Birmingham, AL, September 29, 2025
News Summary
Starbucks is shutting down 1% of its North American stores as part of a revamp plan, including the closure of four locations in Alabama. The closures, effective September 29, are part of a strategy aimed at improving financial performance and customer experience. Community reactions reveal sadness, particularly for the Vestavia Hills store, which served as a local hub. Starbucks aims to refocus resources, lay off 900 non-retail employees, and enhance store designs company-wide. The move aligns with changing consumer behaviors and industry competition.
Birmingham, Alabama – Starbucks Closes 1% of Locations Including Four Stores in Alabama as Part of Revamp Plan
Starbucks is closing up to 1% of its North American locations, which includes the layoff of 900 non-retail employees. This decision is part of a company revamp that aims to focus resources on a turnaround strategy. By the end of its fiscal year this Sunday, Starbucks expects to have 434 fewer stores in North America compared to the end of June. Four locations in Alabama are included in this closure list, with the affected stores officially closing on Sunday, September 29.
The four Starbucks locations in Alabama that are confirmed to be closing include the Vestavia Hills store at Liberty Park, which has garnered community responses on social media due to its significance as a local meeting place. Residents have expressed feelings of sadness regarding the closure and have encouraged one another to contact Starbucks to reconsider their decision. Local residents fondly remember the baristas at the Liberty Park location and the sense of community it provided.
In Mobile, employees at the closing stores have been informed that some will be transferred to other Starbucks locations within the area. This closure aligns with CEO Brian Niccol’s statement that the store closures stem from an inability to meet customer expectations or financial performance at those specific locations. Niccol has reaffirmed the company’s commitment to improving its coffeehouse designs and creating welcoming spaces for customers.
After these closures, Starbucks will end the fiscal year with nearly 18,300 locations in the U.S. and Canada. The company has plans to revitalize more than 1,000 locations as part of its “Back to Starbucks” initiative. Reports suggest an unofficial list indicating that around 200 stores may be set for closure in total, including 67 in California; however, not all locations on this list have been confirmed by Starbucks. The company plans to update its app to reflect changes to store locations by the closure date on Sunday.
The closure, coupled with the job cuts, will allow Starbucks to invest more in personnel and improve store designs as part of its strategy to enhance customer experience going forward.
Background Context
This revamp plan comes amid changing consumer behaviors and increasing competition in the coffeehouse market. Starbucks has previously emphasized its commitment to ensuring high-quality service and a welcoming environment at its locations. The decision to close underperforming stores is part of a strategic shift aimed at ensuring long-term growth and sustainability within the company.
FAQ
Why is Starbucks closing some locations?
Starbucks is closing up to 1% of its North American locations as part of a company revamp, which includes the layoff of 900 non-retail employees and focuses on a turnaround strategy.
How many stores in Alabama are closing?
Four locations in Alabama are confirmed to be closing starting Sunday, September 29.
What is Starbucks planning after these closures?
Starbucks will end the fiscal year with nearly 18,300 locations in the U.S. and Canada and aims to revitalize more than 1,000 locations as part of its “Back to Starbucks” initiative, allowing for investments in personnel and store design.
How many non-retail employees will be laid off?
The company is laying off 900 non-retail employees as part of its restructuring plan.
When will the closures take effect?
The four Alabama stores confirmed to be closing will start closing on Sunday, September 29.
Key Features of the Starbucks Closure
| Feature | Detail |
|---|---|
| Closure Percentage | Up to 1% of North American locations |
| Employee Layoffs | 900 non-retail employees |
| Number of Alabama Locations Closing | Four |
| Closure Date | Sunday, September 29 |
| Total U.S. & Canada Locations After Closure | Nearly 18,300 |
| Revitalization Initiative | ‘Back to Starbucks’ |
| Planned Store Revitalizations | More than 1,000 |
Deeper Dive: News & Info About This Topic
HERE Resources
Hoover Residents Face Traffic Trouble as I-65 Closes for Vehicle Fire
Additional Resources
- AL.com: Alabama Starbucks Closure Reaction
- ABC3340: Starbucks Store Closures Announcement
- AL.com: Latest List of Starbucks Closures
- 9News: Starbucks Closing Stores List 2025
- Google Search: Starbucks closures 2025
Author: STAFF HERE BIRMINGHAM WRITER
The BIRMINGHAM STAFF WRITER represents the experienced team at HEREBirmingham.com, your go-to source for actionable local news and information in Birmingham, Jefferson 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 Sidewalk Film Festival, Sloss Music & Arts Festival, Magic City Classic, and civil rights commemorations. Our coverage extends to key organizations like the Birmingham Business Alliance and the Birmingham Civil Rights Institute, plus leading businesses in healthcare, finance, and manufacturing that power the local economy such as UAB Medicine, Regions Bank, and Encompass Health. As part of the broader HERE network, including HEREHuntsville.com, we provide comprehensive, credible insights into Alabama's dynamic landscape.
