Harlem's Indiana home
15th store is first outside Illinois
By Clint Engel -- Furniture Today, September 20, 2004
Lombard, Ill. — Harlem Furniture The Roomplace will open a store in Merrillville, Ind., this year, setting the stage for expansion beyond the Chicago suburbs.
The 40,000-square-foot store will be Harlem's 15th, one of its largest and its first outside Illinois.
"This is going to be a kind of dress rehearsal for regional expansion," said Bruce Berman, CEO of the Top 100 midpriced store. He wouldn't say where else Harlem is looking or speculate on a time frame for growth.
The chain is renovating the space, a former Sports Authority, with plans to open by the end of the year. The store is about 65 miles from Chicago, but will fall under the Chicago TV advertising umbrella.
Berman said Harlem is "putting a lot into" the new store, including a 7,000- to 8,000-square-foot clearance center. The storefront will emulate the flagship Harlem Avenue location, which has been well received since it opened earlier this year. That 28,000-square-foot store, a $5 million project, replaced Harlem's first store, which opened in 1950.
At the Harlem Avenue store, Berman was looking for a sales increase of 20% to 30% over the old location, but said the gains so far have been better than that.
The store is slightly smaller than the former showroom, but with a more efficient layout — one level instead of two. Key suppliers include Ashley, Corinthian, DeCoro and Simmons in bedding.
Berman said business has remained strong for the family-owned retailer, which last year posted an estimated 18.5% same-store sales increase for an estimated $150.7 million in furniture, bedding and accessory sales. Same-store sales gains this year are "in excess of 15%," Berman said, and he is optimistic that will hold up. Labor Day business was outstanding, he added.
Harlem has been boosting its profile and volume with extensive renovations of older units, which consistently have led to double-digit sales gains, Berman said.
This year it completed renovations on its Arlington Heights and Downers Grove showrooms. It also completed a 100,000-square-foot expansion of its Woodridge, Ill., distribution center to about 300,000 square feet to support growth.
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