The RoomPlace

{{Infobox company

| name = The RoomPlace

| logo = File:TheRoomPlace Logo.jpg

| type = Private

| genre =

| foundation = {{Start date and age|1912}}

| founder = Sam Berman

| defunct = {{End date and age|2025|4|2}}

| fate = Bankruptcy and liquidation

| location_city = Lombard, Illinois

| location_country = United States

| location =

| locations = 26 (2024)

| area_served =

| key_people = Bruce Berman

| industry = Retail, manufacturing

| products = Furniture

| services =

| revenue =

| operating_income =

| net_income =

| homepage = {{webarchive |url=https://web.archive.org/web/*/http://www.theroomplace.com/ |date=* |title=Archived official website }}

| owner = Bruce Berman

}}

The RoomPlace was an American furniture retailer headquartered in Lombard, Illinois. The company had 26 locations across the Midwest up until 2024.

History

The RoomPlace was founded back in 1912 by Sam Berman as a small furniture store in the West Town neighborhood of Chicago, Illinois. In 1950, they opened a new store on Harlem Avenue in Chicago, opening up as Harlem Furniture.{{Cite web|url=https://www.theroomplace.com/our-story|title=The RoomPlace history|access-date=February 2, 2024|website=The RoomPlace|language=en}} A second store would open up over three decades later in 1985 between 79th Street and Cicero Avenue in Chicago, followed by several other new stores by 1990, in Hoffman Estates, Homewood, and Vernon Hills. A distribution center later opened up in Hillside by 1988.{{Cite web|url=https://www.furninfo.com/furniture-world-articles/3398#:~:text=1985%20marked%20the,business%20in%201988.|title=Retail Stories: The RoomPlace|date=September 25, 2012|access-date=February 2, 2024|website=Furniture World|language=en}}

In the early 2000s, Harlem Furniture would change its name to The RoomPlace. This was eventually followed by some new stores, including one in Orland Park, Illinois, and a distribution center expansion from 200,000 square feet to over 300,000+ square feet.{{Cite web|url=https://www.furninfo.com/furniture-world-articles/3398#:~:text=Harlem%E2%80%99s%20change%20of,307%2C000%20square%20feet.|title=Retail Stories: The RoomPlace|date=September 25, 2012|access-date=February 2, 2024|website=Furniture World|language=en}}

In 2011, Bruce Berman, the company's former CEO, won an auction to acquire the furniture retailer for $15.1 million. At this time, the company had around 23 operating stores.{{Cite web|url=https://www.furnituretoday.com/business-news/berman-acquires-room-place/|title=Berman acquires Room Place|date=December 21, 2011|access-date=February 2, 2024|website=Furniture Today|language=en}}

=2016 warehouse fire and Indianapolis expansion=

On April 21, 2016, a fire caused serious damage to The RoomPlace's Woodridge distribution center, which caused an estimated $40 million to $60 million in damages. No one was injured or killed in the incident. The cause of the fire was confirmed to be a RoomPlace forklift operator, who lit a piece of paper on fire that eventually quickly spread across the distribution center. He was later identified to be 20-year-old Ruben Ochoa Cruz, who stated that he had a heated argument with his bosses over vacation time, stating that they were going to cut his vacation time because of missed days at work. Ultimately, he would be charged with federal arson charges in connection to the incident.{{Cite web|url=https://www.cbsnews.com/chicago/news/firefighters-remain-on-scene-of-roomplace-warehouse-fire/|title=Damage From RoomPlace Warehouse Fire Estimated At $40 Million To $60 Million|date=April 22, 2016|access-date=February 2, 2024|website=CBS News|language=en}}{{Cite web|url=https://abc7chicago.com/woodridge-fire-roomplacd-arson-roomplace-warehouse/1315806/|title=RoomPlace employee charged with arson in Woodridge warehouse fire|date=April 29, 2016|access-date=February 2, 2024|website=ABC7|language=en}}

In 2018, Cruz was convicted on all charges, and was sentenced to 6 years in prison. The total cost in damages was estimated to be around $122 million.{{Cite web|url=https://www.chicagotribune.com/2018/08/28/man-who-set-woodridge-warehouse-fire-causing-122m-damage-gets-6-years-in-prison-for-callous-disregard-for-human-life/|title=Man who set Woodridge warehouse fire, causing $122 million in damages, gets 6 years in prison for 'callous disregard for human life'|date=August 28, 2018|access-date=February 2, 2024|website=Chicago Tribune|language=en}}

In May 2016, The RoomPlace announced an expansion to the Indianapolis area within the coming months, with a new distribution center and 6 stores opening in the Indianapolis area by the end of 2016.{{Cite web|url=https://www.prnewswire.com/news-releases/the-roomplace-announces-expansion-in-indianapolis-300269293.html|title=The RoomPlace announces expansion in Indianapolis|date=May 18, 2016|access-date=February 2, 2024|website=PR Newswire|language=en}}

=Bankruptcy=

On February 2, 2024, The RoomPlace filed for Chapter 11 bankruptcy. The company stated that the filing would allow for them to align its costs with its projected sales and economic realties. As a result of the bankruptcy, one store in Kenosha, Wisconsin, one store in Peoria, Illinois, and all six Indianapolis-area stores are set to close within the coming months. The RoomPlace contracted Planned Furniture Promotions to conduct going-out-of-business sales for those stores, and began liquidation sales that same day. 83 employees will be impacted by the closings.{{Cite web|url=https://www.furnituretoday.com/financial/the-roomplace-files-chapter-11/|title=The RoomPlace files Chapter 11|date=February 2, 2024|access-date=February 2, 2024|website=Furniture Today|language=en}}

In July 2024, a bankruptcy court judge approved an auction for the sale of The RoomPlace's assets. Two bidders would seek to buy The RoomPlace, but both were ultimately let down. With no buyer found, The RoomPlace announced in September 2024 that they would close all of its remaining locations.{{Cite web|url=https://www.furnituretoday.com/financial/latest-filing-takes-the-roomplace-bankruptcy-toward-more-closings/|title=Latest filing takes The RoomPlace bankruptcy toward more closings|first=Thomas|last=Lester|date=September 19, 2024|access-date=January 25, 2025|website=Furniture Today|language=en}}

Closure dates of each location after bankruptcy

July 29, 2024: Peoria & Indianapolis (Michigan Rd.)
August 5, 2024: Plainfield & Carmel
August 12, 2024: Kenosha, Indianapolis (Castleton & Washington St.), & Greenwood
October 29, 2024: McHenry
December 4, 2024: Joliet
December 9, 2024: Schaumburg
December 10, 2024: Gurnee
January 1, 2025: Merrillville
January 5, 2025: Rockford
January 7, 2025: Arlington Heights
January 27, 2025: Homewood
February 24, 2025: Chicago (Cicero Ave.)
March 3, 2025: Orland Park
March 23, 2025: Chicago (Elston Ave.)
March 25, 2025: Algonquin
March 31, 2025: Bloomingdale & Woodridge
April 2, 2025: Aurora, Chicago (Harlem Ave.), Lincolnwood, & Lombard

References

Category:Companies based in Chicago

Category:Retail companies established in 1912

Category:Furniture retailers of the United States

Category:Retail companies of the United States

Category:American companies established in 1912

Category:1912 establishments in Illinois

Category:American companies disestablished in 2025

Category:Retail companies disestablished in 2025

Category:2025 disestablishments in Illinois

Category:Companies that filed for Chapter 11 bankruptcy in 2024