What Rite Aid's departure means for the Bronx economy

Rite Aid's last-minute departure from all of its five locations in the Bronx will have a very detrimental impact on the Bronx economy as consumers will struggle to find relatively affordable alternatives.

The former Rite Aid location on Eastchester Road, Baychester, Bronx which has now been replaced by a CTown.

In May, the large-scale pharmaceutical and general consumer goods chain filed for Chapter 11 Bankruptcy despite previously filing its first bankruptcy in October 2023 as a result of massive debt exposure, with this number (assets and liabilities) projected to be somewhere between $1 billion and up to $10 billion USD. The company has also shut down all of its stores across the tri-state area.

In the Bronx, Rite Aid has had a monumental impact on communities for decades. Being one of its most successful areas in New York City, Rite Aids from Baychester to Riverdale have provided affordable access to medications, groceries, and other necessities for thousands of Bronxites yearly.

With the final breath of Rite Aid's Bronx presence, it is clear why the company decided to evacuate from here specifically despite its previous successes: higher costs (inflation - tariffs), reduced profit margins, and high demand for wages.

Without these stores, Bronxites will be left to having to go to Walgreens, the last major pharmacy company in the borough. Sources have shown that consistently, Walgreens products are far more expensive than Rite Aid products, especially in the medication category. And in a borough as economically impoverished as the Bronx, this lack of affordability will cause consumers to struggle to provide for their families.

In addition, the fall of Rite Aid's stores in the Bronx would cause the loss of dozens of jobs helping low-income Bronxites get meaningful sources of income to sustain themselves.

Furthermore, many of these vacant stores are being replaced by more expensive stores like Walgreens and CTown among others.