Dive Brief:
- Chicago-area investment group Yellow Banana has started reopening six Save A Lot stores it owns in the city following a multimillion-dollar renovation effort partially funded in part by a municipal grant, the company announced Thursday.
- The first of the upgraded locations, in the city’s West Garfield Park neighborhood, reopened on Thursday, with the remaining five stores in other parts of the city slated to reopen at unspecified points this fall.
- The project reflects a joint effort by Yellow Banana, the government of Chicago and community organizations to improve access to groceries for people in underserved parts of the city.
Dive Insight:
Yellow Banana covered the cost of the remodeling campaign in part with a $13.5 million community development grant the company received from the city of Chicago in 2022.
The company, which owns and operates 38 Save A Lot locations in major metropolitan areas in Ohio, Illinois, Wisconsin, Florida and Texas, said last year that it would also use money it raised from third-party backers, New Markets Tax Credit and its own funds for the renovation effort.
The retooled stores are gaining a variety of interior and exterior improvements, including new floors, lighting, heating and air-conditioning units, refrigerated cases and signage.
In addition to the Save A Lot store that reopened Thursday, Yellow Banana is preparing to begin serving customers during the coming weeks at locations in Chicago’s Morgan Park, South Chicago, South Shore, Auburn Gresham and West Lawn areas. The company noted in 2022 that the Auburn Gresham location had closed in 2020.
Yellow Banana said in April 2023 that it expected to complete the work within a year, but the company indicated on Thursday that the project fell behind schedule due to an array of problems. Those issues included trouble obtaining equipment, “unavoidable” construction delays and utility issues stemming from vandalism that left two stores without electricity for almost three months, Yellow Banana said, adding that it continued to pay workers during the renovation process.
“I’m confident that the investment made to remodel and upgrade these stores will pay off for shoppers, providing a significantly improved customer experience,” Yellow Banana CEO Joe Canfield said in a statement. “We’re grateful to the City of Chicago, to the communities around these stores and to Save A Lot for their patience and support throughout this process.”