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Supply Chain Issues Delay South Point Grocery Open Date

Work continues on South Point Grocery, a new grocery store on South Main, but Covid has pushed the opening schedule back to early 2022, its owners said. 

Castle Retail Group, parent company of Cash Saver and High Point Grocery stores, will bring a new store to South Main at 136 Webster sometime early next year. The store, to be called South Point Grocery, is sandwiched between Central Station on the west and the U.S. Postal Service facility on the east. 

Work began on the store in late spring this year and, at the time, owners believed they could open the store this year. Construction labor has not been an issue on the build; crews have worked on the store even through holidays, company officials said. But Covid has disrupted supply chains, delayed the delivery of supplies and equipment, and that has pushed back the store’s opening. 

“Any job of this magnitude, you come onto stumbling blocks,” said Rick James, owner and CEO of Castle Retail Group. “Covid introduced a different set of stumbling blocks and that was time factors of getting equipment and getting supplies.”

Still, James said “we’re trying like heck” to get the store open in early 2022. 

The once dusty, dark space has already been transformed since April. Bright, clean light illuminates the store’s 9,000 square feet of retail space. Floors are even and clean. Sleek coolers line the walls and floor freezers outline what will be some of South Point’s aisles. The store is taking shape. 

Paul Young, president and CEO of the Downtown Memphis Commission, walked the store’s floor last week and met with James and others with the company. Young said Downtowners have been talking about the need for a new grocery store since he began work in planning in 2003 and he’s sure that conversation goes back further than that.

For many Downtowners, Young said, Danny Thomas Avenue forms a sort of “soft boundary where Downtown stops.”

“[That idea] just comes from conversations with Downtowners about where they would like to see the type of amenities they want to access,” Young said. “They want to access [amenities] in the heart of Downtown and Danny Thomas feels like a soft boundary for where Downtown stops.”

Community response to South Point Grocery has been overwhelmingly positive, James said. It might also serve as a major building block to further development. He said grocery stores are anchors and they’re usually first on the list for suburban shopping-center developers establishing new sites. 

“So, it’s kind of like you’ve got Downtown as its own little city and it’s never had that anchor, and we’re going to provide that,” James said. “For those Downtown residents who’ve been here a long time, it’s been a long time coming. Then, you’ve got new Downtown residents who’ve come and realized there’s no place to buy groceries. They’re excited about it, too.” 

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South Point Grocery Store Headed to South Main

Fresh foods will be the focal point of a new grocery store planned for Downtown Memphis. 

Castle Retail Group, parent company of Cash Saver and High Point Grocery stores, will bring a new store to South Main at 136 Webster sometime this year. The store, to be called South Point Grocery, is sandwiched between Central Station on the west and the U.S. Postal Service facility on the east. 

Tom Archer, owner and president of Archer Custom Builders, bought the building in 2017 with visions to bring a grocery store to Downtown Memphis. The store will be small — with a sales floor of about 8,000 square feet — compared to other stores. Its size and the neighborhood pushed the focus on fresh foods, said Rick James, owner and CEO of Castle Retail Group. 

“We know in a space of this size, we’re not going to have 48-roll toilet paper; it just won’t work,” James said. “But we can handle high-end, fresh produce, deli, bakery, and a butcher shop. Quality and freshness would be two of the key words.”

We can handle high-end, fresh produce, deli, bakery, and a butcher shop. Quality and freshness would be two of the key words.

Rick James, owner and CEO Castle Retail Group

Another grocery store has been on the Downtown to-do list for more than a decade, as some have said Miss Cordelia’s feels far away and disconnected from Downtown’s Central Business District. For years, Downtowners have have told surveyors that another grocery store is a missing gap for the neighborhood. James said many now drive five miles to Midtown stores, like Cash Saver or Kroger, to stores in West Memphis, Arkansas, or to big-box stores like Costco on Germantown Parkway. 

James and Archer said South Point Grocery makes sense now with Downtown’s new population density. Nearly 26,000 people lived Downtown last year, according to the latest numbers from the Downtown Memphis Commission (DMC), up slightly from the nearly 25,000 people who lived there in 2010.  DMC data says nearly 88,000 occupy Downtown during the day.

“We’ve been down here all these years and South Main has been kind of on the edge of busting wide open,” said Archer, whose company is headquartered on South Main. “We wanted to get ahead of that but it beat us. It’s been crazy down here the last couple of years. So, this is perfect timing.”

