All Joann fabric and craft stores, including 10 in metro Phoenix, are closing

PHOENIX – All Joann fabric and craft stores, including 10 in metro Phoenix, are closing pending bankruptcy court approval, the retailer announced Monday.

The 80-year-old company was hoping to avoid a complete shutdown after filing for bankruptcy in January for the second time in less than a year.

It previously announced that four Valley locations – two in Mesa, one in Gilbert and one in Peoria — would remain open as usual while the others began the liquidation process.

“We hope that this process enables us to find a path that would allow Joann to continue operating as a going concern,” interim CEO Michael Prendergast said in a Jan. 15 press release announcing the latest bankruptcy filing.

Prendergast said the filing was necessary due to “significant and lasting challenges in the retail environment” and “constrained inventory levels.”

Why did Joann change plans about shutting stores?

However, things changed after GA Group, together with the Prepetition Term Loan Agent, won the rights to buy the company’s assets at auction.

“Subject to bankruptcy court approval of the transaction, the winning bidders plan to begin winding down the company’s operations and conduct going-out-of-business sales at all store locations,” Joann said in a press release Monday.

As part of the process, prices will be marked down at all retail locations and online. It’s not clear how long the shutdown process will take.

According to an FAQ for customers, the company will stop accepting gift cards after Friday. Customers should also be aware that returns will no longer be accepted.

How long has Joann been in business?

Joann has been a longtime shopping destination for sewing, knitting, crocheting, crafting and home decoration hobbyists.

The retailer, which debuted in 1943, has more than 800 stores in 49 states.

In addition to the Valley shops, it has Arizona locations in Bullhead City, Flagstaff, Prescott, Casa Grande and the Tucson area.

In a 2024 survey, residents of Surprise placed Joann at No. 3 on the list of retailers they most wanted to lure to their city.

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