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The second life of America’s shuttered pharmacies

Growing supply of dark drugstores provides redevelopment, backfill prospects
This former Walgreens location at 840 El Camino Avenue in Sacramento, California, was subleased by Dollar Tree in September 2024. Discount retailers like Dollar Tree are backfilling hundreds of former pharmacy locations around the United States.
This former Walgreens location at 840 El Camino Avenue in Sacramento, California, was subleased by Dollar Tree in September 2024. Discount retailers like Dollar Tree are backfilling hundreds of former pharmacy locations around the United States.
CoStar Analytics
February 23, 2026 | 3:55 AM

The U.S. pharmacy sector is undergoing one of the most significant contractions in modern retail history, reshaping corners, intersections and neighborhood stores nationwide.

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