Bankruptcy Leads to Closure of 42 Fabric Stores in Illinois and Wisconsin

A longtime favorite for crafters, sewists, and DIY enthusiasts is facing a massive downsizing as it moves through its second bankruptcy filing in just over a year. JOANN Fabrics, a staple in the fabric and craft industry for over 80 years, announced it will be closing 500 stores nationwide — including 42 locations in Illinois and Wisconsin.

The closures come as part of a court-supervised sale that JOANN initiated in January through chapter 11. The sales are aimed at maximizing the value of its business while mitigating its financial struggles. Despite the bankruptcy filing, JOANN emphasized that its stores and online operations will remain open during the process. Additionally, employees are still receiving their wages and benefits as the company works through the restructuring.

The latest filing paints a challenging picture for JOANN. After being taken private last year following a previous bankruptcy, the company has struggled with inventory issues, inflation, and shifting consumer shopping habits. While JOANN initially assured customers that all 800 of its stores would stay open, a closer analysis of store performance led to the company's decision to shutter 500 locations across the United States.

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The company has stated that it hopes to find a buyer who will allow it to continue operating. However, that outcome is far from guaranteed. Gordon Brothers has emerged as the lead bidder in the sale process and would likely liquidate and close all stores. Should their bid win, it could mean the end of JOANN’s physical stores.

Closures Across Illinois and Wisconsin

As part of the initial wave of closures, Illinois and Wisconsin are seeing a combined 42 locations shut their doors. Many communities that have long relied on JOANN for sewing and craft supplies will now have to turn to online options or seek out alternative stores. Here are the affected locations in both states:

Illinois (26 stores closing)

• Champaign – 722 West Town Center Blvd.
• Crestwood – 4917 Cal Sag Rd
• Wheaton – 36 Danada Sq W
• Niles – 8245 W Golf Rd
• Norridge – 4514 N Harlem Ave
• Countryside – 20 Countryside Plaza
• Naperville – 526 S State Route 59
• Bloomingdale – 362 W Army Trail Rd Ste 230
• Vernon Hills – 413 N Milwaukee Ave Unit 500
• Geneva – 714 Commons Drive
• Orland Park – 15752 S. La Grange Rd
• Arlington Heights – 373 E Palatine Road
• Chicago – 2639 N. Elston Ave
• Joliet – 2741 Plainfield Road
• McHenry – 3310 Shoppers Drive
• Chicago (West Loop) – 555 W. Roosevelt Road
• Algonquin – 2391 County Line Road
• Danville – 2917 North Vermillion Suite C17
• Moline – 3911 16th Street
• Quincy – 425 N 32nd St
• Carbondale – 1332 E Main St
• Galesburg – 1920 N Henderson St
• Sterling – 3201 East Lincolnway
• Peru – 3940 Route 251 Suite A1
• Freeport – 1611 South West Avenue
• Mattoon – 700 Broadway East

Wisconsin (16 stores closing)

• Fond Du Lac – 806 West Johnson Street
• Janesville – 2700 N. Pontiac Dr Ste 150
• Madison – 2021 Zeier Rd
• Pewaukee – 2020 Silvernail Rd
• Cudahy – 5656 S Packard Ave
• Brookfield – 16800 W Bluemound Road
• Menomonee Falls – N78 W14531 Appleton Ave
• Watertown – 401 Bernard St
• Plover – 1150 Meridian Drive
• Lake Geneva – 600 N. Edwards Blvd
• Beaver Dam – 1645 North Spring St.
• Marshfield – 1919 N Central Avenue
• Marinette – 2402 Roosevelt Road
• Oshkosh – 1226 Koeller St
• Racine – 2629 S. Green Bay Road
• Sheboygan Falls – 4079 Highway 28

What’s Next for JOANN?

The company still has 23 locations in Wisconsin, with stores remaining open in Greenfield, Appleton, Green Bay, Onalaska, Wausau, Eau Claire, and the Wisconsin Dells. While those stores are safe for now, the ongoing sale process means additional closures could still be coming. Illinois, on the other hand, was one of the more heavily hit states with 26 stores closing. It is anticipated that only 8 stores will remain open across the state. You can find a full list of nationwide store closures here.

For customers, this means a dwindling number of physical locations to browse fabric and craft supplies in person. For employees it's even worse, as they wait to see if a buyer steps in to keep the business afloat. Whether this restructuring saves the fabric chain or marks the beginning of the end, remains to be seen.