When Bed Bath & Beyond closes its doors for good, some retailers should benefit from both the real estate and inventory opportunities, Bank of America wrote in a note Tuesday. Bed Bath & Beyond will close its remaining 360 namesake and 120 Bye Bye Baby locations by June 30 after filing for Chapter 11 bankruptcy protection last week. Since storefronts are largely in high-traffic suburban areas, the locations are attractive for retailers as shoppers return to stores post-Covid. “The stores average 30k square feet and are located away from mall or strip center spots,” said analyst Lorraine Hutchinson. In addition, an assortment of home decor and baby products can flow through off-price retailers at significant discounts, she said. He added that Bed Bath & Beyond vendors will also redirect products to off-price retailers as a way to diversify business without seeing a drop in sales. “While a bankruptcy is not thesis-changing, competitors going out of business is one of the tenets of the off-price market share story that has been missing over the past few years. We expect investors poised to take advantage of the off-price Stay. This and none,” Hutchinson wrote. Burlington and TJX are among the biggest beneficiaries, he said. The vacant Bed Bath & Beyond stores should be “great” for Burlington, which plans to expand its store count by 8% this year. Hutchinson reported that only 35% of Bed Bath & Beyond stores already have a Burlington location within a one-mile radius and 50% within two miles. Burlington, which is trying to increase its penetration into home furnishings, could see a 3% sales increase from Bed Bath & Beyond sales of 5%, he said. Hutchinson has a buy rating on the stock and a $250 price target, representing roughly 34% upside from Monday’s close. Meanwhile, TJX’s Home Goods could also benefit from snatching vacancies. Hutchinson reported that only 38% of Bed Bath & Beyond stores have a HomeGoods store within a one-mile radius and 52% are within two miles. TJX plans to increase the number of its HomeGoods stores by 5% and its TJ Maxx and Marshals stores by 2% this year. The company should also make deals on the distressed retailer’s inventory. “We expect TJX Closeout to be a major beneficiary of the product, as it is the largest (making it a top choice for sellers) and is aligned with the HomeGoods classification BBBY,” Hutchinson said. He estimated that if TJX could capture 5% to 10% of Bed Bath & Beyond’s sales, it could see a 1% sales increase. Hutchinson has a buy rating and $94 price target on the stock, which suggests 20% upside. — CNBC’s Michael Bloom contributed reporting.