Value City Furniture has permanently shuttered all 126 stores across the nation, leaving approximately 10,000 customers without their paid-for furniture and less than $12 million in unfulfilled claims outstanding.

Bankruptcy Ends Columbus Retail Legacy

The decades-old Columbus, Ohio-based retailer closed its final locations this week after filing for Chapter 11 bankruptcy protection in November. Operating under both the Value City Furniture and American Signature Furniture brands, the company delivered $55 million worth of ordered furniture to customers since the bankruptcy filing. Customers still awaiting their purchases have until April 30 to submit claims through the bankruptcy case website. In February, over 36,000 customers filed claims totaling more than $57 million against American Signature Inc. for undelivered furniture, with total claims expected to climb higher.

Controversial Family Buyout and Liquidation

ASI Purchaser LLC acquired the business in February as the sole bidder and immediately began liquidating stores. Both ASI Purchaser and lead liquidation firm SB 360 Capital Partners are fully or majority owned by members of the Schottenstein family. This connection drew formal objections from the U.S. Trustee’s Office and the committee of creditors involved in the bankruptcy case. The initial purchase price reached $147.8 million, including $83.1 million in cash and $64.7 million in assumed liabilities. A settlement with the creditors committee increased the price by $10.75 million and established provisions for larger proceeds from real property sales.

Court Approves Sale Despite Single Bidder

Judge Kate Stickles ruled during a February 4 hearing that the agreement with ASI Purchaser represented the highest and best return on the business. The judge noted the sale process was conducted in good faith and with sound business judgment despite the absence of competing bids. American Signature had appointed an independent director in November who negotiated the sale alongside his own outside counsel and advisers. The American Signature brand launched in 1995 and eventually became the parent company name in the 2000s, though Columbus residents continued calling it Value City Furniture throughout its operation.