Springfield, N.J. – Defunct A/V specialty chain Sixth Avenue
Electronics was expected to hold a liquidation sale at its headquarters, store
and warehouse complex here over the weekend.
A two-page full-color ad announcing a “going out of business
warehouse sale” was slated to run this weekend in the local Star-Ledger, the
daily newspaper reported. It is unclear how the sale was impacted by the
Halloween snowstorm that blanketed much of the region.
According to a report by The Record, a New Jersey daily, the
fire sale was expected to be conducted by the Gordon Brothers Group under the
auspices of investment firm Alco Capital, which was named the assignee.
The shutdown came after Sixth Avenue defaulted in September
on a floor-planning loan from GE Capital Solutions and a federal district judge
ordered all of the dealer’s property seized last month, court documents show. The
family-held business has since opted to liquidate under an “assignment for the
benefit of creditors,” or ABC, The Record reported, which moves the proceeding
from federal to state jurisdiction and provides more flexibility than a Chapter
11 or Chapter 7 bankruptcy.