Friday, May 6, 2016

New Sprouts in Tucker

Expanding grocery store sets sights on Tucker.

Phoenix, Arizona-based Sprouts Farmers Market plans to join the new "The Meridian at Tucker" shopping center under construction on Northlake Parkway.  Previously rumored to be in talks, I have now received confirmation that the grocery store has signed a lease for a 30,000 square foot space in the center.  Sources say the store should be open sometime in the first half of 2017.  

The new Sprouts will join anchors Dick's Sporting Goods, ROSS Dress For Less, Hobby Lobby and DSW.  

Hobby Lobby will be the largest tenant at 50,000 square feet followed by Dick's Sporting Goods at 45,000 square feet. ROSS Dress For Less will be 25,000 square feet, and DSW is slated to be 16,000 square feet. 

There are currently ten Sprouts stores open in metro Atlanta including the most recent store on Piedmont Avenue in Morningside.  Other new Sprouts stores are planned for Duluth, Peachtree City, Decatur and West Cobb.  

The Duluth store, anchoring Fuqua's Sugarloaf Marketplace at the corner of Sugarloaf Parkway & Peachtree Industrial Boulevard, is scheduled to open May 11th.  

The Peachtree City store,  anchoring the new Shops at Lexington Circle at GA Highway 54 and Walt Banks Road, is scheduled to open July 6th.  

The Decatur Sprouts store will anchor Fuqua's new Decatur Crossing center at Scott Boulevard and North Decatur Road.  The store is expected to open in the first quarter of 2017.  

The West Cobb Sprouts will be located in Parkside West Cobb, a new center from Columbia Properties.  Located beside The Avenue West Cobb on Dallas Highway at Casteel Road, the new center will also be anchored by Marshalls, ULTA, Petco and Stein Mart.  The center will also be home to a few restaurants including Zo√ęs Kitchen and Mellow Mushroom. The West Cobb Sprouts should also open in the first quarter of 2017.  

While I do believe the Northlake/Tucker area could be a good market for the grocer, I generally think they are over-expanding in metro Atlanta. Sprouts, which went public (SFM:NASDAQ) during the summer of 2013 and more than doubled on its first day, has come back to Earth. Once trading at nearly $50 per share, Sprouts closed yesterday at $25 and change, down about 7% on news of lower than expected quarterly revenue for the first quarter of 2016.

What are your thoughts on Sprouts Farmers Market in comparison to other similar stores in metro Atlanta?  Do you think Sprouts delivers on their "Healthy living for less" message?  If you are a fan of Sprouts, where should they open next?

Please share your thoughts below.  


Anonymous said...

I'll still shop at Your DeKalb Farmer's Market.

Ham said...

“I generally think they are over-expanding in metro Atlanta.”

Yes, as I was reading your article I was thinking the exact same thing. I will admit I’ve never shopped at Sprouts, so maybe there’s something unique that will allow them to compete in a fairly competitive market. While the Tucker/Northlake/Lavista Hills area has a lot of residents they also have a lot of very nice grocery stores like Publix and Kroger. Also, Kroger is moving ahead with the new store at Embry Hills just a few minutes away from the proposed Sprouts.

In one way I think it’s great that an old empty office park is being redeveloped, but I fear that this list of tenets may simply leave an old empty strip mall in a few years.

Robert Steinhardt said...

Thinking about it from a pure business point of view, I'm sure they had to open a local distribution center which supports a certain amount of stores. Apparently they haven't reached that amount yet.

Stacy said...

The Sprouts in Johns Creek is never busy. On more than one occasion I've had to track down a cashier to pay. It's location is convenient to my office so I stop there occasionally but find the checkout process is always slow and the store is almost always empty. I do like the $5 sushi rolls on Wednesday.

ImAndy said...

I go when they have bulk espresso for $6.99 a pound which is every few weeks and I'll pick up some cookies at the same time but that's all the shopping I do there and also found John's Creek very dead. The TJ at forumn is still bankin. Dunwoody is not much busier and they all hire very unfriendly people overall.

jeff a. taylor said...