South Point Grocery was, in part, inspired by Castle’s success at High Point Grocery. James said before buying the beloved community grocery store, his company had not really done a small-format store. Without it, “we wouldn’t have had the confidence that we can” run a smaller store Downtown. Archer said he’d been looking for a partner for his Downtown grocery building, saw James talking about High Point Grocery on the news, and walked away impressed when he went to see it for himself.  

The building features a parking deck on the east side with plenty of public parking available on Webster. A covered patio with ceiling fans front the street, which James said will be used for dining and, perhaps, live music. 

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Food & Drink Hungry Memphis

High Point Grocery Bought by Cash Saver Owner Rick James

Taylor James

Rick James, CEO and owner of the local Castle Retail Group, chats outside High Point Grocery.

High Point Grocery has been purchased by Rick James, CEO and owner of the local Castle Retail Group, the company behind Cash Saver grocery stores.

The High Point Terrace store closed in April because of the coronavirus virus pandemic. Longtime operator C.D. Shirley decided to sell the store.

“We are excited to continue serving the High Point Terrace neighborhood and
community in the coming weeks after minor renovations are made,” James said in a statement.

James plans to have the store cleaned, stocked, and reopened by mid-August. A company official said Monday morning no major changes will be made. James said he hopes the former High Point Grocery employees will return to work at the store.

James has a connection to the High Point Grocery form early in his career. Shirley’s father, Charles, bought the store in 1971, and James became the wholesale
representative for the store and other many others in the 1980s.
[pullquote-1] “This store is similar to the store in which I started my career,” James said. “High Point Grocery is a treasure of the neighborhood, and we’re thrilled that C.D. is willing to allow us to continue its legacy,” James said.

James’ Castle Retail Group operates three Cash Saver grocery stores in the Memphis area. James has been in the grocery business for nearly 50 years, and he serves as the chairman of the Tennessee Grocers & Convenience Store Association and vice chairman for the Mid-South Food Bank.

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Cover Feature News

Food Fight: The Battle to Eliminate Memphis’ Food Deserts

If you drive through Midtown, there are no shortages of places to find fresh food. In fact, there are three full-scale grocery stores within a one-mile radius of each other. But, as you venture further south, along Bellevue into South Memphis, you won’t find many grocery stores. Instead, you’ll see streets lined with fast food joints, dollar stores, and corner stores selling junk food, beer, cigarettes, and a few overpriced groceries such as white bread and milk.

Marlon Foster, longtime resident of South Memphis and pastor of Christ Quest Community Church near McLemore and Mississippi Boulevard, says accessing healthy, non-processed food is a huge struggle among his neighbors. People “literally right next door to me don’t have real food to eat. There are a lot of people who walk up and down the street to get food from me and other neighbors,” Foster says. “We see it all the time”

Since the church opened 14 years ago, Foster says he’s been offering Sunday-morning breakfast to his congregation. Half come just for the guaranteed meal, he says.

“It’s about gathering, but it’s also a direct confrontation of hunger,” Foster says. “People are not coming to socialize; they’re coming because they’re hungry and need something to eat.”

Source: USDA; modified for the story

The green fields in the above map indicate food deserts.

South Memphis isn’t the only Memphis neighborhood where residents don’t have reliable access to fresh, healthy food. In fact, on the United States Department of Agriculture (USDA)’s atlas that highlights areas in the U.S. with low access to food, much of the city of Memphis is colored green. In this case, green isn’t good. Green means that the people living in that census tract are low-income and live between one and 10 miles from a grocery store.

Click a button on the interactive site, and magenta begins to overlap with green, showing the areas in Memphis where a large portion of households don’t own cars. Green plus magenta equals food desert, which the USDA defines as a community where at least 500 people and/or 33 percent of the population reside more than one mile from a grocery store and do not own an automobile. These areas exist heavily here in Whitehaven, Orange Mound, South Memphis, and North Memphis.

The latest report by Feeding America, a national hunger-relief organization, shows that 198,610 Shelby County residents were food insecure in 2015, meaning about 21 percent of the population faced “lack of access, at times, to enough food for an active, healthy life for all household members and limited or uncertain availability of nutritionally adequate foods.”

