In Newark, Wal-Mart Out, ShopRite In

shoprite comes to NewarkA new ShopRite store will be opening in Newark’s Central Ward as part of a major mixed-use redevelopment project. The store will anchor the Springfield Avenue Marketplace, an 11-acre site that has sat vacant for 20 years. In addition to ShopRite, the marketplace will include 60,000 square feet of retail space and 150 residential units.

Rumor had it that Wal-Mart was going to snatch up the spot, but that community groups–and Cory Booker–opposed the store for its low wages and potentially harmful effects on local business.

“Today’s announcement is wonderful news for our city,” Booker said in a statement. “Newark residents deserve convenient access to fresh and healthy food options, and there is no better place for a large grocery store than Springfield Avenue. Located in the heart of the city, this new ShopRite will strengthen our local economy by retaining more of our citizens’ buying power in Newark, in addition to providing hundreds of new job opportunities for residents.”

The president of the new ShopRite, Neil Greenstein, also owns and operates the ShopRite of Brookdale in Bloomfield. Greenstein is a member of Wakefern Food Corp., the distribution arm for ShopRite.

“This is a homecoming of sorts for Wakefern, which located its first warehouse in Newark in 1946,” he said. “Now, nearly 70 years later, this site is set to become the city’s premier retail destination, and it is an ideal time to open a supermarket here.”

The firm developing the site, Tucker Development Corp., said ShopRite will service the shopping needs of approximately 280,000 Newark residents, 180,000 members of the city’s workforce and 60,000 college students and faculty–the site is within close proximity to six of the city’s major colleges and just one block from the University of Medicine and Dentistry of New Jersey.

At the corner of Springfield Avenue and Jones Street, the development is part of Newark’s Urban Enterprise Zone, where customers are entitled to a 50 percent reduction of sales tax on most purchases along with the full exemption of taxes on grocery and clothing purchases in New Jersey. Groundbreaking is expected to begin in the fall.

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25 COMMENTS

  1. They chose a grocery store over a grocery store that’s also a discount department store.

    Why? Because far too many Dems- like Mr. Booker- see the “EVIL WALMART” as the worse company in the world. But for many folks in America, Walmart is a store to get fresh food, and discount merchandise.

    Folks in Newark will have fresh food, but will continue to be underserved.

    But it’s for their own good, huh?

  2. That’s a good location, adjacent to the Society Hill development and convenient for courthouse etc employees on their way home. Other stores in Newark are doing well, including the Pathmark on Bergen Street and the Pathmark down neck. I’ve been inside both in the past year.

    I believe most ShopRite, Kings, and Pathmark employees are represented by local 1245. Fairway is represented by a NY union, while Trader Joe’s and Whole Foods aren’t represented.

  3. But it’s for their own good, huh?

    Hmmmm. You don’t list any reasons that “Dems” and “Mr. Booker” see Wal-Mart as evil, you just assume its for reasons that aren’t important as the ability to buy a cheap shirt.

    https://www.latimes.com/business/la-fi-wal-mart-wages-20130607,0,7202028.story

    “The report analyzes data from Wisconsin’s Medicaid program, estimating that a single 300-person Wal-Mart Supercenter in that state likely costs taxpayers at least $904,542 per year and could cost up to $1,744,590 per year, or roughly $5,815 per employee.”

  4. so the party that’s a doormat for the unions does a report critical of a company that doesn’t use them…hummmmmmmmmm

  5. So mike, jobs and access to discount goods close to home is bad because it’s a non-union shop, huh?

    I imagine it’s easy to sit in Baristaville, with cars, and public transportation readily available to KEEP WALMART OUT OF NEWARK.

    Oh, and what’s the “cost to the taxpayer” of another generation growing up on public assistance with no sense of hope or a work ethic?

    How much does that cost us?

  6. So mike, jobs and access to discount goods close to home is bad because it’s a non-union shop, huh?

    No, because they typically pay less than a union shop. Nice, illogical strawman though. I don’t know what the rest of your post is about. One of these companies pays better wages than the other (including overtime, and paid health benefits), while still offering quality goods. For some reason, you think choosing that one is a bad decision. But I’m sure billion-dollar enterprise Wal-Mart needs you to come to their defense.

    so the party that’s a doormat for the unions does a report critical of a company that doesn’t use them…hummmmmmmmmm

    Ad hominen. Dispute the report before you question their authority.

