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Community Corner

Grocery Store Scene Continues To Change

So far, a year of bankruptcy and possible buyout

Some have left, some are coming and some have no plans to be here.

The supermarket scene in the Toms River area has all three situations. This year, grocery companies have announced closures, acquisitions and plans to build.

In 2011, A&P has filed for bankruptcy, Stop & Shop may buy Norkus Foodtown, and a ShopRite is planned for the major intersection of Route 166 and Route 37.

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Saker ShopRite plans to open a new state-of-the-art supermarket in the Dover Mall, according to Ed Turkot, senior vice president of the company.

"The store will bring nearly 300 jobs to Toms River — we look forward to having a positive impact on the community. Saker ShopRites have a longstanding tradition of serving the needs of its loyal customers in Ocean County," he said in an email.

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The store will open in a spot vacant for more than a decade; a spot that previously housed a ShopRite, in the Dover Mall.

Matt Casey of Matthew P. Casey & Associates studies the local market, offering advice to retailers in the pharmacy and supermarket industries. He said that Saker ShopRite's move to the Dover Mall is not a surprise, and called both the location and the company a strong one.

But the stability of grocery stores throughout town is in question, as anchor stores are left vacant.

Norkus Enterprises Inc. of Point Pleasant Beach closed its Foodtown located on Fischer Boulevard at Bellcrest Plaza on June 30. In addition, Stop & Shop has plans to buy a majority of the remaining Norkus locations, the company announced in March.

The Great Atlantic & Pacific Tea Company filed for Chapter 11 bankruptcy protection for its A&P and Pathmark chains in October. No decisions have been made regarding the Toms River Pathmark store on Routes 571 and 9, according to company spokesman, Eric Andrus.

The Barnegat A&P is among stores closing. A poster hanging in the Bayshore Plaza storefront, which is plastered with banners promoting deep discounts, says the store will shut its doors April 15.

Even amid news from A&P and Norkus, Casey said an additional ShopRite in the area is not a surprise.

"The chain is much stronger than most. They have a low price image with their customers, and they offer big stores with great services and amenities," he said in a telephone interview.

Compare that to chains operating in Monmouth County, such as Wegman's, Trader Joe's and Whole Foods, which are often thought of as higher-end grocery stores. According to representatives at each of those respective companies, there are no plans to open a Wegman's, Trader Joe's or Whole Foods in Toms River.

With the apparent demand of a 90,000-strong population in Toms River plus seasonal visitors, why wouldn't additional supermarkets be planning a store here?

Casey said it could be that the large senior citizen population plays a role in their decisions. "These chains operate big stores. For example, a new Wegman's is almost double the size of a ShopRite at 123,000 square feet. They just don't want to walk around a store that size, and the prices of these chains — like Trader Joe's — doesn't work well with their fixed incomes," he said.

Another reason that the chains aren't open in Toms River could be lack of open space.

"There are only a few strong retail corridors in town. You have Route 37, Fischer Blvd., Hooper Avenue, and Route 9. Good luck finding a 10-acre space that one of these stores would require in those areas," Casey said.

Food Circus Foodtown (owned by the Azzolina and Scaduto families) operates the Foodtown in the Toms River Shopping Center right across the street from the Dover Mall. Phone calls to the company headquarters seeking a reaction to ShopRite's were not returned.According to Casey, ShopRite's new location shouldn't really affect the nearby stores.

"At one time that store (Route 37's Foodtown) was one of the highest volume grocery stores in the state. That intersection has proved to be a good place for a store, so it makes sense that they'd want to get into that territory," he said.

Eastbound on Route 37, a Stop & Shop serves East Dover and Washington Street neighborhoods. And heading west from the Dover Mall and Super Foodtown, you'll first hit a spot planned for a Super Walmart on Northampton Road, before hitting Manchester, which has a Perlmutter ShopRite on Colonial Drive and Route 70.

Clearly, there is more than one option to choose from, when deciding where to buy groceries in Toms River.

The competition means that, ultimately, local consumers could be the biggest beneficiaries of the new ShopRite, Casey said.

"Foodtown hasn't done anything to upgrade in recent years. The new ShopRite will force them (and other chains in town) to defend their current volume. They may have to lower prices and offer more services. The new ShopRite will be good for the consumer, that's for sure," he said.

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