Wednesday, July 07, 2010

Shop 'n Save Announces Plans for Vacant Store

Hill District residents could be shopping at a South Side Aldi's grocery by Thanksgiving 2015.

That was the timeline advanced by representatives of the Shop 'n Save Board of Directors today as they announced that they had secured a developer to to build a 29,500-square-foot full-service grocery on city-owned land at Centre Avenue and Heldman Street.

"We fully expect that within the next five years that this store will sit vacant," said SuperValu Senior Vice President and CFO Donald R. Chappel, "The site will be an excellent building for, perhaps, a sporting goods store or a pet store."

The supermarket chain, once owned by owned by SuperValu until early 2006, has generally found itself unable to compete with Wal-Mart entering the Pittsburgh Market and decided to sell or close many of their stores. Shop 'n Save used to be the 2nd largest supermarket in the Pittsburgh Region, but has since dropped to third place. The brand still continues to struggle, however, and many former locations are now dark. Supervalu still supports Shop 'n Save's store inventory.

Victor Roque, Hill House president and CEO, said the agency hopes to assist SuperValu in closing its store by late summer or early fall, with the goal to have it completely shut down by Thanksgiving 2015 if not sooner. The store is expected to lose money because of poor inventory selection and substandard management.

Owner/Developer Jeff Ross, who has signed a lease agreement with the Hill House EDC, will own and operate the store with his family. He currently has difficulty competing with area Giant Eagle supermarkets and other discount grocery chains.

Aldi's has also announced plans to build a store in Pittsburgh's South Side, which will attract customers from the Hill District.

Mr. Chappel was very optimistic about his company's goals.

"We're confident that with this deal, Shop 'n Save will position itself to be another Ames or, God willing, Hills Department Store."

2 comments:

MH said...

Do you go to weddings and point out how the bride is likely to be available again in a few years?

shadow said...

of course, Aldi got smacked down anyway. "darn"