High-End Retailer Design Spree To Hold Out-of-Business Sale
New Jersey-based retailer Design Spree has announced that they will be closing dowing their two stores after a going-out-of-business sale which will start on Saturday. According to the company, the decision to close was primarily due to the rising number of Internet competition. The press release cited “changing consumer behavior as the primary reason for the stores’ closing.”
An unnamed official also commented that pressure from Internet sales on luxury furniture pieces also plays a part as well as the consumers’ shifting behavior from heirloom-quality furniture.
Design Spree executive Jay Wagnon also said in a letter to industry creditors that the business transition is expected to last until early September. In the letter, Wagnon said, “The purpose of the GOB sale is to maximize cash available for repayment to vendors and creditors.” He added, “When available, excess call will, in accordance with applicable law, be equitably distributed amongst vendors and creditors.”
Wagnon also expressed the company’s plans to reorganize the business but they are not quite sure yet on the feasibility of this option.
Roy Hester, senior vice president for Planned Furniture Promotions, said, “Each and every customer of Design Spree is being taken care of, and we’re hoping for a successful sale to maximize the return to vendors.”
Hester, who will be conducting the GOB sale, also commented that he had the pleasure of working with Design Spree but the company is experiencing the same “struggle faced by higher-end retailers from coast to coast during these difficult economic times.”
Design Spree started out in 2007 in Lawrenceville. In 2011, it opened a new store in Maywood, New Jersey. Design Spree claims to have the largest selection of high-end furniture within New Jersey. Suppliers include Henredon, Century, Lexington Home Brands, Berndhardt, Maitland-Smith and Theodore Alexander. The high-end retailer also distributes fine home rugs sourced from around the world.