When a well-known market in our town center closed, the retail area around it become depressed and had a lot of vacancies.
In 2007, we had an idea to start a food co-op in the old building, that could serve as both a community center and a food store. We put out some fliers and emails and set-up about 40 chairs in the local library, to present the idea. We were surprised when over 200 people showed up.
Since then, the project has had several false starts. Our eligibility for a loan guarantee from the U.S. Department of Agriculture was pre-approved, then later denied. A pro-bono lawyer helped us appeal the decision, and we were able to get re-approved. Still though, that funding would only kick in once construction was complete. Without bridge financing to close the gap, the whole thing could have come apart.
Last month, we were finally able to buy the building and start renovations due to a $2.2 million loan from The Reinvestment Fund -- a Philadelphia-based CDFI that received Create Jobs for USA funding.
Once the food co-op opens this fall, it will create around 47 full-time jobs, ranging from stock people to cashiers to department managers. The project is creating 28 construction jobs in the meantime.
- Jon McGoran, CreekSide Co-op board member
The Gelato Fiasco got a loan funded by a Starbucks campaign to open up shop down the block.
