Bed Bath and Beyond and Kirkland's: What Really Happened to Your Favorite Home Stores

Bed Bath and Beyond and Kirkland's: What Really Happened to Your Favorite Home Stores

If you walked into a Kirkland’s Home recently and felt like the floor plan looked a little... different, you aren't imagining things. The retail world moves fast, but the saga between Bed Bath and Beyond and Kirkland's over the last year has been a total whirlwind. Honestly, it’s one of those corporate "marriages of convenience" that actually makes sense when you look at the mess of the modern economy.

We all remember the 2023 collapse. Bed Bath & Beyond filed for bankruptcy, the blue signs came down, and everyone thought the 20% off coupons were dead forever. But then Overstock.com (now called Beyond Inc.) bought the name. They realized pretty quickly that being online-only is tough when people want to touch their towels before they buy them.

Enter Kirkland’s.

The Rebirth of the Big Blue Brand

The big news for 2026 is that Bed Bath & Beyond is officially back in the physical world, but it’s piggybacking on Kirkland’s to do it. Think of it like a store-within-a-store that eventually ate the whole store.

Marcus Lemonis, the guy from The Profit who now runs Beyond Inc., made a massive bet. Beyond Inc. didn't just want a website; they wanted hundreds of showrooms. Instead of signing a thousand new leases, they looked at Kirkland’s—a brand that had the stores but was struggling with its own "e-commerce bleed."

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The deal was basically this: Beyond Inc. invested millions into Kirkland’s (which rebranded its parent company as The Brand House Collective). In exchange, Kirkland’s became the boots on the ground. They are now the exclusive operator for physical Bed Bath & Beyond locations.

What this looks like when you're shopping

It's not the massive, cavernous "Big Box" experience of the 90s. These new stores are smaller—around 15,000 square feet. Basically, they've taken the "best of" from the old inventory and shoved it into the more manageable Kirkland’s footprint.

  1. The Great Conversion: By late 2025, the plan was to flip nearly 300 Kirkland’s locations into Bed Bath & Beyond Home stores.
  2. The Hybrid Strategy: You’ll find Kirkland’s signature home decor—those mirrors and wall art everyone loves—sitting right next to the high-thread-count sheets and air fryers that made Bed Bath & Beyond famous.
  3. The Coupon Factor: Yes, they are trying to bring back the "magic" of the coupon, but it’s more digital now. No more stashing a drawer full of blue-bordered paper.

Why Bed Bath and Beyond and Kirkland's Joined Forces

Business is weird. Kirkland's was sitting on 320+ stores but losing money on their website. Beyond Inc. had a massive website but zero stores. It was a "you have peanut butter, I have chocolate" moment.

But it hasn't been all sunshine.

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In early 2026, reports started surfacing that the massive 300-store conversion plan was being scaled back. Why? Because retail is expensive. Turns out, flipping a store's identity overnight costs a fortune. Suppliers have whispered that instead of 300 stores, we might only see about 40 to 150 full conversions in the short term, with the rest staying as "hybrid" locations.

Kirkland’s actually had a rough 2025 too. A literal tornado hit their distribution center in Tennessee, which didn't help their stock price. But the partnership with Beyond Inc. gave them a lifeline. Without that $25 million infusion and the licensing deal, Kirkland's might have been facing the same "going out of business" sales we saw at the old BBB.

What Most People Get Wrong

People keep asking, "Is Bed Bath & Beyond owned by Kirkland's?"
No. It's actually the other way around in terms of power. Beyond Inc. (the Bed Bath & Beyond owner) actually bought a 40% stake in the company that owns Kirkland's.

They are effectively merging into one giant "Everything Home" company. If you go to Nashville, you’ll see the "test" stores. They look clean, they’re organized, and they don't have that "overflowing warehouse" vibe of the old days. It's more curated.

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The BuyBuy Baby Connection

And don't forget the kids. Part of this deal includes bringing BuyBuy Baby back to life. The first new physical stores for the baby brand are slated for the 2026 fiscal year. They are using the same "neighborhood store" model. Small, local, and focused on high-margin items like strollers and cribs rather than just endless piles of pacifiers.

Actionable Insights for Shoppers and Investors

If you're a fan of either brand, the landscape has shifted. You can't just expect the old experience. Here is how to navigate the new Bed Bath and Beyond and Kirkland's ecosystem:

  • Check the Signage: Don't be surprised if your local Kirkland’s suddenly sports a "Bed Bath & Beyond Home" banner. The inventory inside will change, leaning more toward kitchen and bed/bath essentials.
  • The App is King: The "Beyond+" loyalty program is being integrated across both brands. If you want the discounts, you have to be in their digital ecosystem.
  • Inventory Shifts: Kirkland’s is moving toward a "wholesale" model. This means you might start seeing Kirkland-branded mirrors and lamps in other stores, not just their own.
  • Watch the Stock (KIRK/BYON): Investors should look at the "asset-light" strategy. Beyond Inc. doesn't want to own the buildings; they want to own the brands and let the retail operators take the overhead risk.

The reality of Bed Bath and Beyond and Kirkland's in 2026 is that they are two survivors trying to build a fortress against Amazon and Walmart. It's a scrappy move. It’s also probably the only way either brand stays on your local high street for the next decade.

Keep an eye on the Nashville market—it’s the "canary in the coal mine" for whether this whole smaller-format experiment actually works. If it thrives there, expect your local strip mall to get a blue-and-white makeover very soon.