Sept. 26, 2025
Closing signs are going up at Starbucks locations across Sioux Falls and in the metro area.
The closures are part of a nationwide restructuring announced Thursday. Starbucks said it plans to close 1 percent of its stores — or approximately 400 locations — and that 900 nonretail employees would be laid off today.
“We identified coffeehouses where we’re unable to create the physical environment our customers and partners expect or where we don’t see a path to financial performance, and these locations will be closed,” chairman and CEO Brian Niccol wrote in a memo posted by Starbucks.
“Each year, we open and close coffeehouses for a variety of reasons, from financial performance to lease expirations. This is a more significant action that we understand will impact partners and customers. Our coffeehouses are centers of the community, and closing any location is difficult.”
The locations being closed in the Sioux Falls market had been open for less than two or three years.
Harrisburg is essentially built but not open.
Kevin Tupy, co-owner of the buildings at 1403 N. Marion Road and in Tea, said that as landlord he did not receive notice until letters were posted on the doors today. His real estate ownership group also has stores at 41st Street and Ellis Road, 41st Street and Sycamore Avenue, and 69th Street and Louise Avenue. Nothing has been posted at those locations at this point.
He said he expects the store closures to occur by the end of this week.