This past October, popular juice chain Organic Avenue abruptly closed all 10 of its stores in NYC and filed for bankruptcy. Employees had little notice, and loyal customers were left in shock.
No one seemed to be able to pinpoint what happened to the brand that seemed to be synonymous with healthy living — even The New York Times tried to figure it out, placing the blame on high real-estate costs, excessive inventory, and strong competitors like Juice Press and Sweet Green.
Though for fans of its popular drinks and prepared healthy food, there might be hope. Arrow Equity Fund bid $1.7 million for the purchase of the defunct brand. The sale was approved in late November by the U.S. Bankruptcy Court for the Southern District of New York, and the deal was just finalized last week.
Mark Tress, founder of Arrow Equity Fund, has high hopes for Organic Avneue and plans to bring back its founder, Denise Mari, as the brand's chief executive officer.
He's also planning on making moves — fast. "We're repositioning the company as well," he told the New York Business Journal. "We're hoping in the next 30 to 60 days, to reopen and we're recreating the business plan."