  7. mike, you failed to see my very first sentence: They chose a grocery store over a grocery store that’s also a discount department store.

    Walmart has fresh groceries AND is a discount retailer. They chose to go with ONLY the grocery.

    I also note how convenient it is for you to not know what the rest of my post is about.

    Regardless, the people of Newark lose because the Dems that run the town are beholden the Unions.

  8. mike, you failed to see my very first sentence:

    No, I addressed this in my first post. Livable wages (and paid health benefits) and fresh food trumps the ability to buy cheap goods and fresh food. That’s the decision Newark made, and its a good one. There are lots of places to buy cheap goods. In addition, Wal-Mart’s effect on local stores is well known. That’s just the ticket for Newark.

    Regardless, the people of Newark lose because the Dems that run the town are beholden the Unions.

    Yeah, they ‘lose.’ Give me a break.

  9. Have to agree with Mikey boy here, but Im going to take a different approach. Shop Rite is a nicer store and does more to build the neighborhood image an attract potential buyers tenants etc to Newark.

    Secondly, the last thing at least in the near term Newark needs is discount merchandise. Prof you ever been to Market St? There is already an oversupply of discount merchandise (clothing, pharmacy, etc).

    Walmart would only serve to put these already struggling businesses completely out of business.

  10. And of course, if the people of Newark still consider themselves on the losing end because they can’t get cheap stuff from WalMart, they can always take a #40 bus just over the river into Kearny, where there’s not only a WalMart, but a SUPER WalMart. Losers no longer! See you in the discount aisle!

  11. I’ve heard from several people that the jobs at Pathmark Bergen Street are excellent stepping stones for people to bid other jobs in other stores. Within the Pathmark chain (which is shrinking) and in the grocery business (which is expanding) in NJ. I believe the United Community Centers is an investor or sponsor of the Bergen Street location.

    I’m not at all that convinced, however, that Wal-Mart is worse than the bodegas, corner groceries, etc it displaces. The vegetables and produce at W-M are fresher, cheaper, and more varied. Few bodegas provide access to health insurance or any benefits or offer a career path.

  12. I have only experienced the shop-rite in Bloomfield which appears to be a good place to work. The owners donate to just about every charity, 501C3, non-profit that approaches them. They are very supportive of community efforts.

  13. Hey Prof, why don’t you go try to raise and feed a family on $15,080 a year without benefits before you go bashing unions and praising WalMart. Really easy for you to defend when I doubt that amount barely covers your property taxes.

    But please, continue your push for the USA’s race to the bottom to compete with China on wages and worker treatment. The rest of us will stay here, and look a tad bit saner, and hope we can stay a part of the first world for just a little bit longer.

    On a related note, here’s an article about how Costco has resisted pressure to cut employee’s wages and benefits, paying their employees three times what the average Walmart employee gets, and their profits are still souring:

    https://m.huffpost.com/us/entry/3396101

    But what do I know? Why would those Chinese workers at Foxconn working insane hours each day for $200 a month need a union when the factory installed “suicide nets” around it to catch workers trying to kill themselves. Problem solved!

  14. It is strange to see the prof singing the same old Dems beholden to the unions, unions bad song when not so long ago he was on here defending a union tactic employed by teachers in a contract dispute.

    But then, that was HIS union. That’s different!

  15. @ zidarich, throwing in “foxcomm” only shows you don’t much since they deal in cheap labor for electronics and tech. BUT you make my point: why shouldn’t a family making 15k a year have the same access to discount merchandise that I have? You conflate the Union opposition with the citizen’s access.

    @ croiagusanam, I support our teachers– who are represented by a Union (not my union, mind you), though I also know that many do a crappy job and should be fired.

    Unions will happily sacrifice the citizen’s ability to buy discount merchandise for the sake of “Unionism.”

    Unions embarrass themselves frequently, as does management.

    And here, the citizens of Newark suffer. Again.

  16. You’ve often stated prof that your wife is a teacher, and she therefore is a member of the union. Unless you’ve got one of those fridges wherein all items are plainly marked “prof” and “mrs. prof” then sorry, its “your” union too.

