Party City Reportedly Closing All NJ Stores, Including In Wayne: What We Know

WAYNE, NJ — With Party City reportedly going out of business, its two stores in Passaic County are likely facing their last hurrah.

The Bergen County-based party supply store emerged from its first bankruptcy in September 2023 with $800 million in debt on the balance sheets that it cannot overcome, Bloomberg News reported. It was reportedly headed for another bankruptcy filing.

Party City has two stores in Passaic County: In Wayne, at the Brentwood Plaza Shopping Center; and in Clifton Commons, at 385 NJ-3.

CEO Barry Litwin told corporate employees the company is "winding down" operations and Friday was their last day of employment, according to CNN reporters who viewed a meeting of the company’s corporate employees Friday.

“That is without question the most difficult message that I’ve ever had to deliver,” Litwin said at the meeting, which was held on a video conference call. Party City’s “very best efforts have not been enough to overcome” its financial challenges, he added, resulting in the company’s collapse.

Employees at the Wayne Township and Clifton locations said they did not know when the stores would close, and directed Patch to the corporate press offices. At least one other Party City store in New Jersey said they will remain open "until supplies last."

CNN reported that some Party City store employees around the U.S. received letters stating that their stores would close at the end of February.

The chain was hit hard when people stopped having parties during the COVID-19 pandemic and has struggled since with supply chain issues and inflation. The company also has said a helium shortage hurt its business.

Furthermore, the retailer faces growing competition from big-box retailers such as Walmart and Target and holiday pop-up stores such as Spirit Halloween.

Original article — Party City To Close All Stores, Including 25 In NJ: Report