Century 21 files for bankruptcy and will close all stores, including New York City locations

BY TIMOTHY BOLGER

Century 21 Stores, the New York-based discount department store, is closing all 13 of its locations nationwide, including its six New York City locations.

The nearly 60-year-old company filed for bankruptcy in Manhattan federal court, blaming insurers for non-payment of $175 million it says was due under policies after business was interrupted by the coronavirus pandemic.

The clothing brand has six locations in New York City: two in Brooklyn at 472 86th Street and 445 Albee Square; three in Manhattan at 21 Dey Street, 22 Cortlandt Street and 1972 Broadway; and one in Queens at 61-35 Junction Blvd, Rego Park; as well as two on Long Island in Westbury and at Green Acres Mall in Valley Stream.

“While retailers across the board have suffered greatly due to COVID-19, and Century 21 is no exception, we are confident that had we received any meaningful portion of the insurance proceeds, we would have been able to save thousands of jobs and weather the storm, in hopes of another incredible recovery,” Century 21 co-CEO Raymond Gindi said.

Besides New York, Century 21 also has stores in New Jersey, Pennsylvania, and Florida.

The news comes after Lord & Taylor, the oldest department store in the United States, announced last month that it’s also closing all of its stores after it filed for Chapter 11 bankruptcy on Aug. 2, the same day as Men’s Wearhouse owner Tailored Brands.

In the U.S., several big name brands, including storied U.S. retailers such as Neiman Marcus, Brooks Brothers, and J.C. Penny, which is also closing LI locations, began restructuring relatively soon after the crisis erupted.

Apparel retailers have been among the worst hit from the coronavirus crisis as their businesses were considered non-essential and their stores had to be closed. They were forced to limit operations to online, which led to furloughing of staff and unpaid leases and rents.

For more information about Century 21’s going-out-of-business sales, visit c21stores.com.

-With Reuters.