🔒Maine’s West Marine stores slated for closure amid national bankruptcy

Two West Marine stores in Maine — one in Portland and the other in Southwest Harbor — are slated for closure as their Florida-based corporate parent seeks to restructure $549.2 million in debt via a Chapter 11 bankruptcy case. West Marine Inc. filed for voluntary bankruptcy protection last month in the U.S. Bankruptcy Court for the District of Delaware amid a restructuring agreement backed by lenders and equity holders. “West Marine is open for business,” the company said at the time. The Fort Lauderdale-based retailer, with roots as a small rope business founded in Sunnyvale, Calif., in 1968, has grown into a large national retailer of core marine parts and accessories with more than 200 stores in leased locations across 34 states and Puerto Rico. In 2021, L Catterton acquired a controlling interest in West Marine. The Greenwich, Conn.-based private equity firm has around $40 billion in equity under management and focuses on consumer brands; its portfolio includes Birkenstock shoes, Kodiak Cakes and John Hardy jewelry. Citing inflation, economic volatility, an inefficient store footprint, operational challenges, unprofitable locations and two summers of poor weather that hurt sales, West Marine has given itself a little more than three months to restructure its debt while keeping the business running. Out of 59 stores slated for closure, two are based in Maine, according to a June 1 court filing. Elsewhere in New England, stores in Marblehead and Vineyard Haven, Mass., are also on the closure list. “West Marine is closing select retail locations as part of its ongoing Chapter 11 restructuring,” a spokesperson for the company said in a statement emailed to Mainebiz. "This decision reflects our effort to align our store footprint with our current business needs, while continuing to evaluate our portfolio in coordination with landlords, the spokesperson added. "We are committed to supporting affected crew members through this transition and will continue serving our customers at remaining locations, as well as online and through our West Marine Pro app.”

Lease obligations

All 200 West Marine stores are leased, requiring about $55 million in annual lease payments, according to court filings. The company said those costs drained liquidity and became "an insurmountable obstacle" that could not be adequately addressed outside of Chapter 11. The Portland store, displaying an exterior “Now Hiring” in nautical blue close to a front awning sign touting that "We make boating fun!" is located at 127 Marginal Way, on a property owned by Back Cove Co. The store is in a small shopping plaza close to Trader Joe’s, Walgreens and a store recently opened by the Portland Hearts of Pine soccer team. On Tuesday morning at West Marine in Portland, the store manager declined to speak to Mainebiz as a customer waited at the register for a sales representative. In the Hancock County town of Southwest Harbor, Marine West has a store at 11 Apple Lane on a property owned by Great Harbor Marina Inc., the June 1 filing shows. Those are the only two West Marine stores in the Pine Tree State, where boating and fishing generated $390 million in economic output in 2024. West Marine filed for Chapter 11 bankruptcy protection on May 17. As of that date, the company had around 2,600 employees on the payroll. The company’s largest unsecured creditor is navigation technology company Garmin International Inc., with $8.9 million in unsecured debt, court filings show. In Maine, West Marine competes with Searsport-based Hamilton Marine, which has six locations, including Portland and Southwest Harbor.