Albertsons and Safeway Openings/Closings 2017

[pseudo3d]

http://www.tri-cityherald.com/latest-ne ... 46689.html

Another one gone, Richland, WA Albertsons. This was a very old store. Probably expanded in the mid 90's. Had blue gray decor but may have gotten a cheaper remodel by Supervalu toward the end.

Albertsons in Eastern Washington is sure hit hard so now what about other regions?

Probably the same as they did last year, is go through the rounds throughout the first part of the year, with each division "bringing out their dead". According to my list year, it WAS the Northwest and ACME that went first. My predictions are that the divisions spared last year, like Shaw's and Houston, will see cuts, and ones that got a bunch of it, like Denver, won't be as affected. I can see Randalls maybe losing 1-2 (one in Austin and/or in Houston), and cuts gained from the merger-induced overlap in Arizona, Texas, and the Northeast. Conversely, overlap created from Haggen or other acquisitions won't be touched at all.

EDIT: In response to your second post, I see that Shaw's WILL be closing (just that one?), but I already added the closing ACME (the Philly ACME is just a rumor).

[klkla]

A few more: a closing Shaws: Salem, NH

http://www.eagletribune.com/news/salem- ... c7b92.html

This one is a pretty sad commentary for Shaw's (And Albertson's of course being as they're the owner). There is a Market Basket literally across the street at 167 So. Broadway that does well. To add insult to injury, there's another Market Basket on the next block at 265 So. Broadway that also does a huge volume. You would think that Shaw's could compete and knock at least one of the Market Basket stores out. The Shaw's was built in 1992 and is in as good of a location as either of the MB stores.

The recent closings by Albertson's does not seem alarming, however. The beginning of the year is a good time to prune some of the dead weight after the busy holidays.

[SamSpade]

Interesting, the Richland, WA closing is (again) 2 miles from a nearby Safeway. It's also about the same distance to Fred Meyer / WinCo Foods to the south along the well-positioned interstate that runs through the Tri-Cities.

Any news of Oregon closures / changes yet? I can't think of too many remaining "dog" ABS or SWY left to close in the Portland metro.

[architect]

http://www.tri-cityherald.com/latest-ne ... 46689.html

Another one gone, Richland, WA Albertsons. This was a very old store. Probably expanded in the mid 90's. Had blue gray decor but may have gotten a cheaper remodel by Supervalu toward the end.

Albertsons in Eastern Washington is sure hit hard so now what about other regions?

Probably the same as they did last year, is go through the rounds throughout the first part of the year, with each division "bringing out their dead". According to my list year, it WAS the Northwest and ACME that went first. My predictions are that the divisions spared last year, like Shaw's and Houston, will see cuts, and ones that got a bunch of it, like Denver, won't be as affected. I can see Randalls maybe losing 1-2 (one in Austin and/or in Houston), and cuts gained from the merger-induced overlap in Arizona, Texas, and the Northeast. Conversely, overlap created from Haggen or other acquisitions won't be touched at all.

Honestly, I am surprised that we have not seen more closings in both Texas and Arizona. Across the Arizona stores, there are too many instances to count of Safeway and Albertsons stores being so close together that they must be cannibalizing one-another. Although DFW has seen some closures, there are still many places where a similar situation exits between their three banners in the market. In particular, there are Tom Thumb-Market Street conflicts in both Allen and Flower Mound, while there are also numerous Tom Thumb-Albertsons conflicts in Lewisville, Mesquite, Grand Prairie, among other locations. Also, there are several Tom Thumb locations which are in such close proximity to one-another that one store is clearly redundant, such as the Preston-Royal and Preston-Forest stores in Dallas, or the two Coppell locations (with the MacArthur/Belt Line location in desperate need of a renovation, as it did not even receive a Lifestyle remodel). I could also see some of the low-hanging fruit in Houston being closed, as a few stores in the market are clearly beyond saving at this point.

[pseudo3d]

http://www.tri-cityherald.com/latest-ne ... 46689.html

Another one gone, Richland, WA Albertsons. This was a very old store. Probably expanded in the mid 90's. Had blue gray decor but may have gotten a cheaper remodel by Supervalu toward the end.

Albertsons in Eastern Washington is sure hit hard so now what about other regions?

Probably the same as they did last year, is go through the rounds throughout the first part of the year, with each division "bringing out their dead". According to my list year, it WAS the Northwest and ACME that went first. My predictions are that the divisions spared last year, like Shaw's and Houston, will see cuts, and ones that got a bunch of it, like Denver, won't be as affected. I can see Randalls maybe losing 1-2 (one in Austin and/or in Houston), and cuts gained from the merger-induced overlap in Arizona, Texas, and the Northeast. Conversely, overlap created from Haggen or other acquisitions won't be touched at all.

