missteps, things got messy. The 2020 bankruptcy hit hard, leading to:
- Over 200 store closures
- A change in ownership (now run by Simon Property Group and Brookfield Asset Management)
- A leaner footprint, with around 650 stores left operating today
This recent $1 billion deal is another step in that restructuring journey.
What Happens to the Money From the Sale?
The funds from this big-ticket sale won’t go into flashy renovations or new product lines. Instead, the $928M to $932M (after closing costs) will be used to pay off JCPenney’s creditors — those who helped bail the company out during its tough times.
So while the stores may keep running business as usual, the financial side is working quietly in the background to clean up some old messes.
A Closer Look: Where Are These Stores Located?
Out of the 119 stores sold, here’s a rough breakdown:
- 21 locations in Texas
- 19 in California
- And the rest scattered across 35 U.S. states
It’s a massive national footprint, including spots in Connecticut and across various urban and suburban hubs.
Does This Mean More Store Closures Ahead?
Not necessarily. But here’s the honest truth: the retail world is unpredictable. In February 2025, JCPenney announced seven additional store closures, which wrapped up by May. That doesn’t mean we’ll see more closures next month — but it does mean they’re keeping an eye on underperforming stores.
Still, for now, the message is clear: JCPenney is committed to staying operational in the majority of its current locations.
How Are Shoppers Reacting?
Reactions have been mixed, but mostly hopeful. Many loyal JCPenney customers are just happy the stores are staying open. Some see it as a smart business move to keep things afloat. Others worry about long-term stability — and that’s fair.
But if you love shopping at JCPenney, the best thing you can do? Keep shopping. Seriously, your support helps keep these doors open.
What Comes Next for JCPenney?
Well, that’s the billion-dollar question (literally). Here’s what to watch:
- Whether Onyx Partners continues to expand its retail real estate investments
- How JCPenney performs over the next few years — especially during key sales seasons
- If more properties are sold, closed, or redeveloped in the future
The bottom line: this move gives JCPenney more breathing room, but the path forward is still full of twists and turns.
Conclusion: A New Chapter, Not the End
So, is this the end of JCPenney as we know it? Not quite. This $1 billion deal is more of a reset button than a farewell. With new property owners, the same loyal customers, and a brand that’s trying to adapt to today’s world, JCPenney is navigating through a tough retail maze.
If you’re shopping at SouthPark Mall, you can breathe easy. Your favorite store isn’t going anywhere — and who knows? This deal might just help keep it around even longer.
FAQs
1. Are all 119 JCPenney stores staying open?
Yes, for now. All stores involved in the sale are operational and will remain open under the new property ownership.
2. Who bought the JCPenney stores?
A private equity firm called Onyx Partners Ltd., based in Boston, purchased the 119 stores for $947 million in cash.
3. Is SouthPark Mall’s JCPenney location closing?
No, the SouthPark location is one of the stores included in the sale but will remain open and operational.
4. Will JCPenney change its business model after this deal?
There are no announced changes to the business model. The stores will continue running as they were — same brand, same layout, same services.
5. Why did JCPenney sell its stores instead of keeping them?
The sale helps pay off debt and gives JCPenney a more manageable structure. It’s part of their post-bankruptcy financial reorganization plan.
6. Could there be more JCPenney store closures in the future?
It’s possible, especially if certain locations underperform. However, no additional closures have been announced beyond the seven already completed in May 2025.
