HUDSON, Ohio (Covering Katy News) — The Joann Fabric and Crafts store at North Fry Road and Katy Freeway will close due to a nationwide shutdown affecting all of its 802 locations following a bankruptcy auction.
Local crafters and DIY enthusiasts in Katy now face the loss of a major supplier for fabric, sewing materials, and craft supplies.
Great American Group (GA Group) and Wilmington Savings Fund Society won the Feb. 22 auction ordered by the U.S. Bankruptcy Court in Delaware. The partnership plans to liquidate all Joann stores across 49 states, including nine in the Houston area.
"Joann leadership, our board, advisors and legal partners made every possible effort to pursue a more favorable outcome that would keep the company in business," a company spokesperson said in a statement.
The Katy location is among four Houston stores and others in Humble, Spring, Sugar Land, and Webster that will permanently close. Going-out-of-business sales have already begun at approximately two-thirds of Joann's stores nationwide.
Scott Carpenter, CEO of Great American Group, confirmed all stores would remain open until the end of May following the conclusion of the auction.
"We are committed to working constructively with the winning bidder to ensure an orderly wind-down of operations that minimizes the impact on all our stakeholders," the statement continued.
For Katy residents who frequent the North Fry Road store, the liquidation sales provide a final opportunity to purchase supplies before seeking alternative retailers.
"We deeply appreciate our dedicated team members, our customers and communities across the nation for their unwavering support for more than 80 years," the spokesperson added.