With tight profit margins, many grocery chains have pulled out of lower-income neighborhoods. Cities like Chicago could fill the gap themselves.
Aldi, Whole Foods, Walmart, Save a Lot: These grocery stores have become a sad commentary on the challenges facing historically disinvested communities in Chicago. In the past few years, all these franchises have shuttered locations, citing financial challenges, with six stores closing in the last two years alone. Residents have grown increasingly frustrated at efforts to bring better food to their neighborhoods.
That’s why Chicago is making plans to potentially open a store of its own. Mayor Brandon Johnson’s office commissioned a feasibility study, delivered earlier this month, looking into the idea of establishing a city-run grocery store, which would make Chicago the first major U.S. city to do so. The report, by HR&A Advisors, found that the city could establish a three-store network that would fill its food deserts for $26.7 million in upfront investment.
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