Future of McFadyen Music Co. is unknown

The new owner of Fayetteville's McFadyen Music Co. could either sell or close the store.

SB Capital Group, a retail liquidator, led a consortium that bought the store along with 61 others for $33.4 million. The seller was Brook Mays Music Co. of Dallas, which filed for bankruptcy protection under Chapter 11 on July 11.

On Aug. 8, its stores were sold at auction. A bankruptcy judge issued an order approving the sale Wednesday. The other Brook Mays stores sold at auction include H&H Music, Caldwell Music and McMurray Music.

SB Capital will start a going-out-of-business sale at McFadyen and its other stores next week, said Stephen McCartin, a bankruptcy lawyer representing Brook Mays. The sale should last about three months.

McFadyen will continue to rent instruments, McCartin said.

On its Web site, Brook Mays said customers should expect normal turnaround times for instrument repairs.

Meanwhile, SB Capital will look for a buyer for the McFadyen store and its other leased locations, McCartin said. If SB doesn't find a buyer, then it will close the stores.

SB Capital is a retail liquidator, according to Hoovers. SB Capital is owned by Schottenstein Stores Corp. Schottenstein has stakes in Value American Eagle Outfitters, Retail Ventures and about 50 shopping centers.

SB Capital's partners in the Brook Mays purchase are EMCC Inc., Tiger Capital Group and Palisades Collections.

Calls were not returned by SB Capital Group or by Bill Everitt, Brook Mays' chief executive.

McFadyen was started in the 1920s, when Scott McFadyen bought the W.F. Blount Piano Co. and renamed the company after himself. McFadyen operates stores throughout the Carolinas.

Brook Mays was started in Dallas in 1901. The company operates 63 stores under 10 names in eight states.