Party City to Close, Impacting Hastings Ranch Location

Party City will be closing its doors after nearly 40 years in business, affecting at least 25 stores in Southern California, it was reported Friday.

A Party City store operated in Hastings Ranch at 3353 East Foothill Boulevard. It is not known if the location will continue to operate as an independent store.

CEO Barry Litwin informed corporate employees in a meeting reported by CNN that Party City has to “commence a winddown process immediately,” and that Friday would be their last day of work for the company.

Staff will not be receiving severance pay, and their benefits would end as the company goes out of business, the network said.

The decision comes after the company could not “overcome” its financial challenges, according to CNN.

A representative for Party City did not immediately respond to a request for comment.

According to Party City’s online store directory, California has about 88 stores that may be impacted by the decision. The company’s website shows at least 25 locations in Southern California. A news release from October indicated there over 700 company-owned and franchise store locations across North America.

Some of these stores that are independently owned and operated may continue to operate.

An automated message from a Party City store in Sherman Oaks stated, “We are here to stay. We look forward to serving our customers for years to come. Our name will change, but we will remain the party supply store for all celebrations.”

The New Jersey-based chain exited bankruptcy in September 2023 through a plan that included transitioning into a privately held company and canceling nearly $1 billion in debt. A majority of its U.S. stores were able to stay open as it emerged from bankruptcy.