Urgent: Iconic Hardware Chains Closing as Sales Plummet

UPDATE: The landscape of local hardware retail is rapidly changing as several iconic hardware chains announce permanent closures amid declining sales. Jerry’s Hardware & Rental, a well-known Minnesota chain, confirmed it will close two locations in the Twin Cities by December 31, 2025, amid growing economic pressures affecting the home improvement market.

This decision comes on the heels of a broader trend affecting independent retailers. A recent report by the Home Improvement Research Institute revealed that home improvement sales are expected to dwindle, forecasting only a 2.5% growth for the market in 2025, down from an earlier estimate of 3.4%. This decline is attributed to multiple factors, including rising consumer price inflation and a drop in housing starts.

Iconic stores are feeling the impact. Carnation Ace Hardware in Carnation, Washington, closed its doors forever on October 25, 2025. Additionally, Ritter’s True Value Hardware, a 117-year-old establishment in Mechanicsburg, Pennsylvania, shut down permanently on September 30, 2025. The historic Kreuger’s True Value in Neenah, Wisconsin, plans to close after a liquidation sale within the next 12 to 16 months.

The economic challenges are significant. The National Association of Home Builders reports a 5.3% decline in housing starts during the second quarter of 2025, alongside a 2.7% drop in home sales in June. With mortgage rates hovering around 6.25%, fewer homes are being built or renovated, leading to decreased demand for hardware products.

Strong competition from major chains like Home Depot and Lowe’s further compounds the struggles of smaller retailers. In the third quarter of 2025, Home Depot captured 29% of the market, while Lowe’s took 17% and Amazon followed with 11.9%. This dominance leaves little room for independent stores to compete effectively.

Jerry’s Hardware & Rental, part of the Do It Best retail cooperative, has announced the closure of its Maple Grove and St. Louis Park locations but will continue operations in Eden Prairie, Bloomington, and Edina. While the company has not disclosed specific reasons for the closures, the challenges facing the home improvement sector are clear.

As local communities lose these longstanding retailers, the impact on jobs and consumer choice is palpable. Former customers of these hardware stores express concerns about the diminishing options for home improvement needs, which are critical for many homeowners and DIY enthusiasts.

With the ongoing economic landscape, experts warn that more closures could follow if consumer demand does not rebound. As the home improvement market adjusts to these changes, local shoppers will need to adapt to a new reality of fewer neighborhood hardware options.

WHAT’S NEXT: As the year progresses, keep an eye on further developments in the hardware retail sector, especially as more stores evaluate their viability in this challenging market.