GREENFIELD — For the Franklin Community Co-op, expansion is the only option.
Over 150 people, most of them owner-members, attended a meeting held by the co-op to discuss its future Wednesday night, while negotiations are continuing for a potential partnership with Wilson Department Store’s President Kevin O’Neil.
The presentation at the Episcopal Church of Saints James and Andrew showed the co-op’s financial standing, reasons to expand and its current hope to occupy the Wilson’s store space on the first and basement floors. O’Neil announced the department store’s closing in late November when it began a liquidation sale of its inventory and fixtures.
George Toulumtzis, president of the Franklin Community Co-op’s board of directors, which oversees Green Fields Market in Greenfield and McCusker’s Market in Shelburne Falls, said “there is a lot of work to be done.”
“We’ve been exploring options for a couple years, but with our commitment to stay downtown, our options were limited,” he said. “With Wilson’s closing, a new opportunity presented itself for Green Fields Market.”
Financial Director David Russell said the Franklin Community Co-op’s growth has been declining.
“In 2017, there is a growth spike at McCusker’s and that’s us getting a little loan and remodeling it,” Russell said. “You can see Green Fields Market’s growth after we did a bunch of improvements from when (the general manager) came in. We got a spike of growth and its been gliding off to almost nothing.”
In addition, wage growth is increasing faster than the sales growth rate, which is not sustainable.
“There’s no way we can price gouge our way out of it, for example. It won’t work in the current market,” Russell said. “I’ve been concerned about these trends, and there is no way for us to address them in our current location in such a way we can get much more rapid growth. A larger store, to me, is the only long-term alternative other than just heavily stripping down operations to reduce labor costs.”
General Manager John Williams said the process for looking for a new building began in 2016 when data, surveys and a multi-year plan were created and distributed.
His said his “marching orders” included building operational capacity, expanding prepared foods service, further improvements to the bakery and kitchen facilities, introducing beer and wine sales and more.
“Is the project feasible? It’s a little difficult, but it’s not unreasonable,” he said.
Citing a market study that was done for the Franklin Community Co-op, Williams added, “It’s fair to say within five or six years, there will be a $20 million store in downtown that’s community owned.”
During the question-and-answer portion, Williams answered questions including what would be done with the old store, a timeline for when the potential new store could open and others.
“We would put the store up for sale,” Williams said. “That store could be useful for a couple different ideas.”
He projected that pending a lease, the new co-op would open in April 2021, but Russell said he believes that would be “a little aggressive.”
Based on city records, the Wilson’s property at the corner of Main and Davis streets, completed in 1880, is assessed at $1,440,900 with 85,731 square feet of finished space, including all five levels. Comparatively, the co-op’s Green Fields Market’s current first-floor space at 144 Main St. is 8,446 square feet. The co-op owns its current building, according to Williams.
The co-op has added a page titled “Let’s grow together: Expansion updates!” under the “co-ownership” tab on its website. The page highlights the expansion plans and feature a mockup design of Green Fields Market in the current Wilson’s building — sans blue and white facade — created by Northampton-based Thomas Douglas Architects.
The Franklin Community Co-op, which began as a buying club, the Montague Food Co-op, opened its first storefront in Turners Falls in 1977. The organization’s website notes that “the original store was run completely by volunteer members, who received a discount on purchases in exchange for their work. Eventually, with funds from a local VISTA program, the co-op hired a manager to coordinate activities at the store and keep it running smoothly. It was during this time that the co-op formally incorporated as the Franklin Community Co-op.”
To accommodate expansion, the co-op moved to Chapman Street in Greenfield in 1987, then to its current space at 144 Main St. in 1993, under the operating name Green Fields Market. A bakery and deli were new additions, according to the website.
As president of the iconic department store, O’Neil announced retirement plans and the anchor retail store’s imminent closure in November after four decades of working in the family-operated business. He became president in 1990, about 10 years after stepping into the business in 1981.
Reach Melina Bourdeau at mbourdeau@recorder.com or 413-772-0261, ext. 263.