VERMONT STATE - Vermont is often shielded from the extreme volatility of national big-box trends, but 2026 is proving to be a transformative year for the state’s retail geography. As major chains pivot toward digital fulfillment and "lean" operations, several rural and urban hubs are losing their long-standing anchors.
Green Mountain Shakeup: Major Supermarket and Retail Closures in Vermont This Spring 2026
From the total disappearance of a historic pharmacy brand to the downsizing of a Vermont-born legend, here is what you need to know about the retail landscape this spring.
1. The Total Exit of Rite Aid
The most widespread change in Vermont this year is Rite Aid's complete departure. Following its bankruptcy and restructuring, the chain has moved to exit the Vermont market entirely.
- The Locations: All five of the chain's Vermont sites—Brattleboro, Bethel, Randolph, Springfield, and Windsor—were identified for closure or sale.
- The "Pharmacy Desert" Risk: This exit hits rural Vermont particularly hard. In towns like Bethel and Windsor, Rite Aid was the only local pharmacy. Residents are now facing significant delays for essential prescriptions, a shift local health officials have called "frightening" for community access.
- Status: Most locations have finalized their liquidations this spring, with prescription records being transferred to nearby competitors or independent hubs where available.
2. Strategic Reductions: Walgreens and Family Dollar
With Rite Aid gone, Walgreens remains one of the few national pharmacy options, but it is also contracting its footprint as part of a multi-year plan to close 1,200 stores nationwide.
- Walgreens: Vermont has already seen high-profile closures in Burlington (Cherry Street), Newport, and Montpelier. As leases expire throughout 2026, additional underperforming stores are under review.
- Family Dollar: A vital source of affordable groceries and household goods in rural Vermont, Family Dollar is continuing its store closures after stores haven't met sales targets. Small towns that rely on these "de facto" general stores are being urged to prepare for potential exits as corporate parent Dollar Tree Inc. optimizes its square footage.
3. Orvis: A Hometown Giant Downsizes
In a move that strikes close to home, the Manchester-based outdoor retailer Orvis is in the midst of a significant national downsizing.
- The Impact: The company announced the closure of approximately 36 retail locations nationwide by early 2026.
- The Strategy: While the flagship experience in Manchester remains a premier destination, the company is pivoting focus toward its online presence and wholesale partnerships, acknowledging that a massive physical footprint is no longer sustainable for its niche of premium outdoor gear.
4. Expansion Bright Spots: Aldi and Whole Foods
While traditional anchors retreat, the "discount-luxury" sector is eyeing growth, though at a cautious pace.
- The Aldi Effect: Nationally, Aldi plans to open over 200 stores in 2026. While Vermont has historically had a smaller Aldi footprint, the chain’s low-overhead model continues to exert pressure on traditional supermarkets like Hannaford and Shaw’s to remain price-competitive.
- Whole Foods: Despite expansion in other states, Vermont remains one of the few states without a Whole Foods. For 2026, the brand is focusing on its "Daily Shop" small-format stores in high-density urban areas like NYC, leaving the Green Mountain State out of the current expansion cycle.
Why the Shift?
Industry analysts point to the unique challenges of the 2026 Vermont market:
- Staffing and Labor: Vermont continues to struggle with a tight labor market, forcing some grocers to reduce operating hours or close under-staffed locations.
- The "Rural Premium": The cost of logistics for delivery and stocking in rural Vermont has surged. Retailers are prioritizing "hub" locations in larger towns over smaller, more isolated storefronts.
- Omnichannel Evolution: Over 10% of Vermont grocery sales are now digital. Major players like Hannaford are remodeling stores to include larger pickup staging areas rather than opening new physical locations.