News Summary
REI has announced the closure of three flagship stores, including its location in Paramus, New Jersey, as part of a strategic shift amid declining revenue. This decision affects outdoor enthusiasts’ access to essential services while other locations, such as Jacksonville, will remain operational. The closures come during a challenging period for the outdoor retail market and are reflective of broader trends among retailers as they adapt to changing consumer behaviors.
Paramus, New Jersey
REI (Recreational Equipment Inc.) has announced plans to close three flagship stores in 2026, specifically located in Paramus, New Jersey, Boston, and New York City’s SoHo. Notably, no Florida stores are included in this closure announcement, and the REI location at St. Johns Town Center in Jacksonville will remain open for the time being.
The closures highlight a broader shift in REI’s long-term strategy, which may affect outdoor enthusiasts’ access to gear, classes, and vital repair services. This comes at a time when REI is facing challenges in the marketplace, with its revenue for 2024 reported at $3.53 billion, reflecting a decline of 6.2% year-over-year and resulting in a net loss of $156.4 million. The outdoor retail market has cooled recently, as consumer discretionary spending continues to soften, impacting sales across the sector.
Despite the closures, REI’s Jacksonville location continues to offer a range of normal services, including curbside pickup and a fully operational bike shop. The nearest REI location to Jacksonville is approximately 67 miles away in Gainesville, while the next closest is more than 100 miles away in Winter Park.
Founded in 1938, REI has maintained a strong brand identity centered on environmental sustainability and community engagement. The company operates under a membership model which allows customers to receive annual dividends, exclusive discounts, and access to programs for trading in used gear. This membership model has contributed to a loyal customer base.
REI’s strategic shifts align with similar actions observed among other outdoor retailers, such as Orvis, which has announced plans to close about half of its stores by early 2026. The company is adapting to current market conditions by emphasizing online sales, implementing selective product assortments, and reducing large experiential offerings that have been a hallmark of their retail strategy.
REI’s changes come in the wake of its CEO Mary Beth Laughton’s new three-year strategy plan titled “Peak 28: Ascending Together.” As part of these operational adjustments, REI also closed its Experiences business in January 2025, leading to layoffs of 180 full-time and 248 part-time employees. Since the pandemic, the outdoor retail sector has experienced significant fluctuations in consumer demand, reflected in declines in sales compared to previous years.
Additionally, the New York City store became notable for being the first REI location to unionize, which subsequently led to a total of 10 stores voting to unionize. As REI navigates this transition, it is maintaining its presence in Florida for now, but the national changes and market dynamics suggest potential future adjustments regarding inventory and staffing across its locations.
As the outdoor retail landscape evolves, REI’s strategic decisions will significantly shape its operational focus and customer engagement moving forward.
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Additional Resources
- Jacksonville.com: REI Outdoor Stores Closing
- Wikipedia: REI
- Naples News: REI Outdoor Stores Closing
- Google Search: REI outdoor stores closing
- My Fox Zone: REI Closing Three Stores
- Google Scholar: REI business strategy
- Jacksonville.com: REI Closing Three Stores
- Encyclopedia Britannica: REI
- AOL: Walgreens Closing More Stores
- Google News: Walgreens store closures
Author: STAFF HERE JACKSONVILLE WRITER
The JACKSONVILLE STAFF WRITER represents the experienced team at HEREJacksonville.com, your go-to source for actionable local news and information in Jacksonville, Duval County, and beyond. Specializing in "news you can use," we cover essential topics like product reviews for personal and business needs, local business directories, politics, real estate trends, neighborhood insights, and state news affecting the area—with deep expertise drawn from years of dedicated reporting and strong community input, including local press releases and business updates. We deliver top reporting on high-value events such as the Jacksonville Jazz Festival, Riverside Arts Market, and World of Nations Celebration. Our coverage extends to key organizations like the Jacksonville Chamber of Commerce and JAXUSA Partnership, plus leading businesses in logistics, healthcare, and entertainment that power the local economy such as CSX Corporation, Baptist Health, and VyStar Credit Union. As part of the broader HERE network, including HEREOrlando.com, HEREStPetersburg.com, HERETallahassee.com, and HERETampa.com, we provide comprehensive, credible insights into Florida's dynamic landscape.
