Less than a year after Bed Bath & Beyond’s leadership said the company would not reopen stores in California, the retailer is planning a return to San Francisco and the Bay Area.

The comeback will happen through a new co-branded format with The Container Store, which announced Thursday that 98 stores nationwide will begin making room for Bed Bath & Beyond merchandise. 

The list includes 12 California locations, among them San Francisco, Palo Alto, Corte Madera, San Mateo, San Jose, Walnut Creek, Sacramento, Los Angeles and San Diego.

For San Francisco, the company identified the location as 555 Ninth St.

The Container Store said the rollout begins Friday with what it called a chainwide “Store Changing” event. As part of the shift, the company said it will liquidate about 30% of select categories and stock-keeping units to clear space for incoming Bed Bath & Beyond products.

“This is a reset with purpose,” Jen Pape, senior vice president of stores at The Container Store, said in a statement. “We are actively reshaping our stores to make room for what’s next. By streamlining select categories today, we’re creating the space and flexibility needed to introduce Bed Bath & Beyond products and deliver a more complete home experience for our customers.”

The announcement marks a notable reversal from August, when Bed Bath & Beyond Executive Chairman Marcus Lemonis said the retailer would not return to California, calling the state “one of the most overregulated, expensive, and risky environments for businesses in America.”

At the time, the company said California customers would be served online instead of through physical stores.

Bed Bath & Beyond filed for bankruptcy in 2023 and shut down all of its stores, including locations across the Bay Area. Later that year, Overstock.com acquired the brand’s assets and rebranded as Beyond.

“There’s a lot of profit to be made in California — and we’re thrilled that Bed, Bath & Beyond is opening stores in the Golden State and taking advantage of the benefits of the world’s fastest-growing economy. Welcome to California!” Newsom said in a statement.

The California stores are expected to transition beginning in May over the following months into a new “The Container Store + Bed Bath & Beyond” format, according to the company.