Lafayette Square will get grocery
By Gail Appleson
ST. LOUIS POST-DISPATCH
02/14/2007
Supervalu Inc., the Minneapolis-based parent of Shop 'n Save and Sav-A-Lot, plans to open an upscale grocery in an $80-million mixed-used project south of downtown, according to developers of the property.
The full-service supermarket, which will be about 33,000 square feet, will open along with a Walgreens in Georgian Square, a 12-acre site on Lafayette Avenue, said Trace Shaughnessy, a principal of Gilded Age, which is developing the property with Koman Properties. Georgian Square is the first large-scale mixed-use retail development in or near Lafayette Square.
The development is south of the former City Hospital, which recently was converted to the Georgian Condominiums by Gilded Age. Construction on Georgian Square will start in about 60 days and the grocery, which will be called City Market, is expected to be open by summer of 2008.
"It's a definite thing," Shaughnessy said. Supervalu did not return calls.
The supermarket and Walgreens will be part of a 90,000-square-foot retail complex that also will include restaurants. Another part of the development will feature four commercial office buildings and residential units.
While the project will be geared to meet everyday needs of the increasingly affluent residents of the Lafayette Square and Soulard neighborhoods, the developers said it will also be close enough to serve downtown residents and office workers.
Downtown St. Louis has no drugstore and only one small market, City Grocers, which will move this fall into a 14,000-square-foot spot in Syndicate Trust Building, a mixed-use development at Tenth and Olive streets.
Shaughnessy said he believed Supervalu's City Market will be similar in concept to a Whole Foods, emphasizing organics and prepared foods. Indeed, the Whole Foods Market in Brentwood is the same size, 33,000 square feet.
Although Supervalu is known in this area for its value-centered markets, it has been increasing upscale departments and higher-end stores. For example, in January 2006 it opened Sunflower Market, which focuses on natural and organic products. Today the chain has four stores, each less than 15,000 square feet, in three markets, Indianapolis, Chicago and Columbus.
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In November Supervalu unveiled "Premium Fresh & Healthy," a new store program aimed at finding the right product mix to fit neighborhood demographics of each store.
Last year, its Kirkwood-based Shop 'n Save subsidiary, known for low prices and bag-your-own groceries, also launched a series of upscaling efforts, including in-store coffee shops with Wi-Fi availability in Edwardsville and Dardenne Prairie. The chain has opened made-to-order sandwich counters in at least five locations.
The chain also offers more than 60 organic produce items and hundreds of non-perishable organic items and exclusive premium lines of beef and pork.
gappleson@post-dispatch.com | 314-340-8331