A familiar sign is coming down in Minnesota as Jerry’s Hardware & Rental prepares to shutter two Twin Cities locations on December 31, 2025. The move lands in a year when growth cooled, prices stayed stubborn, and national giants tightened their grip. Forecasts were trimmed while demand softened, and long-time independents felt the pinch. In that context, pressure on the hardware chain model has grown visible across neighborhoods that once relied on smaller stores for quick fixes, rentals, and advice.
Market headwinds reshape the home improvement field
HIRI cut its 2025 growth outlook from 3.4% to 2.5%, citing persistent macro pressure. The market still grows, yet momentum is slower than mid-year hopes suggested. That downgrade frames a tougher environment for retailers whose margins already depend on traffic, ticket sizes, and balanced seasonal categories.
Consumer sales are now seen rising 1.3%, down from 2.6% in June, while the pro market is pegged at 4.6%, from 4.9%. Inflation hovering near the 3% range into late 2025 adds strain to budgets and project planning. Fewer discretionary jobs get green-lit when materials, labor, and financing bite at the same time.
Housing starts fell 5.3% in Q2 2025 and existing-home sales slipped 2.7% in June. Mortgage rates hovered near the mid-6% range. Those inputs curb renovations and DIY, which reduces store trips and rental demand at any hardware chain serving local homeowners and small contractors.
Dominant players squeeze the hardware chain segment
Category leaders widened their lead in Q3 2025. Home Depot held about 29% share and Lowe’s captured 17% across tracked home-improvement categories. Amazon’s share reached roughly 11.9% at points during the period as online baskets and quick delivery stayed sticky with many shoppers, even for bulky or seasonal items.
Concentration matters because scale pulls pricing, assortments, and media attention toward the biggest platforms. Independents must keep service high, but they face freight costs and advertising math that are harder to balance. Private-label depth, nationwide promos, and inventory breadth make it tough to win the same basket at a similar margin.
Foot traffic patterns have also shifted as curbside pickup, marketplace promotions, and buy-online-pick-up-in-store become routine. Smaller operators can still win with rentals, repairs, and niche lines. Yet the gap in logistics and data grows wider each quarter, raising operating risk for any hardware chain without national scale.
Closures ripple across communities and long-time storefronts
After 56 years, Carnation Ace Hardware bade farewell in Washington, holding a community reception on October 25. The closure underscored how local stores anchor small towns well beyond sales, from tool rentals to quick advice. Generational transitions can complicate outcomes when margins thin and buyer interest cools.
Ritter’s True Value Hardware in Mechanicsburg, Pennsylvania, closed on September 30 after 117 years in business. Owners cited declining foot traffic and changing shopping habits. For many patrons, the store was a dependable stop for fast fixes and small parts that big-box aisles never seemed to stock quite as quickly.
Krueger’s True Value in Neenah, Wisconsin, announced a retirement and liquidation sale in July 2025, projecting closure after that process. An official WARN notice detailed a 12- to 16-week sale window. Whether measured in months or weeks, the result is the same for local customers who now travel farther for staples at a hardware chain counter.
Jerry’s closures, ownership, and cooperative ties
Jerry’s Hardware & Rental will close Maple Grove and St. Louis Park on December 31, 2025. The brand opened more than 50 years ago in Edina and grew with rentals and trusted counter help. This round of closures reflects a sharper focus on viable trade areas and a leaner cost base going into 2026.
After those exits, Jerry’s keeps operating in Eden Prairie, Bloomington, and Edina. The company has not released details about liquidations or specific reasons. Customers in the remaining stores will likely see tighter assortments and a push on services that reinforce convenience and speed. Those shifts protect cash while preserving loyalty.
Jerry’s Hardware is owned by Edina-based Jerry’s Enterprises, which also runs Jerry’s Foods and Cub grocery stores in Minnesota. Jerry’s is part of the Do it Best cooperative, a support network for independents. That partnership can help with sourcing and promotions, although pressure persists on any hardware chain competing near a big-box cluster.
What’s next for the hardware chain and its suppliers
Industry supply lines have changed. True Value filed Chapter 11 on October 14, 2024, and Do it Best moved to acquire the wholesaler’s operations as stalking-horse bidder. Court approvals followed, and the sale closed on November 22, 2024, creating a larger buying network for independents.
True Value’s independent retailers continued operating outside the bankruptcy estate. The wholesaler had supplied hardlines to about 4,500 stores. Integration aims to stabilize fill rates and expand assortments. For small operators, reliable freight and seasonal depth matter as much as price when jobs hinge on timely parts and consumables.
Consolidation can cut duplication, streamline DC footprints, and improve rebates. Yet transition periods bring catalog changes, warehouse resets, and contract rewrites. Success will depend on predictable replenishment, sharper local assortments, and community events that restore traffic. Those are lifelines for a hardware chain that still bets on service over scale.
A turning point that forces new choices for shoppers and stores
Jerry’s closures illustrate a broader recalibration. Growth slowed, rates stayed elevated, and big players expanded their edge. Local operators that survive will lean into rentals, expert counter help, and nimble assortments. The communities they serve still value speed and trust, which remain decisive advantages for a hardware chain in a crowded field.