I give the Sprout's in East Cobb a solid meh. Nothing essential, but if you are already in that center, usually worth a pick and peck for oddball things, or if you are out of a staple.

Anonymous said...

Snellville - Shoppes at Webb Gin is always busy regardless of the time, even with the ridiculously small amount of parking. That said there is a huge demand for them since they don't have the demographically coveted TJ or WF. The Fresh Market is the only store that captures that market but they have a better selection of upper quality prepared foods and a broader array of unique fresh produce and proteins.

I do agree with the fact they must have a distribution center here that can handle the amount of stores. However people travel to stores like TJ so they know they don't need to be in every community to attract the clientele. ATL has a love affair with their vehicles and they will use them to travel to must-go-to retail destinations. I firmly believe retail in general is overbuilding and over expanding. Our nations economy is in trouble as disposable income will continue to deriorate. Conspicuous Consuption is at at an all time high in the demographics that can least afford it.

Anonymous said...

So happy Tucker gets one.

I do think in general though there are way too many specialty grocery stotes.

Sadlebred said...

The Smyrna Sprouts is always busy with multiple checkout lines open. The parking lot is way to small for the grocery store plus the other popular shops in the center. Parking is a challenge except during the middle of a week day. Other than the local Goodness Grocery, which is very expensive, there is no competition from WF or TJ's on this side of town. The Publix across the street is pretty small and doesn't have a large organic section. The Kroger a few miles north on S. Cobb Dr. does, but it doesn't seem to take any business away from Sprouts.

Anonymous said...

Swing and a miss... I've gone to the Sprouts on Roswell Rd at Wieuca a few times. I don't understand what their angle is. It doesn't compare to the quality level of WF, Trader Joes or Fresh Market. At the same time, I'd rather go to Publix or Kroger for the basic stuff.

With a fresh IPO and plentiful cash for expansion, they will likely be around for several years. However, once the frenzy settles and they become more operationally focused, I see issues. Maybe they can retool the store and make it more relevant over time. For now, its missing the mark on several levels... and I'm not sure I even understand what level they are shooting for.

Wmac said...

do you live in tucker

Anonymous said...

I live within close walking distance to the new Sprouts on Piedmont in Morningside. I went once and was looking for something fairly basic (meat and veggie) and didn't find it. I've not been back. Also, I'm still bothered by their draconian lease stipulations that there couldn't be any restaurants/food providers/coffee shops in the same development... all things we can use in the neighborhood. I'm somewhat hopeful that the new Kroger up the street will knock Sprouts out of this location so we can get businesses we can use.

Anonymous said...

And, I'm still pissed at the traffic nightmare created in building that dang development... they totally took every commuter for a ride by completely inconveniencing us by blocking lane(s) for way longer than they needed.

Anonymous said...

I’m glad there is another option with this being the first “specialty” grocer in the local area. It’s a good location.

Publix and Kroger will do fine with their nearby locations (except maybe the Northlake Festival Kroger, which looks tired and dark along with the rest of the property). Aldi will also probably do well, except the location is quite inconvenient to evening commuters exiting 285 in need of a few quick groceries. Lavista’s intersections are an encumbrance with the light timing and backups caused. If you’re heading OTP, you’ll stop at Sprouts or Target. If you’re heading ITP, you’ll stop at Publix by the mall. Both alternatives are an easy right-hand turn vs. sitting and waiting for lights to change to turn left.

Lyn C said...

I was excited about the Sprouts opening in Smyrna...however after a few visits, I'll only go there for certain things. I was disappointed in the amount of organic fruit/veggie offerings...when items are on sale the prices are good, however not on sale seem higher than average. Not a large selection either. They have a great bulk section, better than any other stores in our area. Meat department I wasn't impressed with...very small. Cookies are good! They have a decent section of supplements, oils, etc. Publix has stepped up their organic produce selection and I go there more than Sprouts. Would have much rather had a Whole Foods!