Party’s over? NJ-based retailer files for bankruptcy protection

🎈 NJ-based company has secured a $150M loan

🎈 All Party City stores — 27 in NJ — remain open

🎈 Chapter 11 filing follows big NJ company turmoil with Bed, Bath and Beyond

New Jersey-based Party City Holdco has filed for bankruptcy protection — while assuring customers that its stores remained open.

The party supply retailer that is headquartered in Woodcliff Lakes has a restructuring plan and a $150 million bankruptcy loan secured, according to a news release issued Tuesday.

On Wednesday, a federal judge gave approval for the company to use half of that amount — $75 million — to keep paying employees and vendors.

Party City would now work toward getting out of $1.4 billion of debt, as reported by Bloomberg Law.

Party City’s humble NJ beginnings

Party City was founded in 1986 by Steve Mandell.

After seeing an opportunity within the party supplies market, he opened a 4,000-square-foot store in East Hanover. The company was then incorporated in 1990.

Over decades, it has grown to more than 800 locations and franchise stores — including 27 stores now in NJ.

🎈 730 US-202, Bridgewater Township, NJ 08807 Phone: 848-305-6013

🎈 1255 Raritan Road, Clark, NJ 07066   Phone: 201-499-4106

🎈 385 NJ-3, Clifton, NJ 07014 Phone: 862-414-8164

🎈 4004 US 130, Delran, NJ 08075 Phone: 856-393-2979

🎈 1500 Almonesson Road, Deptford, NJ 08096 Phone: 856-381-4442

🎈 346 NJ-10, East Hanover, NJ 07936 Phone: 973-739-8771

🎈 50 NJ-36, Eatontown, NJ 07724 Phone: 732-440-3176

🎈 509 River Road, Edgewater, NJ 07020 Phone: 201-282-6856

🎈 3082 State Highway 35 Hazlet, NJ 07730 Phone: 732-931-2048

🎈 4771 US Route 9, Howell, NJ 07731 Phone: 732-835-7778

🎈 733 State Highway 440, Jersey City, NJ 07304 Phone: 201-984-4034

🎈 2450 Route 22, Kenilworth, NJ 07033 Phone: 908-514-4553

🎈 530 Consumer Square, Mays Landing, NJ 08330 Phone: 609-829-3193

🎈 2148 North 2nd Street, Millville, NJ 08332 Phone: 856-776-7592

🎈 1180 Nixon Drive, Mt. Laurel, NJ 08054 Phone: 856-444-5058

🎈 3149 Kennedy Boulevard, North Bergen, NJ 07047 Phone: 201-381-5766

🎈 669 South Route 17, Paramus, NJ 07652 Phone: 201-345-2514

🎈 670 Nassau Park Boulevard, Princeton, NJ 08540 Phone: 609-454-8221

🎈 357 Mount Hope Ave, Rockaway, NJ 07866 Phone: 973-453-3123

🎈 611 Cross Keys Road, Sicklerville, NJ 08012 Phone: 856-513-2058

🎈 7000 Hadley Road, South Plainfield, NJ 07080 Phone: 908-412-8000

🎈 180 Marketplace Boulevard, Trenton, NJ 08691 Phone: 609-631-5992

🎈 79 Route 73, Voorhees, NJ 08043 Phone: 856-346-7143

🎈 1684 Route 22 East, Watchung, NJ 07069 Phone: 908-540-0671

🎈 1625 Route 23, Wayne, NJ 07470 Phone: 973-317-9171

🎈 455 Green Street, Woodbridge, NJ 07095 Phone: 732-734-0088

🎈 1756 Route 46 West, Woodland Park, NJ 07424 Phone: 973-321-1869

Rocky start to 2023 for another big NJ company

The news of Party City's restructuring comes within a week of Bed Bath & Beyond announcing another round of store closures, including a combined four Buybuy Baby and Harmon stores in New Jersey.

The Union Township-based company suffered a dismal end to 2022 and has been struggling through inflation and increased competition from online retailers.

Chapter 11 filing has not always been a "final" chapter for big retailers, as some have managed to pull through a restructuring.

Erin Vogt is a reporter and anchor for New Jersey 101.5. You can reach her at erin.vogt@townsquaremedia.com

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