Nearly five years after filing for bankruptcy, JCPenney is parting with a major chunk of its real estate. A Boston-based private equity firm is set to purchase 119 JCPenney store locations in a deal worth $947 million.
The all-cash acquisition was announced on July 25 by Copper Property CTL Pass Through Trust, which was created by JCPenney’s lenders during the company’s 2020 bankruptcy restructuring. The buyer, an affiliate of Onyx Partners, Ltd., is expected to close the deal on September 8. The sale involves net-lease properties—stores that continue paying rent and operating costs.
The sale follows an extensive marketing effort led by property management firms Newmark and Hilco Real Estate to offload the JCPenney assets on behalf of Copper Property. “The Buyer has now completed its due diligence, and its deposit under the Agreement is non-refundable,” Copper Property Trust confirmed in a news release issued on July 25.
Copper Property took ownership of around 160 JCPenney retail sites and six distribution centers after the retailer’s bankruptcy. Meanwhile, Simon Property Group and Brookfield Asset Management Inc. assumed control of JCPenney’s operational side and the remaining stores. Today, the department store chain operates roughly 650 locations, having once been among the largest retailers to enter Chapter 11 bankruptcy protection.
Proceeds from the sale will go toward repaying JCPenney’s creditors. After subtracting closing costs, the final amount to be distributed is expected to fall between $928 million and $932 million, according to principal financial officer Larry Finger, who spoke about the transaction during a July 28 conference call.
JCPenney stores sold: Will all remain open?
Yes—for now. All 119 stores included in the deal are currently operating. Onyx Partners, however, did not respond to a request for comment from USA TODAY about their long-term plans. JCPenney had previously shuttered over 200 locations amid the COVID-19 crisis. Most recently, seven store closures announced in February 2025 were finalized in May.
Which JCPenney stores are being sold? See map, list
According to Newmark, the full JCPenney Retail Portfolio included 121 properties totaling 16.05 million square feet across 35 states—most notably 21 in Texas and 19 in California.
Two additional properties—located in Florida and Pennsylvania—were sold earlier this year for $21 million to the Simon and Brookfield group, as disclosed in a Securities and Exchange Commission filing.