These are communities where residents do not live in close proximity to affordable and healthy food retailers, especially those that sell fresh fruits and vegetables. Healthy food options in these communities are either hard to find or unaffordable. Residents can, however, easily access processed food with little or no nutritional benefit and that is high in fat, sugar, and sodium.

The USDA cites that in most cities, food deserts are found in low-income areas and neighborhoods of color. Memphis, a city that is about 62 percent African American, is no different. On the USDA’s food desert atlas, green largely covers the city’s poorest zip codes — 38126, 38105, 38108, and 38106, which have an average median household income of $19,107 a year. In these neighborhoods, families struggle to find and afford healthy food, children rely on school-provided meals, and parents have to make trade-offs between basic needs and adequate food.

Closed Doors

When Kroger closed two of its stores in South Memphis and Orange Mound in February, the residents who depended on those stores were suddenly struck with the reality of not having a place to buy food.

Rhonnie Brewer, chief visionary officer of local consulting firm Socially Twisted, says she doesn’t live in either of those neighborhoods, but when she heard about the predicament of the residents there, she was compelled to help “meet the need.”

After attending neighborhood meetings, while researching and contacting potential grocers to fill the space, Brewer says she realized she needed hard numbers to actually prove a grocery store could be viable in those locations. So, Brewer went to the Memphis City Council, asking for funds to conduct a grocery store feasibility study. Though some of the council members were “strongly for it,” she says, others “weren’t concerned” and couldn’t understand why a study was necessary.

“It wasn’t easy,” but after what Brewer says was “lots of presentations and lots of begging,” the council voted to fund the study.

Still, some council members said they didn’t see a need for the study. “I was dismayed,” she says. “Because anything that impacts the community’s citizens is the responsibility of the city ultimately.”

The study, based on census data, traffic counts, and other numbers, showed the need for a grocery store in the two spots, but in locations like South Memphis and Orange Mound, Brewer says the study also suggested a traditional grocery wouldn’t work. Because profit margins for the two locations were projected to be low or negative, Brewer says the grocer would need to be “creative about making money … . It’s completely doable, it requires thinking outside of the norm for grocery stores.”

Brewer then returned to the city council to propose the creation of a grocery store prototype that would be most viable in low-income areas. Creating the prototype would have cost the city about $174,000, but the council told Brewer it wasn’t in the budget. “They just didn’t go for it,” she says, and some of the council members “basically avoided me. I sent emails, called, texted, left voicemails, called their assistants, and still got no responses from some,” Brewer says. “It left me at a loss.”

Theo Davies at Green Leaf Learning Farm.

Steps Forward

Brewer’s talks with the city council were not in vain, though. Last week, the council took a step toward bringing grocery stores into the city’s food deserts, but in a different direction. The council voted to allocate $360,000 from surplus funds to an initiative meant to make it easier for grocers to open shop in underserved, low-income neighborhoods.

The Healthy Food Financing Initiative (HFFI), modeled after the USDA’s national program, is designed to expand access to nutritious food in communities by developing and equipping grocers, small retailers, corner stores, and farmers markets that sell healthy food.

Through the initiative, healthy food projects in Memphis’ USDA-certified food deserts will be incentivized with loans and other assistance to offset the costs of land/facility purchase, construction/renovation, and business start-up/operations. The initiative is spearheaded by The Works, Inc. CDC, a housing and community development group that aims to rebuild and restore South Memphis.

Roshun Austin, president and CEO of The Works says the initiative will be “vital” in eliminating food deserts in neighborhoods where she works in South Memphis, and in others, such as North Memphis, where there are “whole blocks of neighborhoods that barely have convenience stores.”

“We’re not in it just to provide a loan,” Austin says. “It’s about what we can provide and what it means for families’ health. This is a way to focus on how we reduce our health disparities.”

Ma Ani Community Service Summer Program campers.

Austin is wasting no time getting started, either. She’s been working with Rick James, owner of the local Cash Saver chain, to bring a grocery store back to Kroger’s old location in South Memphis’ Southgate Center.

James, who has already signed a lease with the property owners for the 31,000-foot space, says “it’s a done deal” and expects the store to open sometime in August. James has been operating stores in Memphis for about 30 years, and says he’s “confident” that the store will be successful.

