Starbucks shuts 5 more coffeehouses, 2 airport locations also slated for closure
Starbucks has spent the past two years changing its coffeehouse business, investing in store renovations, improving customer service, and trying to bring customers back.
And the efforts appear to be paying off. U.S. comparable-store sales rose 7.9% in its latest reported quarter, while customer transactions increased 4.2%.
In September, CEO Brian Niccol declared, “Starbucks is back,” signaling confidence in the company’s turnaround strategy.
Also read: Wawa, Sheetz, 7-Eleven face new challenge keeping shoppers coming back
But stronger sales have not stopped the coffee giant from closing underperforming locations and eliminating jobs. It is all part of its strategic return.
An Oct.7 regulatory filing identifies five permanent Starbucks coffeehouse closures in Washington state, affecting 43 store employees, as well as 8 additional job cuts at its Seattle headquarters.
In total, 51 employees are affected, with employment terminations scheduled between Nov. 14 and Dec. 4, 2026.
The latest disclosures follow another 5-store closure notice filed in Washington earlier this year.
Meanwhile, 2 Starbucks locations at Seattle-Tacoma International Airport are also set to close following a separate decision regarding concession contracts.
Starbucks closes five coffeehouses in Washington
According to an Oct.7 Worker Adjustment and Retraining Notification (WARN) reviewed by TheStreet, Starbucks identified five locations for permanent closure across Seattle, Redmond, Spokane, and Vancouver.
The filing lists the following coffeehouses and affected employees:
|
Location |
Address |
Employees affected |
|
Redmond |
7625 170th Ave NE |
15 |
|
Seattle |
9150 Rainier Ave S |
5 |
|
Seattle |
999 Leary Way NW |
6 |
|
Spokane |
2401 W Wellesley Ave |
13 |
|
Vancouver |
918 SE 164th Ave |
4 |
|
Total store employees |
43 |
Separately, Starbucks disclosed 8 permanent job cuts at its Seattle headquarters at 2401 Utah Avenue.
The affected corporate positions include an accountant, a director, a senior manager, a project manager, two managers, and two service representatives.
However, not all 51 affected employees will necessarily lose their jobs. Starbucks said some store employees would be offered transfers to nearby coffeehouses.
The filing also confirmed that employees at the Redmond and Spokane locations are union-represented.
One closure stands out for another reason.
The Starbucks at 999 Leary Way in Seattle opened in Feb. 2026 but closed in late September, just eight months later.
Starbucks previously closed five Seattle stores in 2026
The Oct. filing is not the first time Starbucks has disclosed multiple store closures in Washington this year.
A separate WARN notice dated March 27 identified five Seattle coffeehouses scheduled to close between March 29 and April 5, affecting 69 employees.
Those closures included locations on Madison Street, University Way, Minor Avenue, Harrison Street, and Sand Point Way.
Together, the March and October notices identify 10 distinct coffeehouses and 120 affected employee positions, including the eight headquarters jobs in the October filing.
The repeated disclosures come alongside corporate workforce reductions in Seattle.
As TheStreet previously reported, Starbucks disclosed in August that 224 headquarters employees were affected, including approximately 120 who declined transfers to its expanding Nashville operations.
The company has also been consolidating regional offices and streamlining its corporate organization.
Two Starbucks locations close at Seattle airport
Starbucks is also preparing to lose two coffeehouses at Seattle-Tacoma International Airport, although these closures are unrelated to its corporate restructuring.
An Oct. 23 WARN notice filed by airport concession operator HMSHost confirms that its Starbucks location in Concourse A will permanently close as its airport contract expires.
The notice states that approximately 13 employees are expected to lose their jobs between Dec. 31, 2026, and Jan. 13, 2027.
However, there is a discrepancy in the filing.
While the letter identifies approximately 13 affected employees, its attached roster lists roughly 135 positions, including baristas, utility workers, and managers. Washington state’s WARN database also records 135 affected workers.
The difference has not been publicly clarified.
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Another Starbucks in Concourse C is also set to close, but its WARN notice has not yet been issued, and the precise store closure dates have not been announced.
The changes follow a competitive bidding process in which the airport selected 17 new dining and retail locations.
In its Sept. 15 announcement, the Port of Seattle confirmed Anchorhead Coffee and The Flora Bakehouse among the selected businesses.
Starbucks expressed disappointment that its concession contract was not renewed, telling local media it hopes to expand its presence at the airport again.
Once both locations close, two Starbucks coffeehouses will remain at the airport.
The airport closures are decisions made by the concession operator and the Port of Seattle, rather than part of Starbucks’ company-operated store closure program.
Why Starbucks continues to close stores?
The Washington closures are part of Starbucks’ broader “Back to Starbucks” restructuring, which aims to improve the customer experience while eliminating locations that do not meet its financial or operational expectations.
In a Sept. 24 announcement, Chief Operating Officer Mike Grams said Starbucks had identified approximately 250 North American coffeehouses for closure.
“While most are benefiting from this overall momentum, some coffeehouses continue to underperform,” Grams said.
According to the company’s September SEC filing, Starbucks expects approximately $300 million in restructuring charges, including $200 million in cash expenses primarily for lease exits and employee separation benefits.
The company had already reduced its U.S. store network before the announcement.
According to its third-quarter fiscal 2026 earnings report, Starbucks operated 16,933 U.S. locations at the end of June, down from 17,230 a year earlier.
Notably, Starbucks removes permanently closed coffeehouses from its comparable-store sales calculations beginning the month after closure.
This means improving sales at continuing locations do not necessarily reflect the performance of every coffeehouse in its network.
At the same time, Starbucks continues investing in renovations, faster service, and more comfortable seating, with a target of completing at least 1,500 coffeehouse upgrades in North America.
For customers losing their neighborhood Starbucks, the company says it will direct them to nearby locations. Employees who cannot be transferred will be offered severance support.
Starbucks is scheduled to report its fourth-quarter and full-year fiscal 2026 earnings on Oct. 29.
The results will provide a clearer picture of whether the coffee giant maintained its sales momentum and how its restructuring is affecting the business.
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