IOWA - In Iowa, we value stability. But 2026 has started with a series of retail earthquakes that are shaking the State commercial foundations. While the Jordan Creek corridor remains a fortress of commerce, the rest of the state is seeing a rapid contraction of "middle-tier" retail. From the complete disappearance of a national Pizza chain to the final demolition of the traditional mall model in West Des Moines, the way Iowans shop and eat is changing overnight.
Here is the breakdown of the retail shakeup hitting the Hawkeye State in 2026.
The "Total Exit": Marco's Pizza Leaves Iowa
The most surprising story of early 2026 is the sudden disappearance of Marco's Pizza.
- The Shutdown: Without warning, the chain abruptly closed all 6 of its remaining Iowa locations.
- The Impact: Stores in Cedar Rapids, North Liberty, Waterloo, Waukee, Davenport, and Windsor Heights have gone dark.
- The Meaning: This isn't just a downsizing; it is a total market exit. For a brand that had aggressively expanded into the Midwest, this retreat signals that the margins in Iowa's competitive pizza market (dominated by Casey's and local favorites) were simply too thin to sustain.
The Mall Pivot: Valley West's Final Act
In West Des Moines, the "Zombie Mall" era is officially over.
- The Plan: 2026 marks the start of the "Valley West Urban Renewal" project. The West Des Moines City Council has approved the ambitious plan to partially demolish and repurpose the site.
- The Reality: The days of walking the loop at Valley West are done. The property is being broken up to create a mixed-use neighborhood. While this is good news for the long-term health of the city, it marks the definitive end of the 1970s retail model that defined the suburb for decades.
The Discount Wipeout: Big Lots
The collapse of the home discount sector has landed hard in Iowa's major river cities and capital.
- The Closures: Big Lots has confirmed it is shuttering key locations, including:
- Des Moines: The store at 4365 Merle Hay Rd is closing, leaving a massive vacancy on one of the metro's busiest corridors.
- Davenport: The N. Brady St location is also on the chopping block.
- Burlington: The exit from Agency St removes a primary source for affordable furniture in the southeast corner of the state.
- The Consequence: These closures leave large, 30,000-square-foot holes in strip centers that are already fighting to retain national tenants.
The Rural Squeeze: Family Dollar
In Iowa's 99 counties, the Family Dollar is often the only general store left in town.
- The Threat: As parent company Dollar Tree executes its plan to close 1,000 stores nationwide, Iowa's rural network is vulnerable.
- The Fear: For towns where the local grocery store closed years ago, the Family Dollar became the de facto replacement. If these locations shutter in 2026, residents in isolated communities will face significantly longer drives just to buy cleaning supplies and non-perishable food.
The giants like Hy-Vee, Target, and Walmart are consolidating their power. But the "middle" is vanishing. The regional pizza chains, the discount furniture stores, and the secondary malls are fading away, leaving Iowans with fewer choices and more empty parking lots.
Dead Mall - Valley West Mall - West Des Moines, IA