Fairway Denies Paramus Store Closing Amid Bankruptcy Reports

PARAMUS, NJ - Fairway Market has denied reports that it would declare bankruptcy and close its grocery stores.

Fairway issued a denial Wednesday morning after a New York Post report that the grocery chain would file for Chapter 7 bankruptcy and soon shutter its 14 stores.

"Despite reports, Fairway Market has no intention to file for chapter 7 or liquidate all of its stores," a representative said in a statement. "All 14 stores remain open for business."

Within New Jersey, Fairway has two stores – Paramus and Woodland Park.

Read More: Fairway Market Denies Closings Amid Bankruptcy Reports

Rumors that Fairway would close have been circulating for weeks since the Post first reported Fairway was considering bankruptcy after failing to find a buyer last year.

Fairway Market began nearly 100 years ago as a small produce stand on Manhattan's Upper West Side and has since grown to a 14-store network. There are eight stores in New York City, two on Long Island, one in Westchester County, NY, two in New Jersey and one in Connecticut.

The founders of the business, the Glickberg family, ran the store for four generations before selling it to private equity.

At one point, Fairway's owners planned to open as many as 300 stores nationwide. The expansion plan was enacted when a majority of the company was acquired by private equity firm Sterling Investment, which later took the company public.

This isn't Fairway's first brush with bankruptcy. The company was able to dig itself out of Chapter 11 proceedings in 2016 by borrowing money in exchange for equity. The reorganization shifted ownership of Fairway from Sterling Investment Partners to a consortium led by Blackstone's GSO Capital Partners.

Patch editors Kathleen Culliton and Brenden Krisel contributed to this report.