Listen to this articleAs part of a larger turnaround effort aimed at boosting sales, REI Co-op plans to close three stores, including one in New Jersey.
In addition to winding down the Paramus location by the first quarter of 2026, the Seattle-based retailer will shutter its sites in Boston and New York City by the end of that year.
In a statement to NJBIZ, an REI spokesperson said, “We are deeply grateful to our teams, our members and customers, and the stores’ communities for their support over the years. As markets and customer needs evolve, we must adapt to position the co-op for long-term success. We will continue serving members and customers at these locations until closing, and at our other stores across the New York and Boston regions.”
News of the pending closures come days after REI Chief Executive Officer and President Mary Beth Laughton laid out a new three-year strategic plan to help guide the company back to growth. As part of “Peak 28: Ascending Together,” the retailer will focus on “building trust with consumers, product leadership, elevated service, and a revamped membership program.”
According to the co-op’s latest financial report, REI saw a 6.2% revenue decline in 2024 to $3.53 billion. That followed a 2.4% drop in 2023.
Outdoor obstacles
Laughton, a former Nike executive, said, “The last few years have been challenging, not just for REI but for the greater outdoor industry. And yet I remain hopeful. The co-op is a special place made up of 14,000 passionate employees and 25 million members united by a shared sense of purpose. It’s this community, and the incredible work it does in support of our public lands and the inclusive future we seek to build that first drew me to REI.”
A group of climbing enthusiasts founded REI in 1938. The retail outpost sells outdoor equipment, apparel and footwear for activities such as camping, hiking, climbing, cycling and running. Additionally, it offers travel gear and fitness products.
REI’s national footprint of 195 stores also includes local stores in Princeton, East Hanover and Marlton.
In Paramus, the 14-year-old store sits on property adjacent to Bergen Town Center. Urban Edge Properties recently sold the site for $25 million. A joint venture between Russo Development LLC and KRE Group is expected to redevelop the parcel into a complex with 426 apartments and two retail spaces.
