A Furniture Showroom...Why not a Trader Joe's?

In a March blog I reported we received confirmation from the NC Department of Commerce that two downtown New Bern projects submitted January 6 through the City, for a $100,000 Main Street Solutions grant, are being funded. Swiss Bear and the City Planning staff worked with Haroldson Properties and the Craven Arts Council submitting a grant request for expansion of the retail space in the Bank of the Arts to increase revenues and promote the work of local artists, and renovation of the old vacant commercial building on East Front Street, formerly Pak-A-Sak supermarket, for use as a wholesale furniture outlet.

In response to several phone calls and letters to the editor in the Sun Journal suggesting the public would be better served if the owner of the commercial property or Swiss Bear had recruited a specialty food store such as Trader Joe's rather than a wholesale furniture store, I am following up with a bit of history and a conversation with a Trader Joe's representative. 

When the Pak-A-Sak grocery store (one of three Pak-A-Sak stores in New Bern) closed in the1990’s, we along with the owner of the property contacted several grocery chains to discuss the possibility of recruiting one to open a store in that building to service the greater downtown area. Their response…the population base in the greater downtown area is not sufficient to justify the investment and generate the income stream necessary to operate a profitable business, which is the major reason the Pak-A-Sak closed. Statistics also indicate residents in outlying areas are not willing to change their routine of shopping at large full service chain stores convenient to their homes, to shop at a smaller market in the downtown area.

In spite of the major street scape improvements to East Front Street in the early 2000’s, the downtown gateway from the Alfred Cunningham Bridge was negatively impacted by the deteriorating highly visible vacant building. The large empty parking lot facing the East Front Street corridor was used primarily as overflow parking for special events and a hot dog vendor who occupied a small space on the lot. 

In late fall, owners of Branch’s Furniture voiced an interest in leasing the space for use as a furniture outlet if the owner would renovate the building. When the NC Department of Commerce announced in late November, the Main Street Solutions Grant Program had funds available for Main Street City projects that met the criteria…spur private investment; provide retention, expansion or recruitment of small business and one job created for every $25,000 awarded; and the requirement that recipients of the grant would spend a minimum of two non state/federal dollars, for every one dollar provided from the Main Street Solutions Fund, the owners of this commercial building inquired and pursued this opportunity for financial assistance.

Why not a Trader Joe's? New Bern’s demographics doesn’t meet the criteria.  

Per my conversation with a Trader Joe's representative on how they select a site, he said, "cities must have a minimum population of 300,000+ and the store’s location within that city is determined by the density within a three to seven mile area surrounding the store which must exceed 40,000 affluent/educated households. The next and last store they will open in North Carolina is in Wilmington." Other specialty stores such as Whole Foods, require similar demographics.

We are appreciative of the timely opportunity to apply for a highly competitive grant for two downtown projects and are happy we were one of the four cities who made the cut, as the Main Street Solutions Grant Program will end with the completion of this round of projects. The renovation of this building will expand a long-standing family business and downtown's retail mix, create jobs and enhance the East Front Street gateway into the downtown.

Susan Moffat-Thomas

Executive Director