Some Party City franchise locations in Austin will remain open

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Party City franchises to remain open

Some locally-owned Party City locations in Austin insist they're going to stay open, following news that the retail chain is going out of business.

The party may not be over after all. Some locally-owned Party City locations in Austin insist they're going to stay open, following news that the retail chain is going out of business. 

A sign posted inside the Party City on Research Boulevard and Balcones Drive in Northwest Austin is an effort to clear things up for confused customers. 

"We remain open," said Mitesh Patel, who owns that location, along with the one on Brodie Lane in Southwest Austin. "Business is as usual for us."

The Research Boulevard and Brodie Lane stores will not be closing their doors, despite the company's announcement over the weekend that it's going out of business—citing inflation and other factors. 

In a press release, Party City announced "a wind down of its retail and wholesale operations and going out of business sales at its approximately 700 stores nationwide."

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"I was pretty sad when I read in the paper that it was going to be closing," said Janice Vanzura of Austin. 

"I thought it read that they were all shutting down," said Daniel Montoya of Austin.

But Patel says that's not exactly true. 

"It's a very confusing message simply because the consumer does not know there are franchisees out there," said Patel.

Patel says there are 29 independently-owned Party City stores across the country, like Research Boulevard, which has been open since 1984—previously operating as Party Pig Superstore before rebranding. 

"None of the franchisees are planning on closing their stores right now," said Patel.

"I was very excited. I like Party City," said Montoya.

Customers say they're relieved to hear this store is staying open on what turned out to be a busy Monday before Christmas. 

"I can find anything I need, but also things that I never thought I would need," said Montoya. 

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And while the future might bring some uncertainty for franchise owners like Patel, he says one thing is for sure: "this store isn't going anywhere," said Patel. 

"We're not sure if we're going to get to retain the party city name or not, or rebrand back to Party Pig, which we may, but we remain open," said Patel. 

That's great news for Vanzura.

"I come in here quite often," said Vanzura. 

Vanzura came on Monday for some last-minute holiday items: Santa hats. 

"I got 12," said Vanzura. "I went two places before I came here, and they didn't have them."

In addition to the two franchise stores in Austin, Patel says four locations in San Antonio will also remain open. 

The corporate-owned locations plan to close by the end of February. 

FOX 7 reached out to Party City corporate for comment, but has not heard back. 

The Source: Information from interviews conducted by FOX 7 Austin's John Krinjak