Rumors Swirl About Potential Genuardi's Sale

No one at will confirm it, but rumors are floating that Genuardi's owner Safeway is looking to sell its Delaware Valley stores, including the one here in the St. David's Square shopping center.

Two local Genuardi's supermarkets have closed in the past month: the Eagleville location on Oct. 8, and the Kimberton store on Oct. 15. The two stores, located in Montgomery and Chester counties, respectively, are the only Genuardi's stores that have closed in 2011. Last year, seven Genuardi's stores were closed, including ones in Newtown Square, Chesterbrook, Lansdale and Glen Mills.

Currently, there are Genuardi's locations in St. Davids, Wynnewood, Springfield and 24 other locations.

Food Trade News reported this month that multiple sources have indicated Safeway is looking to sell its remaining Genuardi's stores and will come to sales agreements in the near future—likely before the end of 2011.

Giant Food Stores is one retailer said to be in the mix. Food Trade News reported sources indicating Giant may want to acquire as many as 18 Genuardi's stores. Giant took over two Genuardi's stores in Warrington and Feasterville (Bucks County) last year, placing them under the Giant banner.

Genuardi's public affairs manager Maryanne Crager said rumors of stores being sold have been around since the Genuardi's family sold the company to Safeway in 2001.

"We really don't comment on rumors," Crager said. "There are always rumors out there, and I have no knowledge to suggest that this is anything other than a rumor."

Crager said those decisions are made at the upper echelons of the company.

"Whatever is happening—if anything is happening—is not something we're privy to at this level," she added.

The nearby stores closed this month were underperforming, according to Crager.

"Eagleville in particular was quite an old location—it had been open for over 20 some years, and it had a smaller footprint. It was not a big store, and was without the amenities that larger, newer stores have," Crager explained.

The St. David's location was opened in 1992, and occupies 53,600 square feet of space, according to the website of Mall Properties, Inc., owner of the the St. David's Square shopping center. 

MPI did not return calls for comment.

Genuardi's has a large ready-made section ("The Kitchen"), and is regarded as one of the better chain stores with a kosher section in the area. Some other large retailers, like Shop-Rite and Acme, offer substantial kosher selections, but Giant's kosher section at most of its stores is considerably smaller.

Patch will update this story as more concrete information becomes available. If you have any information on the deal, contact the reporter, or the editor at sam.strike@patch.com.