July 31, 2025

Onyx Partners Acquires 119 JCPenney Stores in Major Deal

News Summary

Onyx Partners, the Boston-based private equity firm, has acquired 119 JCPenney stores for $947 million in an all-cash transaction. This acquisition is part of a strategy to generate funds for JCPenney’s creditors following the retailer’s bankruptcy filing in 2020. The sale includes six stores located in Michigan, while JCPenney retains approximately 650 locations nationwide. This transaction signifies a further step in JCPenney’s restructuring efforts amidst ongoing challenges in the retail sector.

Troy, Michigan – Onyx Partners, a private equity firm based in Boston, has acquired 119 JCPenney stores for $947 million in an all-cash deal, which was officially announced on July 25. This significant transaction is part of a broader effort to secure funding to repay JCPenney’s creditors following the retailer’s bankruptcy filing in 2020.

The acquisition is expected to conclude on or before September 8, 2025. Upon closing, estimated funds between $928 million and $932 million will be made available to JCPenney creditors, as reported by the company’s principal financial officer. The deal was facilitated by Copper Property CTL Pass Through Trust, an entity established by JCPenney’s lenders during the company’s restructuring process.

Six of the stores included in the sale are located in Michigan, specifically:

Oakland Mall in Troy
Lakeside Mall in Sterling Heights
Twelve Oaks Mall in Novi
Grand Traverse Mall in Traverse City
Rivertown Crossings in Grandville
Waterside Marketplace in Chesterfield Township

All 119 stores that are part of this sale are currently operational. Following the sale, JCPenney will continue to operate approximately 650 locations across the United States. Prior to this transaction, Copper Property managed about 160 JCPenney stores along with six distribution centers, emphasizing the significant reduction in JCPenney’s footprint post-bankruptcy.

In 2020, JCPenney was among the largest retailers to file for Chapter 11 bankruptcy protection, ultimately closing over 200 locations throughout the United States amid the challenges posed by the COVID-19 pandemic. This sale marks another step in JCPenney’s ongoing restructuring efforts, as the company continues to navigate the retail landscape and stabilize its financial footing.

The sale also follows previous transactions where Copper Property sold two JCPenney properties in Florida and Pennsylvania for $21 million to Simon Property Group and Brookfield Asset Management Inc. These movements reflect a strategic effort to generate liquidity for JCPenney amid its ongoing recovery.

Of the current 23 JCPenney stores remaining in Michigan outside of the latest sale, notable locations include:

Ann Arbor
Brighton
Burton
Dearborn
Flint
Fort Gratiot
Grand Rapids
Jackson
Lansing
Muskegon
Okemos
Portage
Roseville
Saginaw
Taylor
Westland
White Lake

Newmark and Hilco Real Estate played pivotal roles in managing the sale process for the 119 JCPenney locations. The firm’s expertise in real estate transactions is instrumental in navigating such significant deals in the retail sector.

This acquisition by Onyx Partners is a notable event in the retail industry, reflecting both the challenges and opportunities present in the market today. As the landscape continues to evolve, the future of JCPenney remains closely watched by industry experts and consumers alike.