Sunday, September 21, 2003
The store is expected to open in November.
By ROGER G. SMITH
CITY HALL REPORTER
YOUNGSTOWN -- Giant Eagle will lease its vacant Market Street and Midlothian Boulevard location to Sparkle Market.
The company was to announce the deal this morning.
Dan Shapira, special counsel for Giant Eagle, said Sparkle will operate a full-service store in the South Side neighborhood. Vince Furrie Jr., Sparkle's president, will be the store owner.
Mayor George M. McKelvey credited Shapira for offering a deal that recognizes that the site is in a struggling city neighborhood. The deal absolutely wouldn't have happened without that, he said.
South Side residents deserve a first class, full-service grocery store, McKelvey said. The store is expected to open in November.
"I could not be happier for the residents," he said.
Mayor's efforts
Shapira said McKelvey urged Giant Eagle to do everything possible to bring a grocery store -- and not anything else -- to the site.
"He can be very persuasive," Shapira said.
Giant Eagle had many others offers from nongrocery operators to lease the building, but the mayor was adamant, he said.
Giant Eagle provided several large incentives to lure a grocery store, Shapira said. Giant Eagle is providing Sparkle all the equipment in the store at no cost, a loan to buy all the inventory and offering a "very favorable" lease, he said.
"That's a very favorable financial package," he said.
Abatement
In addition, the city will give Sparkle a $500,000, zero-interest loan that must be backed by a bank's letter of credit and a 10-year, 75-percent abatement on real and personal property.
Giant Eagle closed at Market and Midlothian in 1998.
Phar-Mor opened in the building in June 2000 after intense lobbying by a coalition of city and suburban churches. The store closed, however, after Phar-Mor filed for bankruptcy in 2001 and liquidated its assets.
rgsmith@vindy.com