Starbucks closed its location at 295 California St. in San Francisco on August 1 after almost 20 years of operation. This closure is part of a larger trend, with four locations closing in the city this year due to lagging U.S. sales and increased worker unionization. All employees were offered positions at nearby stores. Starbucks is re-evaluating its business model, particularly removing seating in downtown areas, with future closures likely as the company plans to transition some pickup-only stores across the U.S. by the end of fiscal 2026.
The closure of the Starbucks at 295 California St. marks the chain's fourth in the city this year amid lagging U.S. sales and increasing unionization.
All employees at the closed store have been relocated to nearby Starbucks locations, reinforcing the company's commitment to retaining staff during these closures.
Starbucks has been systematically removing seating in downtown San Francisco since 2023, signaling a shift in their business model in the area.
Future plans for Starbucks locations in San Francisco depend on the company's strategy to convert some pickup-only stores into traditional coffeehouses.
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