It finally happened. After 82 years of being the place where you could touch every bolt of flannel and lose an hour in the button aisle, the doors have locked for good. It wasn’t just a rumor or a "downsizing" this time. By May 30, 2025, the last of the roughly 800 locations nationwide finished their liquidations and went dark. If you walk past your local shopping center today, you’re likely seeing those familiar green-and-white signs being peeled off the glass, or maybe a Crunch Fitness is already moving in to fill the massive footprint.
Honestly, the end was messy. It wasn't a clean break.
For many crafters, Joann was more than a store. It was where you went for that one specific shade of Big Twist yarn at 8:00 PM because you ran out mid-blanket. It’s where cosplayers spent hundreds on EVA foam and quilters argued over the best rotary cutters. Seeing the shelves go bare during those final 90% off sales was, frankly, a gut punch for the DIY community.
Why the Joann fabric store closing actually happened
Everyone wants to blame "online shopping," but that’s only half the story. The truth is way more corporate. Joann was drowning in about $1.2 billion of long-term debt by the end of 2023. They tried to fix it. They really did. They filed for Chapter 11 bankruptcy in March 2024, hoping to shed $500 million in debt and keep the lights on as a private company.
It didn't stick.
By January 15, 2025, they were back in court for a second bankruptcy filing. That’s almost unheard of in such a short window. The "retail Darwinism" we hear experts like Ryan (from various retail studies) talk about caught up to them. They were squeezed by rising tariffs on imported fabrics, a massive drop in "pandemic-era" crafting hobbies, and high rent costs that landlords refused to budge on once the COVID-era concessions ended.
The failed auction and the liquidation
The plan wasn't always to close everything. Initially, the company wanted to "right-size" by shuttering about 500 underperforming locations. They hoped to find a buyer for the remaining 300. But the auction in late February 2025 didn't go as planned. Instead of a savior coming in to keep the brand alive, a group called GA Group (and the Prepetition Term Loan Agent) took the lead.
They weren't interested in selling fabric. They were interested in the assets.
By February 24, 2025, the announcement hit like a ton of bricks: every single store was going to liquidate. The timeline moved fast. Most stores were empty by the end of April, and the absolute final deadline was May 31, 2025.
The big "Michaels" twist
If you’re looking for your favorite Joann brands now, you won't find them at a physical Joann store, but they haven't totally vanished. In June 2025, Michaels stepped in and bought the intellectual property and private labels.
Basically, Michaels saw a huge opportunity to scoop up the "fabric people." They’ve started rolling out Knit and Sew Shops inside their existing stores. They even snagged the Big Twist yarn brand, which was a Joann exclusive for years. It’s a bit weird seeing it on a different shelf, but at least the yarn didn't go extinct.
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What shoppers got wrong about the sales
During the final weeks, the misinformation was everywhere. People were posting on TikTok that stores were closing "in eight days" or that gift cards were already worthless.
Here is what actually went down:
- Gift Cards: They worked in-store until the very end, but the online portal was shut down early in the bankruptcy process.
- Returns: Once the "Going Out of Business" signs went up, everything became final sale. No exceptions.
- The 90% Off Myth: While some items did hit 90% off, the "good stuff"—the high-quality quilting cottons and name-brand sewing machines—was usually gone by the time discounts hit 40% or 50%.
Life after Joann: Where do we go now?
The loss of Joann leaves a massive hole, especially in rural areas where it was the only dedicated fabric shop for 50 miles. If you’re staring at an unfinished project and wondering where to turn, here’s the landscape in 2026:
- Michaels: Now the "official" successor for many Joann house brands. They’ve drastically expanded their fabric-by-the-yard selection online and in select physical "Knit and Sew" hubs.
- Hobby Lobby: Still a major player for upholstery and home decor fabric, though their selection of apparel fabric remains hit-or-miss.
- Walmart: They’ve actually started reinvesting in their craft sections in some regions, bringing back more fabric bolts to capture the abandoned Joann customer base.
- Independent Shops: This is the silver lining. Local quilt shops (LQS) are seeing a resurgence. They can’t compete on price, but for high-end cottons and community, they are the new frontline.
The Joann fabric store closing marks the end of an 82-year run that started with German immigrants in Ohio back in 1943. It’s a reminder that even the giants aren't safe when debt loads become unmanageable. If you have leftover Joann patterns or branded notions, hold onto them—they’re officially vintage now.
For those still looking to fill their stash, the best move today is to check the new Michaels dedicated landing pages for former Joann shoppers. They are actively stocking the specific thread counts and yarn weights that used to be the "green store" staples. You can also look into online wholesalers like Fabric Wholesale Direct or Mood Fabrics, which have become the primary source for many professional sewists since the big box options dwindled.
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Next Steps for Crafters:
Check the "Store Locator" on the Michaels website to see if your local branch has been converted into a Knit and Sew Shop. These locations carry the bulk of the former Joann private label brands you’re likely looking for.