Fresh & Easy Buzz, an independent blog that follows the grocery industry, has some additional information on the closing of the DeLano’s market at 27th & Geary.
The site spoke with Joseph Neri, the attorney for Delano Retail Partners LLC, which is the corporate entity for the DeLano’s markets. He told them that DeLano’s is closing five of its six Bay Area locations by December 17.
As discussed in our earlier post, DeLano’s financial troubles are to blame for the closure:
Last week Ralphs filed lawsuits in San Francisco and Marin County Superior Courts against DeLano Retail Partners LLC for failure to pay rent on the five units, according to Neri. The amount Ralphs is asking the courts to order DeLano Retail Partners LLC to pay in back rent is well over $1 million, according to court records.
DeLano Retail Partners doesn’t have the cash to pay the back rent, or for that matter to keep current going forward. Therefore Harley DeLano and his son Dennis decided to close the five stores.
The article also mentions that Mollie Stone’s Market’s may be interested in one or more of the DeLano IGA Markets stores:
First, because the DeLano’s are closing the five stores by December 17 due to eviction and related financial difficulties, Mollie Stone’s won’t be acquiring any of the markets directly from the grocer. However, according to our information, Mollie Stones is interested in at least two or three of the sites, which once vacant will be back on the market, since Ralphs’ has no plans to locate stores at the locations.
It’s not known if Mollie Stone’s is interested in the outer Richmond location. The opening of Fresh & Easy in early 2011 just a few blocks away at 32nd & Clement probably makes the former DeLano’s location less appealing to another grocer; the competition might be too much.
Sarah B.
Went the other day to see if I could capitalize on their 40% off deal and was astounded at the ridiculously high shelf prices of the remaining items! Couldn’t help wondering if they had been jacked up in honor of the occasion, Although the market was very conveniently located for me, the few times I used it, the prices struck me as way above other supermarkets (including Whole Foods), and no matter how long the check out line one, rarely was more than one cashier in business. I lament that we will have yet another empty storefront in the neighborhood (we are beginning to look like a Rust Belt city out here…), but really, the Richmond deserves far better than what IGA was offering.
i too stopped by DeLano’s the other day to look for deals but items were still very expensive or even with the discount, around the same price you’d pay at Trader Joe’s or Safeway. i did end up with some Its-It ice creams packs and a bag of chips for a decent and fair price, though. but i also went to say my farewells – it’s sad to see workers go and the market has been a lifesaver for me when it’s some crazy hour of the night and i need something or i forget an ingredient to a dish i’m making.
let’s hope this corner gets an awesome tenant/owner and some TLC, either with a great market (that would be so niche to not compete with Fresh and Easy) — like Rainbow! or perhaps affordable housing units or maybe even something fun!