Seven Chicago Save A Lot grocery stores operated by Yellow Banana are closing or at immediate risk of closure after receiving a $13.5 million taxpayer-funded grant.
Total Project: The grant was part of a larger $26.5 million package meant to renovate six South and West Side locations and reopen an Auburn Gresham store under a 10-year commitment to serve underserved food deserts.
Reason Cited: Yellow Banana and industry reports pointed to severe financial headwinds, including a sharp decline in SNAP and EBT purchases driven by federal benefit cuts, alongside delays, debt issues, and missed milestones.
Current Status: Save A Lot ended its arrangement with Yellow Banana, leaving the seven locations facing sudden closure and prompting city officials to look for alternative grocers or options to recoup the public funds.
Taxpayer Investment: In July 2022, the City of Chicago approved $13.5 million in Tax Increment Financing (TIF) and community development funds for operator Yellow Banana. Just a thought.
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