Babies R Us attempts comeback, plans to open store at American Dream mall in New Jersey

Key Points
  • Babies R Us, which went out of business in 2018, will open a new flagship store at the American Dream megamall in New Jersey.
  • The baby product retailer and its sister company Toys R Us were acquired by WHP Global, a brand management firm, in 2021.
  • WHP Global hopes the new flagship will kick off a national rollout of the failed brand.
A shopping cart sits in the parking lot at a Babies "R" Us store on January 24, 2018 in Chicago, Illinois.
Scott Olson | Getty Images

Babies R Us is trying to make a comeback. 

The baby product retailer, which went out of business in 2018, will open a new flagship store this summer at the American Dream megamall in New Jersey, its new owners announced Tuesday.

"Since acquiring both the Babies R Us and Toys R Us brands in 2021, our mission has been laser-focused on bringing them back to America," Yehuda Shmidman, CEO of WHP Global, said in a news release. WHP Global, a brand management firm, owns the retailer's parent company, Tru Kids. 

"Our plan to open Babies R Us at American Dream in the coming months is a huge milestone in the return of Babies R Us to the U.S.A., and it sets the stage for a national rollout of Babies R Us in the future," Shmidman said.

American Dream, which has had its own struggles, is located near MetLife Stadium, about 10 miles outside New York City.

American Dream megamall and entertainment complex in East Rutherford, N.J., seen on Oct. 25, 2019.
Timothy A. Clary | AFP | Getty Images

Since acquiring Tru Kids in 2021, WHP Global has been on a mission to bring the beloved Toys R Us and Babies R Us brands back to life. 

In 2021, Macy's announced a partnership with WHP Global to open 400 new Toys R Us outposts inside their department stores across the country and sell their products online. 

A new Toys R Us flagship was opened later that year, also at American Dream. 

The famed toy and baby retailer filed for Chapter 11 bankruptcy in 2017 after Tru Kids struggled to pay off its 12-year-old debt and compete with rising e-commerce platforms. 

The brand failed to restructure itself in 2018 after a crippling 2017 holiday season and moved forward with liquidation, closing over 800 stores and selling inventory at up to 95% discounts. 

The new Babies R Us outpost will be a "one-stop-shop for all things baby," the company said. In addition to the typical line of merchandise, it will offer customers a range of interactive experiences, including a stroller test track, photo-op station and a wishing tree. 

The flagship will also bring back the brand's baby registry lounge, nursery design center with room set displays, learning center and a comfort zone for feeding or changing a baby.

— CNBC's Melissa Repko contributed to this report.