MOST Clearing House Best Practices This Best Practice is one of the
Best Practices for Human Settlements
presented in the MOST Clearing House
Best Practices Database.

New Community Pathmark Supermarket
USA

Keyword: Poverty Eradication

Background

This nomination represents a unique partnership between the non-profit New Community Corporation (NCC), a minority-based community development corporation, and the for-profit Pathmark Stores, Inc., which operates 146 supermarkets. NCC developed a 3.3 acre site which houses a 48,000 square foot Pathmark supermarket and four satellite stores. Pathmark and NCC co-signed management and operating agreements . The profits of the store go back to the community--the city's poorest most densely populated neighborhood.


Narrative

This market was the first to be built in Newark's Central Ward since all major grocery chains abandoned the area after the 1967 riots. Prior to this project, local residents had struggled to find fresh, fairly priced food for almost 25 years. The 55,000 residents of the city's poorest, most densely populated neighborhood had to ride several buses either to distant parts of Newark or beyond the city limits to obtain the same reasonably priced foods offered by suburban supermarkets. A 1987 study showed local residents paying 38% more on their food bills and experiencing enormous difficulty and inconvenience in shopping. NCC knew that a supermarket was critical to the people of the community and to the growth of the area. 90% of the 93,000 people living within a half-mile radius already shopped in lower-priced supermarkets outside of Newark where, as persons of color, they often did not feel comfortable or welcome. This project was sorely needed.


Impact

Weekly sales volume exceeds original projections.
Sales per selling-square-foot are above both Pathmark's and the industry's average.
50,000 shoppers pass through its doors each week.
More than 50% of the store's 250 employees are from Newark.
Satellite stores have provide jobs for 93 people.


Sustainability

Lasting changes have been brought about by this new store. As an integral part of the community, its activities go far beyond offering quality food--it promotes healthy food fairs, energy conservation demonstrations, health screenings, and ethnic pride festivals. The market provides 24-hour banking via an ATM in a secure area, and the store initiated a program to both issue food stamps and cash welfare checks at no fee. The community is invested in the store, and even participated in the decision-making process as it was being constructed. Residents requested a fresh seafood department and a deli--speciality areas that would not usually be located in a store of this size. Jobs have been created, and the store's weekly sales volume has exceeded original projections.


Contact

    Pathmark Supermarket
    185 Bergen Street
    Newark
    New Jersey
    USA
    07103
    201-242-2510

Sponsor

    New Community Corporation
    Ray Codey
    233 West Market Street
    Newark
    New Jersey
    USA
    07103
    201-639-7805

Partners

    Pathmark Stores
    Ray Codey (Director of Development)
    233 West Market Street
    Newark
    New Jersey
    USA
    07103
    201-639-7805

    First Fidelity Bank
    Ellen Shoshkes (Site Evaluator)
    38 Willow Terrace
    Hoboken
    New Jersey
    U.S.A.
    07030
    201-656-3511

    Prudential Insurance Company


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