County Signs Holiday Market for Downtown

This article was in Saturday’s (October 7th, 2017) Herald and News

Written By: Holly Dillemuth, H&N Staff Reporter 

Holiday Market is likely coming to downtown Klamath Falls in spring 2018, with plans to operate a pharmacy as well at the former Haggen store, 211 N. Eighth St.

Klamath County Commissioners on Friday confirmed following an executive session that they accepted a $1.9 million offer from North State Grocers, the parent company of Holiday Market, on Tuesday, which means the company could open its 20th store at the downtown location as early as April.

Holiday Market will also work with Sky Lakes Medical Center to provide a pharmacy at the North Eighth Street location, according to Klamath County Commissioner Donnie Boyd.

Commissioners during a Tuesday public session voted unanimously to authorize Boyd to sign off on a letter of intent on with North State Grocers, to operate a Holiday Market. County counsel was also directed at that time to prepare a purchase and sale agreement with the company.

The Board of Commissioners received a letter of intent from The Myers Group, based out of Clinton, Wash., but have essentially walked away from with the company’s $1.55 million offer – the same price the county paid for the building – and an offer to open in December.

“We never really voted to go with Holiday Market but we’re going to continue to go with the letter of intent,” Boyd said Friday. “Which means that we will follow through with Holiday Market and give them their 30-day due diligence period.”

Boyd said the time period for due-diligence isn’t uncommon for purchase and sales and to make sure the county doesn’t continue to market the building.

“We’re going into it with good faith that he’s going to honor his side of the deal, and he’s going into it thinking we’re going to honor our side of it,” Boyd said.

Boyd said he changed his mind nearly two dozen times over the course of weighing the many merits of both grocers.

“The city of Klamath Falls deserves a long-term grocer there (downtown) and that’s why Klamath County entered in the first place was to help provide a long-term grocer that was stable, that was fair and both of them fit,” Boyd said of Holiday Market and The Myers Group.

“It’s pretty tough when you’re using taxpayer funds to do it, it’s a heavy decision,” he added.

Boyd paid a visit to the Alturas Holiday Market Friday morning, though, returning with continued confidence in the company.

“It is a beautiful market,” Boyd said. “They have great selections of organics, they have great selections of non-organic food, and in my opinion, fairly priced.”

Holiday Market was recruited by Klamath County Economic Development Association (KCEDA) to fill a store space left vacant since Haggen announced bankruptcy in August 2015.

In its letter of intent, North State Grocers said it will put $20,000 down on the project, check the title among other due-diligence over the course of 30 days, with the option to move forward or back away from the deal at the end of that time.

Holiday Market also provides the county with $350,000 profit, although commissioners have reiterated the purpose of its involvement has been to fill a community need, not to turn a profit.

Holiday Market stated plans to conduct major renovations of the downtown store space.

To read this article and others on the H&N website, please refer to the link below: 

County Signs Holiday Market for Downtown (H&N)

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