    And while you may feel that unions will sacrifice the citizen’s ability to buy discount merchandise for the sake of unionism, some who’ve read the same history see unions as insuring quality workmanship and a living wage and benefits for workers. Wal-Mart is a disgrace in terms of their employment practices, and the havoc they wreak in many communities is evident. It is they who would “sacrifice” the citizen’s right to a decent living for the sake of profits.

  17. Very Good. Tell someone with no job, that a Walmart job is a “disgrace,” and that they should continue to “sacrifice,” for the greater good…..

    The Black unemployment rate is OVER 15%!!! But you think they should be happy with their government check, and no opportunity to work and shop at the largest discount retailer. Something that most folks in Baristaville have easy access to because they have a car.

    So nice when folks in their comfortable circumstance tell poor folks how they should live. (Are the 1.4 million OTHER Walmart employees a disgrace too?)

    Oh, AND EVEN IF Walmart does rain/reign such havoc, why do so many folks STILL work and shop there? Why are they STILL one of America’s most respected/admired companies? Hell, I don’t think they turned over their customers private info to the Gov. like so many other “well-respected” companies.

    And please don’t answer this with what you think Walmart SHOULD do, they are free to offer employment as they see fit. And folks can CHOOSE for themselves.

    But it’s shameful that you, and the Newark City leaders don’t even want the poor and unemployed to have a choice.

  18. Your tactic of putting words in people’s mouths and then attacking those words is very, very old prof. so the nonsense about “government checks” is the usual hogwash.

    Wal-Mart has decimated the business centers of hundreds of towns and cities across America, and has created the “hollowing-out” of America in a large sense. By driving small businesses out by undercutting them, they have created a true dependency culture — you HAVE to shop at Wal-Mart. And by creating the “need” for what you euphemistically call discount goods, they have driven down prices and wages and helped to create the very cycle of race-to-the-bottom. All, of course, while screaming buy American in their stores, crammed with cheap shite from Pakistan and Bangladesh.

    Your last comment about not wanting people to have a choice is screamingly ridiculous, even for you.

  19. * The Black Unemployment rate is 13.2%; for 16-19-year-olds its 42%- double that of White kids.

  20. And why can’t they get jobs at Shop Rite? Ones that might pay better? It’s not one or the other, Prof, it’s one OVER the other. But you know that, and your posts have gotten increasingly nonsensical. And of course, you ignored the fact that there’s a Super WalMart not 5 miles away, accessible by bus

    But whatever. Prof heard that the “dems” hate this fine company because they don’t support unions, so he couldn’t help but parrot talking points. You see where it gets you.

  21. how fulfilling it must be it to while away one’s weekend as the New Jersey mouthpiece for the Walton family, patriotic providers of employ and sustenance for America’s underclass. pay no attention to that boisterous movement of disgruntled workers, bribery scandals or the deathly Bangladeshi factories. how grateful Newarkians—and we—should be that the Waltons have made this sacrifice for the good of our nation!

    what twaddle.

  22. I am aware that the autopilot chatter these days from self-styled “patriots” out to save the “Real America” from imaginary, insidious, home-grown enemies must include garden-variety union-bashing of various sorts… I see some of that grunting and throat-clearing right here on this thread… Nevertheless, many of these same self-styled “patriots” sure can cheer good’n’loud when union steelworkers hoist that American flag good’n’high into-the-sky after bolting that last beam into a girder in a steel framed high-rise. Yes, I know, Joe the Tea Bag Welder can do it for half the price. Great plan. Good luck renting out the top floor, guys !

  23. This story is hogwash.

    The space is 67,000 square feet. It seem to me that WalMart has no business model for a 67,000 sq ft space. The average WalMart is 108,000 sq ft. not including Super Walmart’s. WalMart Express stores fall between 12,000 and 15,000 sq ft.

    We have a private project by an Illinois developer: https://www.tuckerdevelopment.com. A quick glance at their website shows about 15 sort of similar projects, only 2 of which appear to have WalMarts while many seem anchored by a conventional supermarket. I bet Tucker and WalMart never had serious discussions. For a project of this size Tucker is most comfortable with a supermarket anchor.

    City Hall/Cory Booker very likely had no influence whatsoever in the tenant selection but know that bashing WalMart is political gold so they create a fiction, feed it to the Wall Street Journal, and take credit for saving small business.

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