By 1812Blockhouse

Area shoppers are about to lose one of their discount grocery options as the Grocery Outlet Bargain Market at 876 Lexington-Springmill Road in Ontario is closing as part of a nationwide restructuring by its parent company. The store opened in November, 2024.

The closure follows an announcement by Grocery Outlet Holding Corp. that it plans to shut down 36 underperforming stores, representing about six percent of the company’s roughly 570 locations across the United States.

Rapid Expansion Brings a Course Correction

Company officials say the closures follow a period of aggressive expansion in recent years, particularly along the East Coast. Of the 36 stores slated to close, 24 are located in eastern markets, accounting for about 30 percent of the company’s stores in that region. Grocery Outlet leadership said some locations struggled to gain traction after opening, while others faced declining comparable-store sales.

The company has also pointed to economic pressure on its core customer base. Grocery Outlet’s discount model often attracts shoppers relying on programs such as SNAP benefits, and shifts affecting those programs can directly influence store performance.

Ontario Location Among Ohio Sites Affected

While the company has not released a full national list of closures, commercial real estate firm Gordon Brothers has been hired to market affected properties for sublease in several states. Those states include California, Idaho, Pennsylvania, New Jersey, Maryland, and Ohio.

The Ontario location on Lexington-Springmill Road is among the stores expected to close as part of the restructuring effort. Another Ohio location already confirmed for closure is the Austintown Grocery Outlet, which opened in October 2025 and will shut down less than six months later.

Financial Impact and Company Outlook

Grocery Outlet expects the restructuring to cost between $14 million and $25 million in one-time charges during fiscal 2026. However, the company says eliminating underperforming stores should ultimately improve profitability, estimating about $12 million in annual adjusted EBITDA gains once the closures are complete.

Despite the reductions, Grocery Outlet is not slowing its overall growth strategy. The company plans to open 30 to 33 new stores in 2026 while also remodeling about 150 existing locations. Leadership has said it intends to concentrate future growth around regional clusters of stores, a model designed to improve logistics and marketing efficiency.

What Comes Next

Closures are expected to occur gradually through fiscal year 2026. Through social media, the company has announced that a store closing sale will begin at the Ontario location on Sunday, March 8 and will continue through March 21.

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