Safeway is closing a number of grocery stores across the U.S. in 2026 as part of a corporate footprint-trimming effort [1, 2, 3].
These closures signal a broader downsizing wave under the chain's parent company, Albertsons. The move reflects a shift in how the company manages its physical presence in a competitive retail environment.
The shutdowns are primarily concentrated across the western United States and include a location at the Hechinger Mall in Washington, D.C. [4, 5]. Company officials said many of these closures are tied to expiring leases rather than a strategic exit from specific markets [1, 5].
Safeway currently operates more than 900 locations [6]. While the 2026 closures are the current focus, the company has been adjusting its store count for some time. For example, the Hechinger Mall location previously closed on May 16, 2024 [5].
The downsizing effort comes as Albertsons manages the overarching strategy for its various brands. By allowing leases to expire, the company can reduce overhead costs without the immediate financial burden of breaking long-term contracts, a common tactic in large-scale retail restructuring.
Retail analysts said grocery chains are increasingly balancing physical storefronts with digital growth. This shift often leads to the shuttering of older locations that no longer meet modern efficiency standards or consumer traffic patterns.
“Safeway is closing a number of grocery stores across the U.S. in 2026”
The decision to close stores based on lease expirations suggests that Albertsons is prioritizing cost-efficiency and operational leaness over aggressive physical expansion. By trimming underperforming or overpriced locations, the company can better allocate resources toward digital infrastructure and high-traffic hubs, reflecting a wider industry trend of consolidating brick-and-mortar footprints to protect margins.
