The Walgreens store located at 26th and National Avenue in Milwaukee is set to close its doors permanently on November 3, TMJ4 News has confirmed. Addressing the challenging decision, a spokesperson from Walgreens expressed that choosing to close any store is not taken lightly, acknowledging the critical role these stores play in their respective communities. With a focus on improving performance, the spokesperson attributed the closure to "increased regulatory and reimbursement pressures" which have hindered cost coverage related to rent, staffing, and supplies at this particular location.
As part of their closure plan, Walgreens is committed to collaborating with local community stakeholders to ensure minimal disruption for customers. The company also aims to redeploy the majority of team members affected by this and other closures. The decision is part of a larger strategy, as Walgreens announced plans earlier this week to shut down 1,200 "underperforming" stores by 2027, with approximately 500 expected closures in 2025. These closings will involve both properties owned by Walgreens and those with leases set to expire in the near future.
According to Walgreens Global Chief Financial Officer Manmohan Mahajan, the closures targeted for 2025 will primarily occur in the latter half of the fiscal year. The focus is on closing locations that generate negative cash flow, are underperforming assets, or have upcoming lease expirations. Identifying these strategic closures is intended to optimize Walgreens' footprint and enhance economic benefits, with noticeable improvements anticipated by fiscal 2025. At this time, there are no specific announcements regarding other Walgreens locations in Milwaukee or Wisconsin that might be affected.
For those interested in staying updated with local news, TMJ4 offers streaming services available 24/7 through devices like Roku, Apple TV, and Amazon Fire TV. This development highlights continued challenges in the retail sector, especially within pharmacy chains, as they navigate economic pressures and the need for strategic location management. Walgreens’ decision reflects broader trends in the industry aiming to balance community presence with operational sustainability.
