Retail News: Dirt Cheap bites the dust as last two Texas stores set to close

The soon-to-close Dirt Cheap in Pasadena as seen in 2023.

Salvage merchandiser Dirt Cheap prepares to bite the dust while closing down operations. Channel Control Merchants, the parent company of Dirt Cheap, and sister companies Dirt Cheap Building Supplies and Treasure Hunt filed for bankruptcy on October 10th. They announced their plans to close all remaining locations by the end of the year as part of their proceedings. Dirt Cheap, which is mainly focused in the Southern United States, has been featured twice before on HHR for its woes. In 2023, the company closed all but two locations in Texas, along with a secondary warehouse in the Lone Star State. At that point, some of Dirt Cheap’s issues seemed to be based on difficulty expanding, specifically into California. Earlier this year, things did appear to be looking up for the ailing retailer, as they were able to reopen a handful of Texas locations. However, coming from a high of 25 stores, the ~4 locations they had in 2024 were a far cry from what the company had once had. When Dirt Cheap first arrived in Texas in 2013, much of its merchandise came from returns from other companies. Dirt Cheap would also often purchase remaining stock from bankrupt retailers, with notable examples being Blockbuster and Toys R Us. Dirt Cheap has cited inflation as a primary reason for shutting down its business. However, the declining quality of merchandise seems to be an issue that consumers often discuss.

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