Honestly, I am surprised that we have not seen more closings in both Texas and Arizona. Across the Arizona stores, there are too many instances to count of Safeway and Albertsons stores being so close together that they must be cannibalizing one-another. Although DFW has seen some closures, there are still many places where a similar situation exits between their three banners in the market. In particular, there are Tom Thumb-Market Street conflicts in both Allen and Flower Mound, while there are also numerous Tom Thumb-Albertsons conflicts in Lewisville, Mesquite, Grand Prairie, among other locations. Also, there are several Tom Thumb locations which are in such close proximity to one-another that one store is clearly redundant, such as the Preston-Royal and Preston-Forest stores in Dallas, or the two Coppell locations (with the MacArthur/Belt Line location in desperate need of a renovation, as it did not even receive a Lifestyle remodel). I could also see some of the low-hanging fruit in Houston being closed, as a few stores in the market are clearly beyond saving at this point.

If there were two Tom Thumb stores before and they're both doing fine, then why close either unless one starts losing money? But yeah, there's plenty of Albertsons/Tom Thumb conflicts. As for Houston, the only ones I can think of that are most vulnerable (as in, a renovation couldn't save them) would be 34th/Northwest Freeway and Bellaire/Rice. The latter is especially vulnerable as it's a small, outdated store right next to a bus station and with that new H-E-B across the street, it's doomed. The smarter thing for Houston is to outsource distribution. As it stands, the Randalls DC is undersized for its size of the number of stores it serves (maybe 65-odd stores spread across Austin, Houston, and southern Louisiana...which is about how many stores Randalls had between Austin and Houston alone pre-2005, not to mention the net loss of stores since 1998).

[arizonaguy]

I really don't know what the deal is in Arizona. It appears that they are operating stores across the street from one another (or in fairly close proximity to one another) to prevent other operators from encroaching on their market share of a given area's shoppers.

[architect]

Probably the same as they did last year, is go through the rounds throughout the first part of the year, with each division "bringing out their dead". According to my list year, it WAS the Northwest and ACME that went first. My predictions are that the divisions spared last year, like Shaw's and Houston, will see cuts, and ones that got a bunch of it, like Denver, won't be as affected. I can see Randalls maybe losing 1-2 (one in Austin and/or in Houston), and cuts gained from the merger-induced overlap in Arizona, Texas, and the Northeast. Conversely, overlap created from Haggen or other acquisitions won't be touched at all.

Honestly, I am surprised that we have not seen more closings in both Texas and Arizona. Across the Arizona stores, there are too many instances to count of Safeway and Albertsons stores being so close together that they must be cannibalizing one-another. Although DFW has seen some closures, there are still many places where a similar situation exits between their three banners in the market. In particular, there are Tom Thumb-Market Street conflicts in both Allen and Flower Mound, while there are also numerous Tom Thumb-Albertsons conflicts in Lewisville, Mesquite, Grand Prairie, among other locations. Also, there are several Tom Thumb locations which are in such close proximity to one-another that one store is clearly redundant, such as the Preston-Royal and Preston-Forest stores in Dallas, or the two Coppell locations (with the MacArthur/Belt Line location in desperate need of a renovation, as it did not even receive a Lifestyle remodel). I could also see some of the low-hanging fruit in Houston being closed, as a few stores in the market are clearly beyond saving at this point.

If there were two Tom Thumb stores before and they're both doing fine, then why close either unless one starts losing money? But yeah, there's plenty of Albertsons/Tom Thumb conflicts. As for Houston, the only ones I can think of that are most vulnerable (as in, a renovation couldn't save them) would be 34th/Northwest Freeway and Bellaire/Rice. The latter is especially vulnerable as it's a small, outdated store right next to a bus station and with that new H-E-B across the street, it's doomed. The smarter thing for Houston is to outsource distribution. As it stands, the Randalls DC is undersized for its size of the number of stores it serves (maybe 65-odd stores spread across Austin, Houston, and southern Louisiana...which is about how many stores Randalls had between Austin and Houston alone pre-2005, not to mention the net loss of stores since 1998).

I would also add Bellfort/Kirkwood to your list, as it is an older store in an aging area which seems to be far behind on the renovation front. Although this store is in close proximity to upscale Sugar Land, it is on the southern tip of Alief which is primarily a lower income area comprised of residents much less likely to shop at Randalls both due to pricing and selection.

Another potential Randall's closure could be the location at 1488/College Park in the Woodlands. When I visited this location a couple of months back (which I will post pictures of soon by the way), it was noticeably dead, while the HEB just down 1488 was packed. This particular Randalls never received a Lifestyle remodel (one of two stores in the Woodlands to have not), and much of the decor looked quite dingy and worn out. It seems that the opening of the nearby HEB a couple of years back really hurt this store.

[storewanderer]

A few more: a closing Shaws: Salem, NH

http://www.eagletribune.com/news/salem- ... c7b92.html

This one is a pretty sad commentary for Shaw's (And Albertson's of course being as they're the owner). There is a Market Basket literally across the street at 167 So. Broadway that does well. To add insult to injury, there's another Market Basket on the next block at 265 So. Broadway that also does a huge volume. You would think that Shaw's could compete and knock at least one of the Market Basket stores out. The Shaw's was built in 1992 and is in as good of a location as either of the MB stores.