“The neighborhood is very, very similar to the ones where we already have stores,” James says. “We know how to provide for these customers, and we’re comfortable in the community. I wouldn’t be doing it if we didn’t think it could be successful.”

Whether the store is a success or not, James says Cash Saver is “not in it for the short-run,” citing a $1 million front-end investment for store renovations.

Unlike other grocery stores, Cash Saver has a “price plus 10” format. This means at the register, customers pay the price listed on the shelf, plus tax, plus an additional 10 percent of each product’s cost. James says this allows the store to offer the lowest price for all products, instead of just for a few on-sale items. Despite the extra 10 percent, James says he’s “pretty certain” that Cash Saver’s products are cheaper than those found in other grocery stores.

With Cash Saver set to open at the end of the summer, hope is on the horizon for the approximate 55,000 individuals living within a 3-mile radius of the shopping center. Still, in a zip code where the annual average household income is a little over $29,000, transportation options are limited and obstacles still stand in the way of getting to the store. And those without access to a car, living further than a mile from the store, by USDA definitions still reside in a food desert.

Maricela Lou-Gator welcomes Ma Ani counselor Deen Bowden and campers.

An Oasis

Opening grocery stores is one way to address the food desert epidemic in Memphis, but tucked away in South Memphis another type of solution — and an oasis — already exists. Sitting to the south of Walker, near Mississippi Boulevard, a two-third-acre learning farm spans over 30 formerly vacant, blighted lots and three abandoned buildings.

The Green Leaf Learning Farm is a USDA-organic-certified farm, where everything from jalapeños and thai chilies, to zucchini and tomatoes, to sage and thyme is grown. The food is sold at the farm, as well as the South Memphis and Cooper-Young Farmers Markets. Residents of the neighborhood receive a slightly reduced rate on food, and every week, food is given away to neighbors.

Marlon Foster is not only the pastor of Christ Quest Church, but he’s also the founder of Green Leaf and the organization that operates it: Knowledge Quest. Foster grew up just a few blocks from where the farm sits now and says he’s seen the population and economics of the neighborhood shift over the years. People moved out, businesses closed, buildings became dilapidated, and lots turned to blight, he says.

“It’s challenging for me to ride down the same streets I rode down as a kid with my parents now and remember what used to be,” Foster says, citing the number of grocery stores that used to be in the community. “We had what we needed in the neighborhood, but now a lot of it is gone. We are having to literally build from the ground up with community gardening to try to fill the gap for that loss.”

Green Leaf is an effort to be a “direct redress” to the food desert in which it operates, Foster says. “At least with the presence of Green Leaf, those food desert realities begin to diminish for those in a close proximity to the farm,” Foster says. “Through us, families do have access to healthy produce — and soon to be — eggs and honey.”

Because the goal of the farm’s parent organization, Knowledge Quest, is to provide high quality service to “one of the most under-resourced and underserved neighborhoods that traditionally would not get that,” Foster says, Green Leaf strives to grow the highest quality food.

“We don’t just provide vegetables; we’re committed to growing the healthiest of the healthiest,” Foster says. “We’re passionate about vegetables with high amounts of nutrients, like leafy greens — hence our name, Green Leaf.”

Green Leaf has three focuses: community and economic development, food access, and education. Student education, through “mass exposure” and “intentional engagement” to growing food, is the most important, Foster says.

Students at Knowledge Quest have the opportunity to learn about the different aspects of urban agriculture, and those who show interest are given the opportunity to join a club and learn more in hands-on ways. The club members learn everything from water and soil conservation to how to project harvest yields, Foster says.

“So if they want to be outside and get their hands dirty or own a farm or go into an agribusiness career one day, they’ll have that experience to do that,” Foster says. “Our goal is for a child to have the chance to experience all the elements of the food cycle.”

Urban farming is one way to curb the food desert problem, but Foster says it’s not the single solution. “I am still an advocate that it should not be that for under-resourced communities to have healthy food, they have to grow it themselves,” Foster says. “I wouldn’t want to go down that road too far — to say that it’s the whole answer.”

Foster says community farming is a good way for people to become empowered and immediately respond to challenges in their neighborhood. “But still, we want access to produce in traditional outlets,” Foster said. “I want a high-quality grocery store in proximity to me in South Memphis, where I live.”

It all works hand-in-hand, Foster says, as urban farming can be one piece of a broader solution.

