Attract Quality Grocery Stores with Strategies for Development and Community Benefits
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This workshop sponsored by LISC and PolicyLink focused on helping community activists understand the process of grocery store attraction or development.
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Attract Quality Grocery Stores with Strategies for Development and Community Benefits
- 1. Grocery Store Attraction and Development November 1, 2007
- 3. So why don’t we have quality food stores in every community?
- 4. So why don’t we have quality food stores in every community? Some Barriers: •Crime/perception •Traditional Market Data •Securing Appropriate Development Sites •Increased Development Costs •Increased Operating Costs •Customer Diversity
- 5. Developing new food stores is difficult
- 6. Alternatives to New Stores • Improve Existing Grocery Stores • Improve Corner Stores • Farmers Markets • Mobile Markets • Improve Transportation to Out of Area Stores
- 8. 6. Address the perception of the area 7. Identify potential development sites 8. Research and offer incentives 9. Sell the opportunity 10. Secure community support and corporate accountability A Coordinated Strategy 1. Identify stakeholders 2. Raise awareness of the problem 3. Understand the challenges 4. Consider the alternatives 5. Understand the market
- 9. Store Types • Convenience Stores – 1,000 to 5,000 feet • Full Service Grocery – smaller store with produce, meat and dairy • Conventional Supermarket – 15,000 items, $2 million sales. 30,000 – 45,000 feet • Superstores – >25,000 items. 45,000 – 80,000 feet or larger • Wholesale Clubs – bulk products. Generally larger than 100,000 feet
- 10. Ownership Types Independent Operators – Fewer than 11 stores Chain Stores – 11 or more stores – privately held or publicly held Cooperative Stores –Consumer owned –Worker owned
- 11. Small Independent Store Farmer Joe’s Market, Oakland 6,000 Square foot store 1.5 acre site
- 12. Neighborhood Shopping Center New Horizons Center Bronx, NY 43,000 foot supermarket 130,000 foot center 10 acre site
- 13. Mixed Use Development Housing 62,000 foot grocery Store Parking Entrance Fulton Street, San Francisco 62,000 foot supermarket, 3 acre site
- 14. Development Incentives • Planning Support • Flexible Zoning • Fee Waivers • Land • Development Grants • Below Market Loans Operating Incentives • Job Training and Placement Programs • Workforce Tax Credits • Utility cost waivers • Commercial revitalization programs
- 15. Community Benefits Some Examples • Health – Quality fresh food – Competitive Prices – Local producers • Jobs – Local hiring – Wage levels – Benefits – Union membership • Community – Support for events – Participation in revitalization efforts • Environment – Green building – Local suppliers • Etc.
Editor's Notes
- Part of the reason that this is popular is that the supermarket serves as “Anchor” for other tenants. The in line tenants pay higher rent and the supermarket pays less. Supermarket surrounded by acres of free parking may not be the most profitable use of prime urban land.