Friday, March 17, 2023

[EXCLUSIVE] Sprouts Set to Shutter Sandy Springs Store

Phoenix, Arizona-based Sprouts Farmers Market (NASDAQ:SFM), which entered the Atlanta market in 2014, announced March 2 it plans to close a total of 11 stores by mid-year.  The company did not reveal the stores slated for closure, only saying that they would include those in California, Florida, Georgia, Texas and Washington.  

ToNeTo Atlanta reported March 8 that the Sprouts in Duluth was one of the 11 stores slated for closure.  We have now confirmed with local sources that the Sprouts located at 4600 Roswell Road is also closing at the end of April.  

The store opened September 2, 2015 and anchored the Gateway Sandy Springs shopping along Roswell Road at Windsor Parkway near Chastain Park in Sandy Springs. The Sprouts closure comes at an unfortunate time as the center in which it's located was purchased last February with its new owners having recently invested in upgrades and just days ago rechristened the center "Chastain Market."   

According to an employee at the Sandy Springs store, a "closing sale" has yet to start, but the store is expected to close for good by the end of April.  The closure, which sources indicate is due to disappointing sales, is likely also related to the grocer's efforts to "right size" their store fleet and operate smaller stores.  The Sandy Springs store and its roughly 26,000 square feet are on the upper end of the size of store that the company operates locally.     During an earnings call earlier this month, Sprouts CEO Jack Sinclair and CFO Chip Molloy explained that the closing stores were opened by "the previous leadership team" and are approximately 30% larger than the current prototype and are generating negative cash flow.  

The company does plan to open new stores but they will be smaller.  “We are expanding with our new 23,000-square-foot store and every store opened this year will be in our new format,” Sinclair said during a March 2 call with investors and analysts. “We’re excited about our robust pipeline of more than 80 approved stores and nearly 60 executed leases. We have already opened four new stores in this first quarter with a plan to open at least 30 stores this year, and we are on track to reach our 10%-unit growth starting in 2024."   

Sprouts in late 2018 closed their store in Dunwoody which was in turn taken over by Lidl which suffered a similar and faster fate, having closed their store this past February.  

Following the closures of the Duluth and Sandy Springs stores, Sprouts will operate sixteen stores across Georgia including fourteen in greater metro Atlanta.  Metro Atlanta stores include those in Snellville, Tucker, Piedmont Heights, Johns Creek, Peachtree Corners and East Cobb while further out stores include those in Cumming, Woodstock, Peachtree City and Augusta, among others.   

The grocery's most recent Atlanta area stores debuted in 2021 in Smyrna and Buford and are about 19,000 and 23,000 square feet respectively.    

Are you surprised that Sprouts is closing in Sandy Springs?  Where do you do most of your grocery shopping?  What would you like to see open in place of Sprouts in Sandy Springs?      

Please share your thoughts below.

56 comments:

Anonymous said...

My opinion is there are so many grocery store options between tradional grocery stores and specialty grocery stores (I consider Sprouts to be in the specialty category) that they can't all make it. I like the different stores but can't afford to shop at all of them. I go to Sprouts mainly for vitamins and health section.

Anonymous said...

I shop mainly at Publix, Kroger & Walmart. Occasionally Trader Joe's & Aldi. I used to drive by the Shopping Center where the Sandy Springs Sprouts is located daily for years. I have never once gone into that shopping center because I can't see exactly what is in it from Roswell Rd.

Anonymous said...

Sandy springs is great! The vacant sprouts will be walkable to all.

Anonymous said...

Great place for a club open late

Anonymous said...

The store had a tremendous amount of shoplifting, that’s why it closed, one of the highest shrinkage rates in the company.

Anonymous said...

Nah

Anonymous said...

Sadly, I believe the clientele at the Collection led to the demise.

Margaret B said...

We loved this Sprouts. I will say we didn’t to our weekly shopping there, but did use it as our quick go-to store for forgotten items.

Anonymous said...

I live very close to a Sprouts. It has a steady stream of customers but I'm not sure it's enough. I don't have a lot of confidence in the freshness of their meats, prepared foods & even their produce. I feel like these are the areas the store should excel in. I won't say which location but I won't be surprised if it eventually closes.

Anonymous said...

I don't shop at the Sprouts-Roswell Rd. location often, but there are some things that are worth going for. The location is convenient and as someone else said, it's walkable from my neighborhood (1 mile.) Sorry to see it go.

Anonymous said...

I beleive the Sprouts in Roswell near me on Alpharetta Hwy is still open also ?

Anonymous said...

We need a club. Like we all need holes in our head. Why don’t you go live where that action is abundant??

Anonymous said...

I am sad to hear this news. I like their fresh produce their chicken Caesar wrap sandwiches, their bakery, their made to order sandwiches and their seafood, etc.

Unknown said...

There is a Sprouts in Decatur that is not on your list.

Anonymous said...

Quit going to Sprouts as it seems more expensive than Whole Foods. Lunch meat packs for $15? Geez

Anonymous said...

Sorry to see Sprouts close any locations. I found their concept, operations and staff to be exceptional. In today's Marketplace this type of formatted niche operation should perform well.
Sprouts management were a pleasure to work with.
Mullet

Anonymous said...

