(NEXSTAR) – Just over a year after filing for its second bankruptcy and shuttering all of its stores, a long-time party supply retailer is making a comeback. In December 2024, Party City announced it was going out of business and filing for bankruptcy. The chain filed for bankruptcy in January 20 23 but emerged from Chapter 11 roughly eight months later with plans to reorganize. Founded in 1986, Party City had more than 700 locations at the time it shuttered. Other notable retailers, including Dollar Tree, Five Below, Burlington, and Barnes Noble, took over many of the abandoned stores. Macy’s shutting down another store in Northern California While Party City is gearing up to have nearly the same footprint, it won't be with standalone stores. Not unlike other once-bankrupt brands before it, Party City is being revived as an "in-store experience" at over 700 Staples locations in the U.S. Party City will also be available on Staples' website, in addition to its own online presence. “Staples has always been focused on making things easy for our customers, and our partnership with Party City takes that promise into new territory,” Marshall Warkentin, president of Staples U.S. retail, said in a press release. “By bringing Party City into Staples stores, we’re expanding what customers can accomplish in one place — combining helium balloons and party supplies with our print and marketing services to offer a complete solution for celebrations, from graduations to grand openings and everything in between.” Offerings will include balloons, banners, cards, supplies, and decorations, according to photos provided with the release. Iconic American clothing brand opening first coffee shop in NorCal Party City is making a comeback with Staples (Business Wire via AP) Party City is expected to expand to more Staples stores – the company has more than 900 throughout North America – later this year. The partnership is already available in Staples stores across Alabama, Arizona, California, Colorado, Connecticut, Delaware, Florida, Georgia, Idaho, Illinois, Indiana, Kentucky, Maine, Maryland, Massachusetts, Michigan, Nevada, New Hampshire, New Jersey, New Mexico, New York, North Carolina, Ohio, Oregon, Pennsylvania, Rhode Island, South Carolina, Tennessee, Texas, Utah, Vermont, Virginia, Washington, and West Virginia. More details can be found online. An affiliate of Ad Populum, the company behind Chia Pets and other brands "targeting everyone from Boomers to Gen Z," placed the winning bid for the Party City brand and assets in February 2025. Michaels was the backup bidder, according to Retail Dive. Instead, months later, the craft retailer secured the intellectual property of JoAnn Fabrics, which filed for bankruptcy in early 2025. ...read more read less