Food Cooperatives: Supporting Local Economies

Food cooperatives are often recognized as an innovative way to support local economies and farmers while providing fresh food options to participating communities. In Philadelphia, what started out as a neighborhood buying group in the city’s Mount Airy section in 1972 soon became one of the area’s largest food co-ops, branded as Weavers Way. With products grown at the co-op’s own farm in East Mount Airy, breads from local bakers, coffee from local roasters and dairy and meats from area farmers, by 2007 the co-op had gained over 3,000 members with annual sales of nearly $6 million.

Looking to expand past its original location, Weaver’s Way approached TRF about financing a second location in the city’s diverse Ogontz neighborhood. With support from TRF’s Pennsylvania Fresh Food Financing Initiative, Weaver’s Way opened a 700-square-foot store offering a variety of fresh food options that had not previously been available in the area.

The co-op approached TRF again in 2009 with plans to open a third market in the city’s historic Chestnut Hill neighborhood. With funds from the City of Philadelphia’s Transit-Oriented Gap Financing program, TRF provided Weavers Way a low-interest loan to convert a former market into a new 6,500 square foot space with ground floor retail and rental units above. Centrally located on Germantown Avenue, the new Chestnut Hill store opened last spring with 35 employees.

The new store offers an expanded bulk section, along with a vast selection of prepared foods, organic options and locally sourced produce. In addition, the space boasts a more shopper-friendly layout and design, as well as energy-efficient deli counters, freezers and cooling systems. As of June 2010, the Chestnut Hill store saw sales jump 50% greater than expected.  “The local products are flying of the shelves,” shared Glenn Bergman, the co-op’s General Manager, adding, “thanks to TRF’s support and belief in this little engine that wants to do good.”

These successful expansions have helped Weavers Way grow to over 100 employees and 4,500 members. Its sales are expected to reach $14 million this year.