Natural Grocers® Announces Closure of Austin, Texas - Arbor Walk Store on Oct. 2, 2025

Rhea-AI Summary

Natural Grocers (NYSE:NGVC) announced the closure of its Arbor Walk store in Austin, Texas, effective October 2, 2025. The closure follows unsuccessful lease renewal negotiations at the location, which has served customers since 2010. The company will initiate a storewide closing sale starting September 2, offering 25% off all items.

The Arbor Walk location is one of four Natural Grocers stores in the Austin region and one of 25 across Texas. The company is supporting affected employees through transfer opportunities to nearby stores or transition packages including severance and continued health benefits. All other Austin-area and Texas locations will remain operational.

Positive

• None.

Negative

• Store closure reduces Natural Grocers' presence in the Austin market from 4 to 3 locations
• Loss of 15-year established location due to unsuccessful lease negotiations
• Potential employee layoffs if transfers aren't possible

Insights

Retail Operations Analyst

Single store closure due to lease issues represents minimal impact on NGVC's operations with 24 remaining Texas locations.

Natural Grocers is closing its Arbor Walk location in Austin after 15 years of operation due to unsuccessful lease renewal negotiations. This represents just one of four stores in the Austin region and one of 25 locations across Texas. The closure appears to be an isolated real estate issue rather than part of a broader contraction strategy.

The company is handling this closure with standard retail protocols - a month-long liquidation sale with 25% discounts beginning September 2nd, and employee transition support through either transfers to nearby locations or severance packages with continued health benefits. This structured approach suggests the company is managing the closure efficiently.

From an operational perspective, this single location closure represents approximately 4% of NGVC's Texas footprint and an even smaller percentage of their national store count. The company's explicit statement about "strengthening presence across Austin" indicates this is a tactical real estate decision rather than a sign of market withdrawal or financial distress. The strategic emphasis on maintaining presence in the Austin market through three remaining locations demonstrates NGVC's continued commitment to this region despite the single store closure.

LAKEWOOD, Colo., Aug. 19, 2025  /PRNewswire/ -- Natural Grocers® will close its Austin – Arbor Walk location, at 10515 N. MoPac Expressway, on Oct. 2, 2025. Storewide closing sales will begin on Tuesday, Sept. 2, with 25% off all items, including body care and beauty products, dairy, meat, produce, supplements and more. All sales will be final.

The Arbor Walk store has served customers since 2010 as the company's second Austin location. It is one of four Natural Grocers stores in the Austin region and one of 25 across Texas. The closure follows unsuccessful lease renewal negotiations, but all other Austin-area and Texas locations remain open to serve customers.

"Austin has always held a special place in our story," said Kemper Isely, Natural Grocers' co-president. "From the day we opened our first Austin-area store in 2009, we have felt embraced by a community that values health, individuality and creativity—values that resonate deeply with who we are as a company. While we are disappointed to close our Arbor Walk location due to an unresolved lease renewal, this decision allows us to focus on strengthening our presence across the Austin area and beyond. We remain deeply committed to serving our customers here and are grateful for the support this store has received over the past 15 years."

The Company is working closely with each of its valued good4u^SM Crew members through the closure to support them during the transition. This includes identifying potential transfer opportunities at nearby stores or offering a transition package, including severance and continuation of health benefits.

SHOPPING OPTIONS NEARBY

Following Arbor Walk store's closure, customers can visit one of Natural Grocers' nearby locations:

• Austin Area – Cedar Park
• Austin Area – Georgetown
• Austin Area – North Lamar Blvd
• Temple
• Waco

Learn more about Natural Grocers at www.naturalgrocers.com. Please direct media inquiries to kmacarelli@naturalgrocers.com.

ABOUT NATURAL GROCERS BY VITAMIN COTTAGE
Founded in 1955, Natural Grocers by Vitamin Cottage, Inc. (NYSE: NGVC) is an expanding specialty retailer of natural and organic groceries, body care products, and dietary supplements. The grocery products sold by Natural Grocers must meet strict quality guidelines and may not contain artificial flavors, preservatives, or sweeteners (as defined by its standards), synthetic colors, or partially hydrogenated or hydrogenated oils. The Company sells only USDA-certified organic produce and exclusively pasture-raised, non-confinement dairy products, and free-range eggs. Natural Grocers' flexible smaller-store format allows it to offer affordable prices in a shopper-friendly, clean, and convenient retail environment. The Company also provides extensive free science-based Nutrition Education programs to help customers and Crew make informed health and nutrition choices. Natural Grocers is committed to its Five Founding Principles—including its "Commitment to Community" and "Commitment to Crew". In fiscal year 2024, the Company invested more than $15 million in incremental compensation and discretionary payments for Crew. Headquartered in the Union Square neighborhood of Lakewood, CO, Natural Grocers has 169 stores in 21 states. Visit www.naturalgrocers.com for more information and store locations. 

 

View original content to download multimedia:https://www.prnewswire.com/news-releases/natural-grocers-announces-closure-of-austin-texas--arbor-walk-store-on-oct-2-2025-302533333.html

SOURCE Natural Grocers by Vitamin Cottage, Inc.

FAQ

When will Natural Grocers (NGVC) close its Arbor Walk store in Austin?

Natural Grocers will close its Arbor Walk store in Austin on October 2, 2025.

What discounts will Natural Grocers offer at the Arbor Walk closing sale?

Natural Grocers will offer 25% off all items starting September 2, 2025, including body care, beauty products, dairy, meat, produce, and supplements.

How many Natural Grocers stores will remain in Austin after the Arbor Walk closure?

After the Arbor Walk closure, Natural Grocers will maintain 3 stores in the Austin region and 24 stores across Texas.

What happens to Natural Grocers employees at the closing Arbor Walk location?

Employees will be offered transfer opportunities to nearby stores or a transition package that includes severance and continuation of health benefits.

Why is Natural Grocers closing its Arbor Walk store in Austin?

The store closure is due to unsuccessful lease renewal negotiations for the location that has operated since 2010.