Reinvestment Fund provided New Markets Tax Credit (NMTC) financing toward a new 114,000 square foot Kroger Marketplace in Atlanta, GA. The marketplace features full-service grocery, a pharmacy, health and beauty department, as well as a health clinic, general merchandise such as home goods, apparel, and jewelry, and a fuel station. There are nearly 100 Kroger Marketplace stores nationally and this will be the first in the city of Atlanta.
The store is located in a USDA food desert and a Reinvestment Fund-designated limited supermarket access (LSA) area. The new store will provide healthy food access to 43,000 people living within two miles of the store with currently limited access to healthy food.
The store opened in summer 2016 and employs approximately 215 full- and part-time unionized employees. Kroger Marketplace committed to hiring the store’s employees from the immediate, low-income community and estimates that half will benefit from internal advancement and/or promotion from within the Kroger company.
This development is located along the Beltline, which is the most comprehensive transportation and economic development effort ever undertaken in the city. The Beltline is a 22-mile rail corridor that, when redeveloped, will provide a network of trails, parks, and public transit connecting 45 neighborhoods. More than 100,000 people live within a half mile of the corridor. Seven miles of the Beltline have already been completed, which has helped to spur more than $1 billion in new private investment since 2005. The project is redeveloping a former brownfield site and is building on other nearby development that includes new multifamily housing and a new public high school facility.
Reinvestment Fund partnered with McCormack, Baron, Salazar on this project, a St. Louis-based developer of affordable housing communities. U.S. Bank is the NMTC investor in this transaction, and Kroger is providing significant direct equity into this project and a portion of the leverage loan.
Kroger’s Atlanta division also supports the residents of metro Atlanta through various philanthropic initiatives geared towards hunger relief, women’s health, military families, and children’s health and education.