Arhaus Furniture

Overview: Arhaus Furniture is a publicly traded, premium home furnishings retailer founded in 1986 by John Reed and his father Jack Reed in Cleveland, Ohio. The company is headquartered in Boston Heights, Ohio, and operates as an omni-channel lifestyle brand with a strong focus on sustainability and artisan craftsmanship[1][2][6]. Arhaus went public on NASDAQ under the ticker ARHS in November 2021, with an IPO valued at $1.75 billion[2].

Products: Arhaus specializes in artisan-crafted furniture and home décor, offering a wide range of products including living room, dining room, bedroom, outdoor furniture, lighting, rugs, and accessories. The company collaborates with global artisans and manufacturers, emphasizing the use of reclaimed and recycled materials such as salvaged wood from old buildings, railroad tracks, and barns[2][3]. Recent product expansions include a bath collection featuring vanities, cabinets, hardware, and high-end towels in various colors[4]. Arhaus showrooms also feature “relics,” vintage items repurposed for contemporary living.

Market Position: Arhaus positions itself between Pottery Barn and Restoration Hardware, targeting upper-middle to high-end consumers seeking unique, sustainable, and high-quality furnishings[3][4]. The company reported $1.271 billion in net revenues for 2024 and operated 103 showrooms across 30 states as of year-end[2]. Arhaus is recognized for its differentiated proprietary model, exclusive product assortment, and complimentary interior design services. Its Trade Program offers commissions to interior designers and real estate professionals, further strengthening its market presence[2].

Growth: Arhaus has experienced significant growth, with 2024 marking its largest one-year expansion in nearly four decades[2]. The company opened a 500,000-square-foot upholstery manufacturing facility in Conover, North Carolina in 2022, employing over 300 people[2]. Arhaus continues to expand its footprint, with new showrooms opening in key markets such as Pasadena, CA, and San Antonio, TX[2][4]. The company’s sustainability initiatives include a $10 million donation to The Nature Conservancy and a partnership with American Forests to plant 1 million trees by 2031[2].

Real Estate: Arhaus showrooms are typically located in high-traffic, upscale shopping centers and historic buildings, with an average showroom size of approximately 16,000 square feet[2]. The Pasadena showroom, for example, occupies 38,000 square feet in the historic Penn Oil Building[2]. The company’s real estate strategy focuses on expanding into affluent markets and leveraging unique architectural spaces to enhance the customer experience. Arhaus offers complimentary design services and White Glove Delivery, reinforcing its commitment to customer service and operational excellence.