More Than Food

Despite some forward strides, there are still a number of neighborhoods in Memphis where residents are without healthy food options. Rhonnie Brewer says it’s important to keep the conversation about food deserts going.

“The minute it gets quiet and it’s no longer relevant, it gets swept under the rug,” Brewer says. “Then it becomes the status quo, and it’s normal old news. At the end of the day, if you were to look at the USDA food desert atlas, you see Memphis covered in all these spots that are food deserts, and that’s an issue that has to be addressed. I just don’t want these individuals who are now living in these situations to get forgotten about.”

People often don’t understand the obstacles that stand in the way of certain demographic groups in some neighborhoods accessing fresh food, Brewer says.

“If you are a senior who lives in Orange Mound off of Park with no means of transportation, imagine the hurdles you would have to go over to get to the closest full-scale grocery.”

Grocery stores do more than just provide food, Brewer says. They often serve as anchors in communities. Where there is a grocery store, there is a centralized hub where other retail stores will likely open. It’s also a determination of where people decide to live, she says.

“When the grocery stores close, neighborhoods start to die,” Brewer says “Small businesses can’t be supported, people start to move out, and schools close. It’s like a huge domino effect. At the point where there’s no grocery store or school in the neighborhood, it’s dead.”

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Music Music Features

End of an Era

When the Bar-Kays take the stage at the Cannon Center this Friday night, June 16th, their show will mark the closing chapter of lead singer Larry Dodson’s career: his last hometown performance.

“This is something my wife and I planned long ago, when we first got married,” says Dodson. “People don’t realize I’ve been in front of the microphone 47 years. That’s more time than a lot of our younger fans are old. I joined the band in March of 1970 and I got married to my wife Marie in August of 1970, and she’s worked all of her life. We said from the very beginning we weren’t going to work ourselves to death.”

So after this year’s schedule is wrapped, Dodson will be focusing his time on his wife and his daughter Precious, now 46, who was born with Down syndrome. “There are a lot of places that she wants to see, and we just want to be a loving family while we’re all healthy. My family had to play second fiddle to me, and I don’t like that.”

One would be hard-pressed to name a band exemplifying the Memphis music spirit more than the Bar-Kays. The original lineup began as teenagers hanging around the Stax studio and performing at Booker T. Washington High School, ultimately growing into a road band for Stax artists and having hits of their own. In 1967, the same year their “Soul Finger” single broke, a plane crash took the life of Otis Redding and every other member of the Bar-Kays aboard except trumpeter Ben Cauley. Bassist James Alexander, traveling on another flight, also survived. Ultimately, he and Cauley reformed and reinvented the band, leading them into funk stardom in the 1970s and beyond. Dodson, already a Stax artist with the Temprees, was recruited at that time.

Larry Dodson

They backed Isaac Hayes on his breakthrough “Hot Buttered Soul,” racked up more hit singles of their own, and wowed audiences at the label’s Wattstax extravaganza in 1972.

As the decade closed, the Bar-Kays sold out the Mid-South Coliseum in April 1979. As Dodson remembers it, “We broke Elvis’ record, Al Green broke ours, and Rick James broke them all, later.” He gives much credit for this early success to manager/producer Allen Jones. “A baaad man. So visionary. He turned me into the guy I am today.”

For his part, Alexander plans to soldier on after Dodson’s departure. There will be auditions for a new lead singer after this year’s confirmed dates are a wrap. “He says I’ll retire on stage, and he’ll expire on stage,” Dodson laughs. “I know it’s going to be hard on him not seeing me there.”

But the Bar-Kays are not limping into the twilight of their careers. Alexander’s son Phalon, a.k.a. “Jazze Pha,” a producer based in Atlanta, cut a 2012 hit for them, “Grown Folks.”

“We knew we had a good record, but we were surprised at how big the record was. Earth, Wind and Fire, the Commodores, Kool and the Gang, and a lot of the funk bands were putting out [new] records, but they couldn’t get arrested, and ‘Grown Folks’ went straight Top 10. And it wasn’t just our older fans, but younger ones outside of our fan base. He really produced the ‘shut yo’ mouth’ out of the record.

“The ironic part is that we did it in one day,” says Dodson. “We did not have one line written.”

The Bar-Kays play the Cannon Center on Friday, June 16th; ConFunkShun will open the show.