[EXCLUSIVE] Publix at The Interlock In Doubt, Could Trader Joe's Swoop In?

It seems Publix may not be bringing a new store to West Midtown after all.  SJC Ventures (then S.J. Collins) announced in April 2021 that a new 42,514 square foot Publix Super Market would anchor the second phase of the developer's Interlock project along Northside Drive not far from Georgia Tech.  More than two years later, the store has not opened and ToNeTo Atlanta began to field questions and comments from readers questioning the status of the project and also indicating that the store may have been shelved.  

ToNeTo Atlanta contacted Publix's local media relations representative, but more than a week later we had not received any response to our inquiry despite an original indication that a response was forthcoming.  For its part, SJC Ventures did reply, and essentially said - in dating terms - that they still like Publix, but after the Lakeland-based grocer did not complete their work within the agreed upon timeline, the developer started seeing other people.       

ToNeTo Atlanta noted that a recent Linkedin post by SJC named all of the development's upcoming tenants - Starbucks, Pinky Promise Champagne Bar, Chubby Cattle by The X Pot, City Nails, GoodVets, Kura Revolving Sushi Bar, Salon Lofts and Five Guys - but instead of Publix, it simply said "best in class grocer."  Additionally, the Publix logo was noticeably missing from "coming soon" signage along Northside Drive that names upcoming tenants, where it had previously included their logo.  

In a statement provided exclusively to ToNeTo Atlanta, SJC said in part: 

"Residents of West Midtown may have to wait a while longer to know which grocery chain will occupy the 42,000 square foot space at Interlock Tower, the second phase of The Interlock mixed-use district located at 1042 Northside Drive.  While SJC Ventures previously announced Publix would occupy the space, they have now opened up negotiations with other grocers. “We hope to be able to continue with Publix. However, mixed use logistics are complicating the execution of the existing plan,” said Jeff Garrison, partner at SJC Ventures. 

According to SJC Ventures website, the firm's primary work is the development of "institutional quality mixed-use, grocery-anchored and multifamily assets throughout the eastern United States."  In metro Atlanta, this work has included the development of Whole Foods Market-anchored shopping centers near Decatur (North Decatur Square) and in Chamblee (Peachtree Station) as well as The Interlock phase one, among other projects.    

Allocated grocery space Phase Two of The Interlock

Phase two of The Interlock, Interlock Tower, a mixed-use project including both office space and hundreds of apartments for students of nearby Georgia Tech, presents some unique challenges for both the developer and Publix, with both entities typically building and opening in traditional surface level shopping centers.  

Real estate sources tell ToNeTo Atlanta that Publix became delayed on the project due to the build out costs of their store becoming significantly greater than they had planned and budgeted for.  There is reportedly still a chance that Publix will re-enter talks with SJC and open in the project.  

Publix in June opened a new store at Summerhill Station near the old Turner Field and plans to open a new store at Buckhead Landing (in place of the former Disco Kroger) in Buckhead in 2024.  

Publix at Summerhill Station 

“We are committed to bringing a grocery store to the project under existing time constraints the community wants and deserves. In order to preserve that plan we are considering all options including talking to other grocery stores about the space,” Garrison added. 

The developer says there are several other grocers who have expressed interest in the property and that residents have been asking for a grocery store in that location since the property’s inception. 

Kroger, which had in 2017 been announced as the anchor tenant of a new Fuqua Development project at Northside Drive and 17th Street (today known as West Midtown Center), officially exited those plans in 2021 when it sold its property to Southeastern, a developer who plans to build 321 apartments on the site.  The Cincinnati-based grocer has not fared well in mixed-use environments and typically builds stores double the size of the grocery space at The Interlock, making their interest or involvement highly unlikely.  

Sources with whom ToNeTo Atlanta spoke suggest that Lidl and Trader Joe's are two of the most likely candidates for the space with the former able to take the entire space and the latter likely  to only take on about half the space.  

It's likely that either Lidl and its no-frills shopping experience or Trader Joe's and its "trendy" offerings would be welcomed to the area, but neither grocer would provide a pharmacy, something that Publix would have provided.  Trader Joe's would surely be many residents' preference, but their small size, typically no more than 15,000 square feet, would likely make Lidl SJC's preferred option given that they would take the entire space and not leave the developer in search of a co-anchor to fill the balance.  

Lidl has several stores in its Atlanta area pipeline - including one planned for Ponce de Leon Avenue - while Trader Joe's, which is perhaps the most sought after store in the country, has been relatively quiet in metro Atlanta but has similarly discreetly started searching for sites for up to three new stores locally, according to real estate sources.  

If Trader Joe's does open, don't expect it to offer self checkout or delivery.  

“We want to secure the right tenant for the grocery space that will not only be a huge asset for the neighborhood but that will also open in a timely fashion and is comfortable with the dynamics and logistics required in a mixed-use center like Interlock Tower,” said Garrison.  Students have already moved in to Theory Interlock, the multi-family component with the first retail tenants expected to open in early 2024.

If all goes according to plan from here on out, Garrison tells ToNeTo Atlanta that the grocer at the project would open by the end of 2024.  

Are you surprised to see Publix potentially not open at The Interlock?  What grocer would you most like to see open at The Interlock if Publix does not?  Where do you do the majority of your grocery shopping?  

Please share your thoughts below.