Reasor's to try new concept in renovation of Food Pyramid in Brookside

Source: Tulsa World, Okla.迷你倉Sept. 25--Reasor's should complete its acquisition of three Food Pyramid stores by Oct. 6 or 7. By the middle of October, at least two of those stores will be operating under the Tahlequah-based grocer's name while the third undergoes a more thorough renovation.On Tuesday, Jeff Reasor, chairman and CEO of Reasor's LLC, spoke about the progress of the acquisition in addition to answering sundry questions about the grocery business while holding a "fireside chat" with Tulsa Mayor Dewey Bartlett.Their talk took place during the "Idea Exchange" presented by the International Council of Shopping Centers at the Hyatt Regency hotel downtown.Last month, Reasor's announced it would acquire three Food Pyramid grocery stores from the chain, which is selling all of its five operating Tulsa stores.Reasor's is acquiring sites at 11214 E. 71st St., 3328 E. 51st St. and 3915 S. Peoria Ave.With the acquisitions, Reasor's will have 20 grocery stores in northeastern Oklahoma.The sites on 71st Street and 51st Street should reopen as Reasor's locations by the middle of October, but the store near 41st Street and Peoria Avenue will stay closed a month or two, or longer, as it undergoes an extensive remodel, Reasor said in an interview prior to his talk with Bartlett.The grocer is in consultations with a branding company."We're working feverishly behind the scenes on the remodel plans. ... It will be a little different concept than what our regular venue has been lately," Reasor said.The Brookside store will carry many of the same products but will have a whole new look, he added.Remodels of Reasor's locations at 71 Street and Sheridan Road and 41st Street and Yale Avenue have been put on hold until the Brookside location has been completed.Asked about plans for future expansion, Reasor simply said the chain has "a few feelers out, and they might surprise people." The grocer is still negotiating for land in one area and might possibly pick up another location. He noted that the sites under consideration are within a 125-mile radius."But more than likely that expansion is on hold until we digest these and get that new look," he said.Sitting in large red chairs, Reasor and Bartlett bantered back and forth during a luncheon presentation. Fielding questions from Bartlett and the luncheon audience, Reasor touched on several topics, including the grocery chain's history, challenges of carrying locally produced goods, concerns about employee health insurance, popularity of organic products, the movement toward smaller grocery stores and more.Reasor's, which celebrates its 50th anniversary this year, remained 文件倉amily-owned until 2007, when it became an employee-owned company. The store employs about 3,000 people.Whereas Reasor's father bought his first store in Tahlequah for $100,000, the company spent $17 million for the land and building of its Bixby store.Today, Reasor's stores range from just under 44,000 square feet to 85,000 square feet at 1885 S. Yale Avenue. Most of its stores average about 73,000 to 75,000 square feet.Grocery stores are getting smaller, Reasor said. When the company acquired the former Albertsons store at 15th Street and Lewis Avenue, Reasor said he was scared of potential customer backlash because the site was about 15,000 square feet smaller than the other stores, but it didn't turn out that way.He also noted that Reasor's sells more organic produce than anyone else in the state, but doesn't get credit for it. Other stores such as Sprouts and Whole Foods have done a good job of appealing to those customers, but Reasor's is working with a branding company to help emphasize its organic produce, Reasor said.Asked if the company has made plans to prepare for the Affordable Care Act, commonly referred to as Obamacare, Reasor said the law is confusing and he is concerned about it. Almost 50 percent of the store's employees are full time, working 32 hours or more a week, and qualify for health insurance."We've got a great plan. ... We don't know where we're headed right now. And to be honest with you, we may not provide health care in the next year or two. We may not be able to afford it," he said.Using north Tulsa as an example, Bartlett asked Reasor to talk about why it would take such a long time for a grocery store to locate in some areas where there seem to be sufficient numbers of people to support a grocery.North Tulsa has good demographics, and there is a need, Reasor said. The former Albertsons at Pine Street and Peoria Avenue averaged about 20,000 customers a week, which was similar to what some Reasor's stores average. The problem was that the average purchase was about 40 percent of what Reasor's sees."There were not enough dollars to be profitable. It's just a simple numbers game," Reasor said.He also talked about why there suddenly seems to be a lot of activity in the grocery business."Retailers understand who their customer is," he said. "And I think there were a lot of things queued up where people were looking for the opportunity to either enter the market or had a plan."Laurie Winslow 918-581-8466laurie.winslow@tulsaworld.comCopyright: ___ (c)2013 Tulsa World (Tulsa, Okla.) Visit Tulsa World (Tulsa, Okla.) at .tulsaworld.com Distributed by MCT Information Services存倉