If you’ve driven past your local shopping center lately and seen those giant "Store Closing" banners plastered over the green Joann logo, you aren't alone. It’s a gut-punch for anyone who spent their Saturday mornings wandering aisles of quilting cotton or hunting for that one specific shade of embroidery floss. But with the news cycle being what it is, there’s a lot of confusion floating around. People are asking: Is Joann Fabrics closing all stores for good, or is this just another corporate restructuring shuffle?
Honestly, the situation is pretty final.
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As we move into 2026, the short answer is that the Joann Fabrics we grew up with—the brick-and-mortar powerhouse of the crafting world—is gone. After a rollercoaster of financial drama, including two bankruptcy filings in a single year, the company ultimately moved into a full liquidation phase. By the summer of 2025, the last remaining storefronts locked their doors for the final time.
The Reality of Is Joann Fabrics Closing All Stores
It feels surreal to say it, but yes, the physical stores are a thing of the past. For a long time, the company tried to "right-size." They talked about closing 500 stores while keeping about 300 of the "best" ones open. That was the plan in early 2025. You might even remember seeing lists of specific locations that were safe.
But things went south. Fast.
The auction process didn't go the way the board hoped. They were looking for a "going concern" buyer—someone to swoop in, pay off the debt, and keep the lights on at those remaining 300 shops. Instead, the winning bid came from a group including GA Group and the company’s lenders. Their plan wasn't to save the stores; it was to wind them down.
What happened to the inventory?
By May 31, 2025, the liquidation was complete. Every bolt of fabric, every Cricut machine, and even the shelving units were sold off. If you walk into a former Joann location today in early 2026, you're likely to see a Spirit Halloween, a Hobby Lobby, or just an empty shell waiting for a new lease.
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Why Did a Crafting Giant Collapse?
You’d think that with the DIY boom during the pandemic, Joann would be swimming in cash. They actually were for a minute. In 2020, people were making masks and taking up knitting like their lives depended on it. The company added 9 million new customers in a single year.
So, what broke?
Basically, it was a "mountain of debt" meeting a "sluggish economy," according to experts like Neil Saunders of GlobalData. Joann had been carrying billions in debt for years, much of it a hangover from being owned by private equity firm Leonard Green & Partners. When you’re paying that much interest, you don't have money to fix the roof, update the website, or—most importantly—keep the shelves stocked.
- Inventory Ghost Towns: Shoppers started noticing the "empty shelf" syndrome back in 2023. If you can't find the thread you need, you go to Amazon or Michaels.
- Shipping Costs: Because so much of their fabric is imported, the spike in ocean freight costs post-pandemic absolutely shredded their profit margins.
- The Private Equity Trap: Critics on platforms like Reddit and business analysts alike pointed out that the company was essentially "hollowed out" by interest payments, leaving it with zero room for error when consumer spending slowed down.
Can You Still Buy From Joann Online?
This is where it gets a little interesting. While the stores are dead, the brand was too valuable to just let it vanish into thin air.
In June 2025, Michaels (the big rival) stepped in. They didn't buy the stores—they didn't want the expensive leases or the old buildings. Instead, they bought Joann's intellectual property and their private label brands.
The Michaels Connection
If you're looking for that specific brand of yarn or a Joann-exclusive fabric line, you'll likely find it at Michaels now. They've been rolling out these products into their own stores and onto their website throughout the latter half of 2025 and into 2026.
As for the Joann.com website? It’s basically a ghost of its former self. While there was some talk of it becoming an online-only boutique, most of that traffic is now being redirected or absorbed by the companies that bought the assets.
What This Means for Crafters in 2026
The loss of Joann isn't just about losing a place to buy buttons. It’s a massive hole in the "maker" community. For many small towns, Joann was the only place to get fabric that wasn't at a big-box store like Walmart.
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If you're looking for where to go now, you've basically got three tiers of options:
- The Big Box Survivors: Michaels is currently the king of the hill, having absorbed a lot of Joann's business. Hobby Lobby is still around, though their selection can be hit-or-miss depending on your specific craft.
- The Online Giants: Sites like Spoonflower or https://www.google.com/search?q=Fabric.com (which is owned by Amazon) have filled the void for high-end or specific textiles, though you obviously lose the "touch and feel" aspect of shopping.
- Local Quilt Shops: This is the silver lining. Many small, independent fabric boutiques have seen a surge in foot traffic since Joann shuttered. They're usually more expensive, but the quality and expertise are miles ahead.
Actionable Steps for Former Joann Shoppers
Since there’s no point waiting for a grand reopening that isn't coming, here is how to handle the transition:
- Check Your Gift Cards: If you still have a Joann gift card tucked in your junk drawer, it is likely worthless. The deadline to use them passed in late February 2025 during the bankruptcy proceedings. You can try reaching out to the bankruptcy administrator (Kroll), but don't hold your breath for a refund.
- Pivot to Michaels for Exclusives: If you were a die-hard fan of Joann’s Big Twist yarn or their specific quilting collections, start searching the Michaels app. They’ve integrated much of that inventory.
- Support the Locals: If you have an independent fabric store within a 30-mile radius, go there. They are the last line of defense for the sewing community.
- Watch the Real Estate: Keep an eye on your local Joann building. Often, when a major anchor like that leaves, the shopping center will offer steep discounts to new businesses—this might be where a new, smaller craft collective or local shop pops up.
The era of the "big green fabric box" is officially over. It’s a weird, quiet end for a company that survived 82 years, but the crafting world is already moving on. Whether it's through Michaels or a local boutique, the sewing must go on—just without the Joann coupon app notifications.
To stay updated on what’s happening with your favorite retail brands, you should regularly monitor business news outlets or follow retail analysts on social media to catch these shifts before the "Store Closing" signs actually go up.