Merced Mysteries & Minutiae: Retail, construction and development update

This column exists to answer readers’ questions.

Lately, I’ve received a fat stack of questions about retail, construction and economic development.

So, I’m going to give what answers I can to most of them here. Let’s get to it.

Q: What’s going on with Save Mart?

A: There have been lots of rumors that Save Mart at G Street and Olive Avenue is going to move to the old Albertson’s location across the street.

The city has received a building permit application for a Save Mart sign at the former Albertson’s building, which Save Mart bought years ago, said Frank Quintero, the city’s economic development director. It’s been a storage area since Albertson’s closed.

In July, Save Mart announced for the first time in 20 years it would change the format of its stores, starting in the Bay Area. The stores there, called Lucky California, feature constantly changing snack and meal hubs and prepared foods. Lucky California, which debuted in Daly City, is supposed to reflect the Bay Area’s eclectic food culture, The Modesto Bee reported.

Though Valley locations won’t exactly be Lucky California sites, Save Marts here will be rebranded. So expect some changes when Save Mart moves.

The city hasn’t received any other plans. The public affairs office with Save Mart did not return messages Friday.

Though it’s unclear whether Save Mart will continue its lease on the current location, Quintero said that space is planned for retail.

Big plans for CVS: The Merced Planning Commission in January approved a plan for CVS Pharmacy to build a 12,900-square-foot building on Olive Avenue just off M Street.

The three-story building there called Park Olive Plaza, next to El Pollo Loco, will be demolished. The CVS in Merced Mall will move into the new space.

The plans for this piece of land also include a permit for a 2,200-square-foot drive-thru Starbucks, similar to the one that just opened on 16th Street and Martin Luther King Junior Way.

The permits for this site were approved at the start of this year, so these projects should be completed around summer 2017 at the earliest, or the start of 2018, Quintero said.

But since CVS is leaving the mall, that creates more questions.

What about the space CVS will leave open at the Merced Mall? That’s not necessarily a question the city’s economic development department can answer.

“We get asked about that the most,” said Maria Mendoza, an economic development associate for the city. “We have a good relationship with mall management, the owners and leasing office. But sometimes because of privacy, their leasing agents don’t tell us when things open.”

Nanette Villegas, the mall’s marketing director, attested to that.

Soon, mall officials will make an exciting announcement of some major changes that are “a long time coming.” When those changes are implemented, it will have a “domino effect,” she said, for more things to fall into place. But they can’t quite make those announcements.

In the meantime, Foot Locker is renovating and expanding its space. The mall will have a new Santa set this Christmas and hopes to have Wi-Fi throughout the mall by the beginning of the year.

“We’re laying the groundwork and slowly implementing new things here and there,” Villegas said.

A new store is set to open at the mall, called Cozy Fox. It’s a fast fashion store that’s college-friendly, Villegas said. Cozy Fox has locations in Santa Barbara and Bakersfield.

Speaking of the mall, I’ve received a lot of questions about what will happen to the Hometown Buffet location. Hometown Buffet closed in March after the restaurant’s parent company filed for bankruptcy.

The mall can’t start marketing the location until the company and building go through bankruptcy court, but Villegas said the mall has received a lot of inquiries for the location, which is a prime spot.

Infill of existing spaces: Some empty spots are slated to be homes for new businesses.

The building at M Street and Olive Avenue near Starbucks is having work done. A Stanton Optical is expected to move into that space, Quintero said.

And, speaking of Starbucks, the city is looking to fill the new building next to the drive-thru Starbucks on 16th. Parking is a bit tight at that site, Quintero said, but the owner is in negotiations.

And if you’ve seen construction of the car wash on G Street and Park Avenue, both of those structures will be part of the car wash.

There are also renovations to the Westgate Shopping Center at R and Main streets. Rockin’ Jump trampoline park may open as early as February. And demolition crews are quietly working in other areas of the shopping center, like at the 98 Cent store.

“We haven’t signed the dotted line yet, but what we have planned there will be really important for that center – big-time,” Mendoza said.

As far as filling vacant spaces on Main Street, much of the responsibility there lies with property owners.

Starbucks’ departure was a surprise to the city. The company essentially used the exit clause in its lease, Quintero said. The lead real estate agent for the space has just started working on it, so it hasn’t been marketed yet.

“I’m one of the watchdogs on that,” Quintero said. “We need to have something of high quality there.”

Mendoza said there are many factors to determine what will fit in that space, such as parking, the configuration of the interior and the downtown client.

For other sites that have been vacant for some time, it depends on what the owner is willing and able to do to make them tenable.

Last but not least: Sorry, but so far the city hasn’t received any plans for a building at Yosemite Avenue and M Street across from Merced College. PG&E acquired the parcel, which used to be home to Sierra Presbyterian Church some years ago.

And as for the big empty lot at Yosemite Avenue and G Street, on the other side of Merced College, there’s no official plan for that giant space yet. The family that owns it is reorganizing, and some developers have expressed interest, but that’s all there is to report so far.

This story was originally published October 9, 2016 at 2:33 PM with the headline "Merced Mysteries & Minutiae: Retail, construction and development update."