The Real Deal Miami

Carls Furniture files for Chapter 11

May 25, 2011 01:59PM

Carls Furniture has filed for bankruptcy protection in the aftermath of the housing market’s collapse and has announced that its stores in Boca Raton and Kendall will close. Another store in northern Miami-Dade may also be on the chopping block. The upscale retailer has been closing stores and negotiating sale-leaseback deals for others in an attempt to stay afloat for the past four years. Stores in Aventura and West Palm Beach shuttered in 2007, and also that year, the company put its entire real estate portfolio up for sale. It wound up selling stores in Stuart and North Palm Beach to a developer and leasing them back, but ultimately those, too, were shuttered. According to the Chapter 11 filing, the landlord for Carls’ Miami-Dade branch is a top credit, and foiled negotiations over rent at a store in North Dade contributed to the company’s bankruptcy, and that store is also likely to close. [Miami Herald]