Century 21

Century 21's 2020 bankruptcy ended a New York retail institution that had operated for 60 years across the street from the World Trade Center. The discount department store had survived 9/11—remaining closed for months due to damage—but couldn't survive COVID-19's impact on Manhattan retail. The failure demonstrates how geographic concentration creates existential risk when that geography is disrupted. The mechanism failure was single-market dependency. Century 21 operated primarily in New York City, with most revenue from its flagship store in Lower Manhattan. When Manhattan office workers disappeared during COVID-19, foot traffic collapsed. The company had no way to reach customers who weren't physically present; unlike retailers with robust e-commerce, Century 21's treasure-hunt model didn't translate online. Century 21's insurance dispute accelerated the bankruptcy. The company claimed $175 million in business interruption losses from COVID-19; insurers refused to pay, arguing that virus exclusions applied. Unable to fund operations during extended closure, and unwilling to restructure without insurance proceeds, Century 21 chose liquidation. The insurance conflict demonstrated how contractual ambiguities become fatal during unprecedented events. The Century 21 brand was later purchased by new investors who planned reopening, showing that the business model had value even after the original company died. But the 13 original stores closed permanently, 1,400 employees lost jobs, and New York lost an institution.