A planned Tom Thumb supermarket set to receive $5.8 million in city tax incentives will no longer open in the RedBird mall area, according to a city memo dated Dec. 13.
The store was originally slated to open next year and was envisioned as a welcome resource for residents who have long been yearning to see quality grocery stores in the area.
Advertisement
Assistant City Manager Robin Bentley said Albertsons Companies Inc., the parent company that owns the supermarket chain, notified the city on Dec. 5 it had "decided to terminate its economic development incentive agreement with the City and will no longer develop the Tom Thumb grocery store within the Shops at RedBird."
Advertisement
The Dallas Morning News requested a copy of the written notification to understand why the company decided to pull out of the deal. The News also reached out to the city and the grocer for comment.
Political Points
Get the latest politics news from North Texas and beyond.
SIGN UP
Or with:
GoogleFacebook
By signing up you agree to our Terms of Service and Privacy Policy
Peter Brodsky, the developer of RedBird mall, told The News he did not know why the company canceled its plans, expressing his disappointment. Brodsky's team had been working with the grocer since the City Council awarded the project $5.8 million in subsidies.
"We had gotten through the design process -- fully designed building, fully designed site plan, had already received a permit -- and it was sort of the last possible moment they let us know that they that they were going to pull out," he said.
Advertisement
Brodsky said the company's lease gave it the right to do due diligence throughout the design process.
"You got to ask them their exact reasons, but I can only assume that they didn't have confidence that the store will be successful in the market, even with the city subsidies," he said.
Last year in April, the council approved a combination of property tax abatements and sales tax grants for a 50,000-square-foot supermarket that would bring in a minimum of 90 jobs. As part of the deal, RedBird was supposed to spend at least $12 million on the building and site work, and Tom Thumb would make at least $5 million on improvements for fixtures and to finish out the building.
Advertisement
"It's very, very disappointing for RedBird. It's very disappointing for the community," Brodsky said. "The community wants a high-quality grocery store nearby, and so we are going to regroup and start talking to other grocery stores and try to help those grocery stores understand that this is a viable market."
Advertisement
In the memo, Bentley staff would continue to pursue full-service grocers to serve the southern Dallas communities aggressively.
Related StoriesRead MoreDallas officials delay Shingle Mountain rezoning until city tackles new state lawSB 929, which affects how cities can process closures of polluting industries near residential areas, became the biggest hurdle ahead of the rezoning votePaul Quinn College gets $1.5 million for housing, mixed-use community in southern DallasStudent housing is expected to expand, along with a larger development at the historically Black college.Price tag on Fair Park's promised community park cut to $39 millionFair Park First officials said the park, initially slated to cost more than $60 million, has lower costs after they scrapped plans for a controversial parking garage.