During a judicial review auction, Fairway Market made offers to rent two stores in New Jersey to Amazon and six locations in New York to operator ShopRite Village Super Market Inc. and key member of the Seven Seas Georgetowne LLC food cooperative.
Amazon is expected to acquire the Paramus and Woodland Park, New Jersey, store leases in Fairway for $ 1.5 million, Fairway announced on Wednesday evening. Meanwhile, Village Super Market will pay $ 76 million for four of Manhattan’s Fairway stores (Upper East Side, Upper West Side, Chelsea and Kips Bay, as well as the Harlem store parking lot), its Pelham Manor store in County Westchester in New York, and its production and distribution center in the Bronx. Seven Seas won the Georgetown Fairway store in Brooklyn, New York, with an offer of $ 5 million.
“We are pleased with the outcome of the auction and thank our dedicated employees, suppliers and distributors and workers during this process, which has taken place in these unprecedented times,” said Abel Porter, CEO of Fairway Market, in a statement. “Serving our community has always been our top priority and we remain committed to providing quality items and a safe shopping environment for our customers and employees during this global health crisis.”
Fairway entered Chapter 11 Bankruptcy Protection in late January and, when filing, the upscale grocer said he was aiming to sell all of his stores. The successful offers represent eight of Fairway’s 14 locations in New York.
“These Fairway and DC stores employ more than 1,500 people, who have done heroic work to meet our local demands during the current crisis, clearly demonstrating the vital role our supermarkets play in communities across the country,” Scott Moses, Managing Director and Head of PJ Solomon’s catering and catering investment bank, said Wednesday in an email. “It is an honor to serve the Fairway team as they take on the challenge and help support families in the New York area during this difficult time.” PJ Solomon, based in New York, is Fairway’s investment banking advisor.
Fairway said it will continue to operate stores not sold at auction “for the foreseeable future”. Other locations include a store in Manhattan (Harlem), one in Brooklyn (Red Hook), one in Queens (Douglaston), two in Long Island (Westbury and Plainview) and one in Connecticut (Stamford).
Amazon ended up with two of the four stores it bid for. Last week, the New york post reported this Amazon offering for Fairway stores in the Red Hook neighborhood of Brooklyn; Pelham Manor, N.Y .; and Woodland Park and Paramus, N.J.
Earlier this month, Fairway received an offer of $ 75 million for its five Manhattan stores, the Brookham-based Pelham Manor and Bronx DC store of Bogopa Enterprises, which operates 26 Food Bazaar supermarkets in New York, Westchester County, Long Island, New Jersey and Connecticut.
And in January, the day of its Chapter 11 bankruptcy, Fairway unveiled an offer of $ 70 million for its five stores in Manhattan and DC in the Village Super Market, member of Wakefern Food Corp. Based in Springfield, New Jersey, Village owns and operates 30 ShopRite supermarkets in New Jersey, Maryland, New York City and Pennsylvania and three specialty markets in Gourmet Garage in New York.
Other Fairway retail locations also include two Wine & Spirits stores in New Jersey and one in New York and Connecticut.