Party City

Party City is a well-known retailer specializing in party supplies, decorations, costumes, and balloons, serving customers planning birthdays, holidays, and special events. The company was founded in 1986 in East Hanover, New Jersey, and quickly became a household name across North America, at one point operating nearly 1,000 stores and establishing itself as the largest party goods retailer in the United States, Canada, and Mexico.

Over the past five years, Party City has experienced a significant transformation. The early 2020s brought financial challenges, including increased competition from online retailers and the lingering effects of the pandemic. After a first bankruptcy in 2023 and a second in December 2024, Party City closed and auctioned the leases of hundreds of corporate-run stores. Despite these setbacks, the brand has continued to adapt and maintain a presence in the party goods sector.

In early 2025, Party City’s intellectual property and wholesale operations were acquired by New Amscan PC LLC, an affiliate of Ad Populum. Under new ownership, the company shifted its focus from corporate store expansion to supporting its franchise network, which as of November 2025 consists of 26 stores in key markets including New York, California, Texas, Puerto Rico, Virginia, and Tennessee. Party City has also invested in its e-commerce platform and experimented with new retail formats, such as seasonal pop-ups and in-store partnerships like the Party City at Staples concept. The company has introduced same-day delivery through a partnership with DoorDash, reflecting a broader move toward omnichannel retail.

Today, Party City operates primarily through its franchise stores, online sales, and opportunistic pop-up locations, including seasonal activations in high-traffic areas like Union Square in New York City. The company’s headquarters are now located in Hillside, New Jersey, following the closure of its former office in Woodcliff Lake. Party City’s ability to pivot its retail strategy, maintain strong brand recognition, and explore new formats and partnerships demonstrates its continued relevance and adaptability within the retail landscape. This evolution offers insight into how specialty retailers can remain active in the market by leveraging flexible leasing, franchise support, and a blend of physical and digital retail channels.