By Colin R. O'Leary
Gotta go to Mo's? Sadly it's no longer going to be an option as the company has filed for Chapter 11 bankruptcy. America’s oldest family-owned and operated retailer of sporting goods has voluntarily filed for Chapter 11 in the District of New Jersey.
The company has been struggling in recent years. Online sales of sporting goods by companies like Amazon have cut into the business of traditional sporting good brick-and-morter retailers like Modell's. The local New York sports teams have also been performing poorly for the most part in recent years, leading to less fan gear being sold at Modell's. All stores will soon be shuttered and the remaining assets will be liquidated.
The company attempted to raise money by outside investors in past years to tryto avoid a bankruptcy filing. Unfortunately the company was unsuccessful. “Over the past year, we evaluated several options to restructure our business to allow us to maintain our current operations. While we achieved some success, in partnership with our landlords and vendors, it was not enough to avoid a bankruptcy filing amid an extremely challenging environment for retailers,” Modell’s Chief Executive Officer, Mitchell Modell, said.
The company has 153 stores in multiple states including New York, New Jersey, Pennsylvania, Connecticut, Rhode Island, Massachusetts, New Hampshire, Delaware, Maryland, Virginia and Washington, DC. Modell's Sporting Goods has been in operation for over 130 years. The company was founded by Morris Modell in New York City back in 1889. Commercial real estate brokerage A&G Realty Partners has been selected market the retail spaces that will be vacated by Modell's, according to the Real Estate Weekly.