4 Major Furniture Retailers to Shutter Vermont Operations This Spring 2026

VERMONT  — The landscape of Vermont’s home furnishings market is undergoing a dramatic shift this spring as both local mainstays and national giants announce permanent closures. Driven by a combination of owner retirements, high-profile bankruptcies, and a nationwide "retail downsizing" trend, these four major players are significantly reducing or entirely eliminating their physical presence in the Green Mountain State.

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Mattress & Sofa Warehouse (Morrisville, VT)

In Lamoille County, a local era is coming to an end. The Mattress & Sofa Warehouse in Morrisville officially moved into its final liquidation phase in early 2026. After decades of serving the community, the family owners announced their retirement, citing a desire to transition away from the business rather than a failure of the store itself.

• Closure Status: Liquidation sales began in late 2025 and are expected to conclude by the end of spring 2026.
• Customer Impact: The store has been a primary source for affordable bedding and living room sets in the Morrisville area, and its departure leaves a notable vacancy in the local retail market.

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Circle Furniture

While primarily based in Massachusetts and New Hampshire, Circle Furniture has long maintained a deep connection to Vermont through its manufacturing partnerships and local supply chains. In early 2026, the company shocked the region by filing for Chapter 7 bankruptcy and abruptly shutting down all operations.

• The Vermont Tie: The chain was known for sourcing high-quality pieces from Vermont artisans. The sudden closure of its retail outlets has sent shockwaves through its Vermont manufacturing facility, where workers were notified of the total cessation of business just as the new year began.
• Liquidation: Unlike a Chapter 11 restructuring, a Chapter 7 filing means the brand is being dissolved in full, with no plans to reopen under the current banner.

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Value City Furniture / American Signature

The parent company, American Signature Inc., has moved into the final stages of its bankruptcy-mandated store closures. After filing for protection in November 2025, the company confirmed that all 89 remaining locations nationwide—including those serving the Vermont and border regions—will be shuttered by mid-2026.

• Liquidation Details: Going-out-of-business sales officially ramped up in January 2026, with discounts reaching 50% as the chain attempts to clear its massive inventory of bedroom, dining, and decor collections.
• Operational Shift: This complete exit from brick-and-mortar stores marks the end of nearly 80 years of operations for the Value City brand, as the company was unable to navigate the "macroeconomic headwinds" of the past year.

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Orvis (Strategic Downsizing)

The historic, Vermont-founded outdoor and lifestyle giant Orvis is conducting a major "strategic review" that includes closing approximately half of its retail fleet. While the brand is often associated with fly-fishing and apparel, its furniture and home lifestyle segments are also being hit by the reduction.

• The Plan: Orvis is closing 31 full-price stores and five outlets nationwide by early 2026. The goal is to return to the brand’s core heritage of fly-fishing and wingshooting, moving away from broader lifestyle and home offerings that have underperformed.
• Manchester Flagship: Despite the nationwide closures, the company's iconic flagship store in Manchester, Vermont, is expected to remain a central pillar of the brand's physical presence, though the overall retail footprint will be much leaner by the end of the spring.

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The Broader Trend: A Changing Retail Climate

These closures are symptomatic of a wider trend impacting the furniture industry in early 2026. With rising shipping costs, high interest rates affecting home purchases, and a continued pivot toward online shopping, the traditional furniture showroom is becoming increasingly difficult to sustain. Vermonters can expect deep liquidation discounts through May, but the closure of these physical locations signals a more digitally focused future for the state's home retail market.

Would you like me to identify the nearest remaining independent furniture makers in Vermont who could fill the gap left by these larger chain closures?

Circle Furniture files for bankruptcy after closing stores This video provides local news coverage on the sudden bankruptcy filing and the resulting impact on customers and employees following the closure of this regional furniture staple.

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