Starbucks to Close Several Locations, Including Albany and Hudson Valley Stores
ALBANY – Starbucks will shutter hundreds of its stores nationwide this month, including one in Albany and three in the Hudson Valley, following a downsizing plan announced by CEO Brian Niccol on Thursday.
The Albany location at 563 New Scotland Ave. is set to close on Saturday, less than a year after opening, an employee confirmed Friday. According to the Starbucks store locator, the store will serve its last customers at 6:30 p.m. on Saturday.
“We’ve made the incredibly difficult decision to close this Starbucks location by the end of this week,” reads a letter posted at the store. “We’re deeply grateful for the community that’s been built here.”
The store is situated in The Rise at Midtown Square, directly across from St. Peter’s Hospital.
“Each year, we open and close coffeehouses for a variety of reasons, from financial performance to lease expirations,” Niccol said in a statement. “This is a more significant action that we understand will impact partners and customers. These steps are to reinforce what we see is working and prioritize our resources against them.”
The closures come amid rising inflation and growing customer fatigue, contributing to a global sales slowdown for Starbucks. A 50% tariff on Brazilian coffee imports imposed by the Trump administration has also increased sourcing costs for some of the coffee the company serves. Additionally, ongoing consumer boycotts since 2023, stemming from a legal dispute over a worker’s pro-Palestine social media post, have affected the company’s finances.
By the end of September, Starbucks is expected to operate nearly 18,300 stores in North America, down from over 18,700 at the end of June, according to a company news release.
“We know many of you will be thinking of your favorite partner, and we’re working closely to support our partners throughout this transition,” the letter at the Albany location reads.
Niccol added that affected staff would be transferred to nearby locations “where possible” or offered severance packages if placements are not immediately available.
In the lower Hudson Valley, three locations are listed as “closed” after Saturday, all in Westchester County: 29 Park Place in Bronxville, 1278-80 North Ave. in New Rochelle, and 2 South Greeley Ave. in Chappaqua. While the Bronxville and New Rochelle stores did not respond to calls from the Times Union, Patch confirmed the closures. An employee at the Chappaqua store directed inquiries to Starbucks’ corporate office.
“While I don’t have specifics on locations, I can confirm that we’ll have signage up and an e-mail to notify customers,” a Starbucks spokesperson said Friday. “As a note, represented (unionized) status is not a factor when we consider whether to close a store.”
According to the Starbucks Workers United map of unionized stores, none of the four stores slated for closure are unionized.
Following the closure announcement, Starbucks Workers United held a rally at 62 New Scotland Ave. in Albany on Saturday morning to push for stronger contract terms. Approximately 20 people attended.
“We’re ready to do what it takes to win a fair contract with better hours to improve staffing in our stores, higher take-home pay so we can pay our bills, and remedies for the hundreds of unresolved unfair labor practice charges for union busting,” said Michelle Eisen, spokesperson for Starbucks Workers United.