Please explain this comment, or are you just blaming it on an apartment building without any basis for doing so?

Anonymous said...

Would welcome an explanation for this other than shaming people just because they are renting in the area & are probably regulars at this store more than anyone else

Anonymous said...

Really?

Anonymous said...

Source?

Anonymous said...

English?

Anonymous said...

I am so sad to hear about the delay is Location closing. My senior parents 83 years old live around the corner. This store was a huge help to them. During the pandemic, they used Instacart when they were not able to get out, they had healthy foods delivered right to their door. I am so sad to see the Duluth location closing.

Anonymous said...

So, you know this how?

Anonymous said...

I don't see much difference in 26000 sq ft and 23000 sq ft. I think the rent was too high at Sandy Springs. Where am I going to buy my gluten free products and vitamins. This is very disappointing. I live near this store and the other Sprouts are too far to go to on a regular basis. Can I still order online?

Anonymous said...

I comment here as a former Sprouts mgr who's store was closed last year. They came in barely gave us a 30 notice it was closing and then oh well. I am sorry but the store was starting to turn around but they said We only found out this decision not even 2 wks ago. Whatever
Jack's new vision is for all stores to be small which I get but why open new ones if you are closing these others
How's that doing any good.
Relocate these stores instead of pulling completely out of a market where you do have loyal customers
Guess we didn't check that huh

Anonymous said...

This Sprouts was always busy pre-pandemic. There was a rough patch for a while where items were always out of stock and produce quality dipped. Customers have a lot of options. A re-opening or under new management campaign might have helped here.

Anonymous said...

The prices weren't sustainable for that location -- Whole Foods was cheaper on many items and it's hard to think of them as a regular place you'd go. Crowded market with Lidl/Kroger (multiple)/Sprouts/TJ/Publix (multiple)/Whole Foods/Aldi all in a 2 mile radius they just don't have a niche

Anonymous said...

I lived right behind it so it was convenient. Sad to see it go but I’m moving in a few months anyway cause The Collection has gone downhill.

I will be back to Publix and Fresh Market

Unknown said...

The Sprouts store is in Smyrna, which is West Cobb, not East.

Anonymous said...

it's on Roswell Rd , best place for a club

Anonymous said...

A club like ones in buckhead /midtown

Anonymous said...

I would also love to see a club

Anonymous said...

Club would be dope

Anonymous said...

Its definitely a good location for adult entertainment, it's a big building and can easily accommodate Buckhead and Sandy springs patrons since it's right in the middle.

Anonymous said...

bruh

Anonymous said...

I love Sprouts! I shop at the Johns Creek location all of the time! 😃

Anonymous said...

26,000 ft.² versus 23,000 ft.² sounds like an excuse not a reason

Anonymous said...

We use to shop there weekly. Unfortunately, the prices are too high and the quality is bad.

Anonymous said...

There is a Sprouts near Merchant’s Walk and the intersection of Johnson’s Ferry and Roswell Road, which is East Cobb

Anonymous said...

Bruh

Anonymous said...

Hookah! Hookah! Hookah!

Anonymous said...

The last thing needed in the neighborhood is a club.

Anonymous said...

The last thing needed in the neighborhood is a club.

Anonymous said...

Sandy Springs is slowly turning into one giant hookah lounge waiting to be smoked

Anonymous said...

I got robbed at the Sprouts parking lot!

Unknown said...

Why are y’all like this in the real Atlanta are there is no Sprouts, Aldi or Lidl. Stop complaining
. The privilege always find problems when there are none. Be grateful for the resources would love to have these options.

Anonymous said...

And they’ll still have big cucumber to show the customer

Anonymous said...

Dats wat ahhm talkin bout…gotz to git culturally enriched…and yes they failed because of shrinkage!!!

Anonymous said...

I live in Sandy Springs and I'd like a one-stop vaccination, booster, mask, and hand sanitizer store! I hope they can make it happen!

Anonymous said...

Myocarditis Mart

Anonymous said...

I moved to the area a little over 2 yrs ago and frequently stop in on my way home or walk over when I need a few things. The store has lagged behind others in expediting check-out. Often, only 1 cashier/line is open. No self-checkout here. I will miss the well-priced bulk items. Fresh Market offers the some of the same items at higher prices. I’ll also really miss their fresh chicken Italian sausage which is excellent mixed with their ground chicken for Italian Wedding Soup. This shopping center needs more security. In the past, there have been reports of car break-ins.

Bobby Sturguees said...

STFU. Nonsense in most of these comments.

Anonymous said...

We really need a Krog Street Market environment in Sandy Springs due to cost of rent in the area. It would promote locally owned start ups which would be a perfect place for incubation.

Anonymous said...

I always forgot about Sprouts as an option, it just never stood out to me! I would love a Boston Market!

Anonymous said...

The whole area is going down…the Sandy Springs store was not well run…expiration dates were not adhered to with items clearly marked with dates that were passed still on the shelves…this closing did not have to happen…this is not the only business in this area that has been impacted by shoplifting…

Anonymous said...

And we certainly don’t need a “club” in the neighborhood…I agree with the comment above that recommended moving to an area that embraces that culture…and all the crime that attracts…

Related Posts Plugin for WordPress, Blogger...