The recent closings by Albertson's does not seem alarming, however. The beginning of the year is a good time to prune some of the dead weight after the busy holidays.

Market Basket is a very fierce competitor. Their pricing and center store mix are both exceptional. The best "package" I've ever seen of any operator. Really sharp on ethnic foods (Italian, etc.) for the market back there too. Bakery/delis are limited, though they do have hot pizza in some stores, and my quality experiences were spotty to be polite. Produce is piled high and sold cheap; dig through and you will find some good stuff. I think they must go through at night and clean it up. Market Baskets have real short hours often closing by 8 PM or so.

I am not at all surprised that the two Market Baskets knocked out Shaw's. Two Market Baskets is worse than one because the stores do such high volumes, in some cases, overcrowding could lead people to want to shop elsewhere. But when two are so close together that likely addresses that problem.

Market Basket was very unsuspecting and when I went to NH a few years ago and saw one near my hotel the first night (after flying in at like 1 AM) I didn't think much of it, just figured it was another little regional, but went over the next morning. To say I was WOWed, was an understatement. Enjoyed the metal checkout counters and employee uniforms from the 50's, too.

Both of those Salem Market Baskets have solid 4 star ratings on Yelp (Shaws... not so close), and one has interior photos. You can see here they have 22 checkstands in the one location. These stores do some serious volume. There is also a photo saying the new store opening nearby is 100,000 square feet. https://www.yelp.com/biz_photos/market- ... NgYT9k0arA

[pseudo3d]

Honestly, I am surprised that we have not seen more closings in both Texas and Arizona. Across the Arizona stores, there are too many instances to count of Safeway and Albertsons stores being so close together that they must be cannibalizing one-another. Although DFW has seen some closures, there are still many places where a similar situation exits between their three banners in the market. In particular, there are Tom Thumb-Market Street conflicts in both Allen and Flower Mound, while there are also numerous Tom Thumb-Albertsons conflicts in Lewisville, Mesquite, Grand Prairie, among other locations. Also, there are several Tom Thumb locations which are in such close proximity to one-another that one store is clearly redundant, such as the Preston-Royal and Preston-Forest stores in Dallas, or the two Coppell locations (with the MacArthur/Belt Line location in desperate need of a renovation, as it did not even receive a Lifestyle remodel). I could also see some of the low-hanging fruit in Houston being closed, as a few stores in the market are clearly beyond saving at this point.

If there were two Tom Thumb stores before and they're both doing fine, then why close either unless one starts losing money? But yeah, there's plenty of Albertsons/Tom Thumb conflicts. As for Houston, the only ones I can think of that are most vulnerable (as in, a renovation couldn't save them) would be 34th/Northwest Freeway and Bellaire/Rice. The latter is especially vulnerable as it's a small, outdated store right next to a bus station and with that new H-E-B across the street, it's doomed. The smarter thing for Houston is to outsource distribution. As it stands, the Randalls DC is undersized for its size of the number of stores it serves (maybe 65-odd stores spread across Austin, Houston, and southern Louisiana...which is about how many stores Randalls had between Austin and Houston alone pre-2005, not to mention the net loss of stores since 1998).

I would also add Bellfort/Kirkwood to your list, as it is an older store in an aging area which seems to be far behind on the renovation front. Although this store is in close proximity to upscale Sugar Land, it is on the southern tip of Alief which is primarily a lower income area comprised of residents much less likely to shop at Randalls both due to pricing and selection.

Another potential Randall's closure could be the location at 1488/College Park in the Woodlands. When I visited this location a couple of months back (which I will post pictures of soon by the way), it was noticeably dead, while the HEB just down 1488 was packed. This particular Randalls never received a Lifestyle remodel (one of two stores in the Woodlands to have not), and much of the decor looked quite dingy and worn out. It seems that the opening of the nearby HEB a couple of years back really hurt this store.

1488/College Park was one of the last batch of Randalls stores to open new (September 2002)...but again, there's not a whole lot of Randalls they can close (start doing "if this one, then why not this one") and the remaining stores become increasingly hard to justify. And maybe they might...but for now, I'm thinking that maybe 1-3 stores will be sold. Maybe they could redecorate it to LLC and switch it over to the Albertsons product mix and all that, and before anyone says "Houston drove out Albertsons once, they can do it again", I believe Albertsons could've stayed in Houston (though purging a lot of the weaker locations) had they not been putting out fires elsewhere.

[storewanderer]

I think we will see them close more overlapping stores over time. It will help their same store sales to close nearby stores and move that volume across the road, and that will be good ammo for them once they go public to help paint the picture of growth and successful operations they like to paint so much (looking at their understaffed stores and outrageous everyday shelf pricing does not give me much hope). But they definitely have an edge over Kroger on quality in their fresh departments when the stores execute well, especially the Albertsons banner (where execution seems to be more consistent/better). The Safeway banner is run so poorly, and so inconsistently, you have no idea what you are going to get when you go in, and sometimes the quality will be a very pleasant surprise, but high prices and slow checkout seem to be two consistent promises at Safeway.