Venerable Midwest furnishings retailer Art Van Furniture shall be closing and liquidating its shops, the firm introduced Thursday.
AVF Holdings, which is owned by personal fairness agency Thomas H. Lee Partners, will shutter its company-owned shops in Michigan, Illinois, Indiana, Maryland, Missouri, Ohio and Virginia. The firm’s shops embrace Art Van Furniture, Art Van PureSleep, Scott Shuptrine Interiors and Wolf Furniture.
Liquidation gross sales are anticipated to start Friday. About 3,100 staff are anticipated to lose their jobs, in response to The Detroit News.
“Despite our best efforts to remain open, the company’s brands and operating performance have been hit hard by a challenging retail environment,” Diane Charles, Art Van Furniture’s spokesperson, mentioned within the announcement. “We recognize the extraordinary retail, community and philanthropic legacies that Art Van Furniture has built for decades in the community.”
The firm’s roots stretch again to 1959 when Archie A. Van Elslander opened a 4,000-square-foot furnishings store in east Detroit. The enterprise he named Art Van finally change into a 176-store chain spanning 9 states and a franchise operation of 20 shops.
Elslander bought Art Van Furniture to Thomas H. Lee Partners in 2017, a yr earlier than he handed away.
Thomas H. Lee Partners sought to develop Art Van Furniture by buying the Levin Furniture and Wolf Furniture chains in Pennsylvania, in response to a report by Crain’s Chicago Business, which famous that as Art Van Furniture expanded, it confronted growing competitors from on-line opponents similar to Wayfair, Casper and Tuft & Needle.
Last month, Crain’s Detroit Business reported that Thomas H. Lee Partners was weighing a attainable sale and Chapter 11 submitting for the chain.