In less than a two-week span, two clothing stores closed their doors for business in the Muncie Mall. Both stores, targeting young teens and women, may be driven to file Chapter 11 bankruptcy.
Body Central, part of Body Shop America, Inc., is having financial troubles company-wide. According to a Body Central news release on Jan. 7, with financial insecurities at stake, the company has hired financial advisers to seek out alternatives for the company. The Muncie location closed in December 2014.
Less than two weeks later, WetSeal closed 338 stores in one swoop, including the Muncie location on Jan. 6, according to a WetSeal press release. Cutting roughly 3,700 jobs nationwide, some stores were left with a four-day notice at a conference call on Jan. 2.
WetSeal has decided to rebuild its business, scaling back to operating with just 173 stores and its Internet business.
The two vacant spots remain in the right wing of the mall, fewer than three spaces from each other.
Other small corporate teen retail chains are experiencing hardships after the holiday season. PacSun and Aéropostale are on a watch list, according to the NASDAQ stock prices.
Muncie Mall management said it couldn’t answer any questions about the trend.