Art Van Furniture
Art Van Furniture Inc. was an American furniture retail store chain. Founded in 1959, the company was headquartered in Warren, Michigan in Metro Detroit.[1] In 2020, the company closed all its stores and filed for bankruptcy.[2]
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| Type | Private |
|---|---|
| Industry | Furniture retail |
| Founded | Eastpointe, Michigan 1959 |
| Founder | Art Van Elslander |
| Defunct | March 5, 2020 |
| Fate | Chapter 11 bankruptcy; Liquidation |
| Headquarters | Warren, Michigan, U.S. |
Key people | Art Van Elslander, Founder; Gary Fazio, President & CEO; |
| Products | Furniture |
| Revenue | US$ 1.4 Billion (2018 est.) |
Number of employees | 3,700 |
History
Archie "Art" Van Elslander founded Art Van in 1959, opening his first store in East Detroit.[3] Van Elslander's furniture first business was a 4,000 square-foot space on Gratiot Avenue and 10 Mile Road. He expanded to three stores in that same year, and a fourth store opened in 1960. His first employee was not hired until this time.[4] Art Vans Furniture (later changed to Art Van Furniture) opened with mostly modern and Danish-style furniture.[5]
By 1963, Van Elslander owned seven stores and had taken on some partners, including his brother, Bob Van Elslander, Don Fox and Bob McEachin.[6] The following year, three of those stores were sold off, however Van Elslander expanded the chain in the 1970s and in 1973 the company purchased its headquarters in Warren, Michigan. Around that time, the company had fifteen stores in its chain. In the late 1970s opened several warehouses and a corporate training department. In 1977, the company opened stores outside of the Detroit area, in Flint, Michigan and Lansing, Michigan.[7]
In 1980, the company issued its first credit card and in 1985 the company introduced clearance centers attached to many of the stores offering overstocked merchandise. In 2009, the company's half-centennial, Art Van Furniture was named furniture retailer of the year by Furniture Today magazine.[8] In 2013, the company made a $50 million investment in the state of Illinois to open a sequence of new establishments in the state.[9] The last CEO of the company was Gary Fazio.[10] In March 2017, the company was purchased by Thomas H. Lee Partners (THL), a private equity firm based in Boston.[11]
On March 5, 2020, the company announced that it would be closing all of its company-owned stores and filed for Chapter 11 bankruptcy four days later.[12][13] The stores were forced to close early due to the COVID-19 pandemic in the United States. After the closure, THL initially reneged on its promise of severance pay, which led to former employees taking action and lobbying THL investors to force it to create a 'Hardship Fund' for former employees.[14]
In May 2020, Love's Furniture & Mattress assumed control of many of the former locations.[15] However, soon after Love's filed for bankruptcy in December 2020 and began liquidation sales at all stores. All stores were closed in 3 phases with 2 of them occurring in May and the last one that closed them all on Sunday, June 27th, 2021 officially marking the end of era for Art Van and Love's Furniture & Mattress.[16]
Stores
At its peak, the company operated 141 stores located in Michigan, Ohio, Illinois, Indiana, Iowa, and Missouri and a full service e-commerce website, with an additional 45 freestanding Art Van PureSleep bedding stores.[17] The company also had franchised stores located in the Midwest.[18] In all, the company had nearly 200 stores.[19] Art Van had partnered with Paul's TV to open a section for Paul's TV to sell televisions inside Art Van stores. Eighteen locations were opened, however all were closed down by 2015.[20] Other boutique sections have included AV Flooring, and Art Van Furniture operated three Scott Shuptrine interior design studios in the state of Michigan.[21] Art Van also produced a mail catalog of its furniture offerings.[22]
Marketing
In 2015, the company paid out $2.5 million dollars in free furniture to 3000 customers after a promotion that gave away the purchases of customers if it snowed three inches each in the cities of Toledo, Fort Wayne, and Chicago.[23][24] In 2016, Art Van replaced its regional Super Bowl advertisements in the Detroit and Grand Rapids areas with a thank you message for donors of water to Flint, Michigan, which the company had solicited through its charitable programs.[25][26]
References
- [1] "Contact Us." Art Van. Retrieved on November 7, 2013. "Art Van Furniture 6500 14 Mile Road Warren, MI 48092"
- Art Van closing its stores CNN, 5 March 2020
- "Art Van Elslander Reflects on His Chicago Favorites". Michigan Avenue Magazine. May 18, 2016.
- Janet Holt-Johnstone (July 9, 2014). "Retail Success Story: Art Van Furniture". Furniture World Magazine.
- Noah Barnes (February 26, 2016). "Art Van Furniture in the Midwest". Ocean Post.
- John Presta (April 27, 2013). "Governor Quinn announces retailer 'Art Van Furniture' expands into Chicago area". Chicago City Hall Examiner
- Janet Holt-Johnstone (July 9, 2014). "Retail Success Story: Art Van Furniture". Furniture World Magazine.
- Daniel Duggan (December 4, 2009). "Art Van Furniture named Retailer of the Year by trade publication". Crain's Business Detroit.
- Graydon Megan (August 3, 2015). "Art Van Furniture opens new flagship store in Downers Grove". Chicago Tribune.
- New CEO
- Record Eagle
- Reindl, JC (2020-03-05). "Art Van Furniture to close its stores, begin liquidation sales". Detroit Free Press. Retrieved 2020-03-05.
- Reindl, J. C. "Art Van Furniture files for Chapter 11 bankruptcy, could still face liquidation". Detroit Free Press. Retrieved 2021-04-11.
- "Bankruptcy Claimed Their Jobs, and Now They're Out for Payback". Bloomberg.com. 2021-02-10. Retrieved 2021-02-17.
- "17 Art Van stores to become Loves Furniture under new owners". Crain's Detroit Business. 2020-05-12. Retrieved 2021-06-26.
- Reindl, J. C. "Loves Furniture files for bankruptcy, may seek new owner for remaining stores". Detroit Free Press. Retrieved 2021-06-26.
- "Art Van Furniture opens new location on Coliseum Boulevard". Wane. February 8, 2014.
- Sherri Welch (July 12, 2015). "Art Van Furniture says $1 billion in sales within reach". Crains Detroit.
- "Modern Designs Usher in Classic, Dapper Style to Art Van Furniture's 2016 Spring Style Catalog". Chicago Tribune. April 13, 2016.
- JC Reindl (April 13, 2015). "Art Van pulls plug on Paul's TV". Detroit Free Press.
- Sherri Welch (March 18, 2016). "Art Van to build new store in Canton Township — right across from Ikea". Crain's Detroit.
- "Art Van Spring Catalog and Free Furniture Frenzy". Fox 2. April 16, 2016.
- Lauren Abdel-Razzaq (February 3, 2015). "Art Van bets against snow, buyers win big". Detroit News.
- "ART VAN FURNITURE 'LET IT SNOW' WINNERS TO BE REFUNDED MILLIONS IN PURCHASES". ABC 7. March 22, 2015.
- Bill Shea (February 5, 2016). "Art Van replaces regional Super Bowl TV ads with thanks for Flint water donors". Crain's Detroit.
- "Modern Furniture Store". Tuesday, 16 March 2021

