Steve’s Music to close most stores as it restructures around Montreal flagship

Steve’s Music, a long-running Canadian musical instrument retailer, is closing four physical locations across Quebec and Ontario and shifting its business toward a single downtown Montreal flagship and online sales. The move, disclosed publicly on Monday, February 9, 2026, marks a major retreat from brick-and-mortar for a chain that has been a fixture for musicians for decades.

The company has framed the decision as a necessary reset to compete in a market where more shoppers buy instruments and recording gear online, while operating costs and in-store traffic patterns have become harder to balance.

What’s closing and what stays open

Steve’s Music is winding down all locations except its flagship store on Sainte-Catherine Street in downtown Montreal. Liquidation activity has begun across the network, with “everything must go” messaging and deep discounts aimed at clearing inventory as the restructuring proceeds.

Here’s the current footprint and the direction of travel:

The restructuring and court process

The closures are unfolding alongside a formal restructuring process. Steve’s Music Store Inc. filed a notice of intention to make a proposal under Canada’s Bankruptcy and Insolvency Act on Tuesday, February 4, 2026, and has sought court approval for an inventory liquidation and related restructuring charges in the days that followed.

In practical terms, the NOI filing can give a company breathing room from creditors while it works on a proposal to reorganize its operations. For customers, the most visible impact is the liquidation push: discounted inventory, reduced new stock arrivals, and the steady ramp-down of in-store services at closing locations.

Why the business is narrowing to one store

Steve’s Music has pointed to a broad shift in consumer behavior: more buyers researching and purchasing instruments online, and fewer relying on multi-location chains for in-person browsing. Even for musicians who still prefer to test guitars, drums, keyboards, and studio gear in person, specialty retail has been squeezed by price comparison, shipping convenience, and changing downtown foot traffic.

By consolidating into one flagship, the company keeps a physical showroom and service point in its home city while attempting to reduce overhead elsewhere. The strategy also allows the brand to keep a real-world “try before you buy” presence—just not in multiple markets.

What it means for Toronto and Ottawa musicians

The closures land hardest outside Montreal. In Toronto, the Queen Street West store has long served as a walk-in hub for working players, students, producers, and touring acts passing through. In Ottawa, the retailer’s recent move to Catherine Street came after a long run near Rideau, and its exit further thins a downtown landscape where large, full-line music stores have become rare.

For local music communities, this isn’t just about buying gear. Big stores often function as informal meeting points: a place to compare instruments, troubleshoot setups, and get quick advice from staff who’ve seen every kind of gig and home-studio problem. Losing a multi-category shop can push more purchases online—especially for mid-priced instruments and accessories—while leaving fewer options for hands-on testing and same-day fixes.

What shoppers should know during liquidation

Liquidation sales can be a good time to find deals, but they come with trade-offs that vary by retailer and by item category. Shoppers considering big-ticket purchases should pay close attention to:

• Return and exchange terms, which may tighten during liquidation periods

• Warranty coverage on manufacturer-backed items versus store-specific policies

• Service timelines for setups and repairs as staffing and inventory shift

• Availability of parts and accessories that support long-term maintenance

The inventory mix can also change quickly: popular models may sell out early, while niche items linger and become progressively discounted.

What happens next

The next milestones will be procedural and practical: court decisions tied to the restructuring, the pace of inventory sell-through, and any announced final operating dates for the closing stores. The company’s longer-term test is whether a single flagship plus e-commerce can preserve what made Steve’s Music distinctive—hands-on selection and specialist support—while operating lean enough to survive today’s retail realities.

For now, the immediate reality is clear: Steve’s Music is contracting its physical presence sharply, and a decades-old retail footprint in multiple Canadian cities is shrinking to one remaining storefront in downtown Montreal.

Sources consulted: CityNews Montreal, CBC News, Insolvency Insider, TorontoToday