A grocery store promising “fresh fruits and vegetables” could open as soon as this fall in the former Walgreens pharmacy at 3424 East Genesee/Dixie Hwy, at Hess, under a proposal the City Council has received.
Akkadian Development’s Anthony Denha seeks a 12-year abatement on property taxes that would exempt his $2.3 million expense to obtain and repair the building, erected in calendar 2000 and vacated in 2020. Millages still would be charged on the base value.
A public hearing begins the agenda for the council meeting at 6:30 Monday.
Akkadian is a Bridgeport-based development company, and Denha’s proposal reflects awareness of current neighborhood issues, aiming at “bringing a supermarket/grocery store to an area in great need of fresh food and produce.” You can view his summary on page seven of the Saginaw CIty Council meeting agenda.
The Walgreens building is 15,100 square feet, about two-third the size of the nearby Giant Market and one-third the floor space of the former Kroger on Dixie.
Michigan’s Obsolete Property Rehabilitation Act, OPRA, has become a vehicle to assist smaller enterprises with reduced rates, similar to far larger abatements that in Saginaw primarily went to General Motors during the final years of the past century.
Denha previously received a 2015 OPRA to redevelop the former Kroger store at 3430 State, at Court, which is now called Time Square Plaza, home to Family Dollar, Simply 10 Fashion, and Dollar Tree franchises.
“The redevelopment of this property increased significant traffic count and spurred additional development,” Denha says. “The OPRA program was a key factor in the success of attracting national tenant brands and transforming the block into a retail hub.”
He also is responsible for locating a Dollar Tree on the Buena Vista side of the intersection, and Family Dollar and Dollar General also have found spots. Therefore, in response to our question, he chuckles when he notes that neighbors need not be concerned with “another dollar store” because the trio already exists.
He says his vision is to spark a “multiplier effect” turnaround beyond revitalizing the old drug store.
“The addition of food, grocery, pet supplies, clothing, and party supplies retailers would not only provide convenience for the local community but also generate employment opportunities and boost the local economy,” he says.
Meanwhile, the City Council has approved $2 million to help create a larger co-op style supermarket in the impoverished “urban food desert.” A site has not yet been chosen, but likely it will be closer to downtown. This money comes from a federal source, ARPA, the post-pandemic American Rescue Plan Act. Another $1.3 million from ARPA has been designated to clean up the nearby abandoned fairgrounds on East Genesee between Webber and Hess.
Walgreens also this year has closed a franchise at North Michigan and West Genesee, switching to a drive-thru pharmacy on North Michigan after tearing down the old Coni-Island and Tino’s. This is similar to the drive-thru up Dixie Highway at the plaza where Kroger remains empty.
