The Columbus Food Co-op is ending its eight-year pursuit of opening a grocery store in the city. Instead, it plans to dissolve the group.
The food co-op’s board of directors on Monday made the decision to shut down in a 5-4 vote following more than three hours of discussion about the organization’s future.
The co-op had launched a $750,000 capital campaign a year ago for a proposed grocery at 1580 Central Ave. that had been targeted as an 8,400-square-foot, full-service store. However, the co-op was only able to secure about $209,000 in assets and pledges, board president Mike Johnston said.
Talks about the co-op’s future-focused primarily on finances, and whether opening a smaller, 3,000-square-foot store was feasible. Board members were asked to consider one of two options: pursue the smaller store or go out of business.
“We have a pretty important decision to make,” Johnston told the board. “The ultimate goal is to pick which of the two options to proceed with.”
Of the co-op’s 1,100 members, 279 responded to a survey asking whether they were in favor of opening a smaller store or going out of business, board member Jon Bachmeyer said.
The survey showed that 186 people wanted the co-op to open a smaller store, while the remainder said they would be in favor of going out of business, Bachmeyer said. Individuals were also asked in the survey to indicate how much financial support they would be willing to contribute.
Johnston said he met with Mayor Jim Lienhoop to provide an overview of the co-op’s mission. The organization was told to contact Heather Pope, city redevelopment director, or Robin Hilber, community development programs coordinator, to see what support the city could provide, board member Jennifer Corsi said.
Corsi, who was elected to the board in April, was among those who urged her fellow board members to consider a smaller store.
The Columbus Food Co-op began discussing the idea of a grocery store in 2010 and spent nearly all of 2015 focused on a former Aldi store on 25th Street, but the co-op was unable to generate enough funding commitments to move forward on what was then a $1.8 million project.
“I have a duty to the people to see this through,” Corsi said. “I feel very passionate and we owe it to our members to give it a try.”
Corsi was among those who voted in favor of opening a smaller store. She had worked to gain more co-op members at the Columbus Farmers Market and donated $4,000 toward the capital campaign, she said.
After the vote, Corsi said she was sad about the decision.
“I understand a little bit, but I’m an eternal optimist. It’s massive disappointment,” Corsi said. “I do believe we could’ve done this.”
Bachmeyer also said he wanted to see a smaller store open, saying he felt there was a potential to make a difference in the community. Bachmeyer said he was somewhat surprised and disappointed in the outcome.
“At the same time, it made sense and I understand the reasoning for not moving forward,” Bachmeyer said.
Another board member, Andrea Mikrut, cast her vote to shut down the co-op and said she weighed the pros and cons of other food co-ops mentioned during the meeting that were used as a baseline in her decision. She mentioned that Pogue’s Run Grocer co-op store in Indianapolis closed its doors in June.
“I don’t believe that a smaller store would be viable, that it would be sustainable,” Mikrut said.
Board member Sarah Grey, who has been with the co-op since it was created in 2010, also said she voted not to move forward, describing it as one of the most difficult decisions she has ever made.
“I think it’s a huge loss to Columbus,” Grey said.
Johnston also expressed disappointment and said it was regrettable the co-op wasn’t able to gain stronger support for its plans. He declined to reveal how he voted on the private ballot.
Next, the co-op will be sorting out the legal process to end the business, Johnston said. The co-op will consider either filing for bankruptcy or receivership once it meets with its attorney for further direction.
The co-op has about $90,000 in cash, Johnston said.
If it decides to file bankruptcy or go into receivership, individuals that have contributed funds will have the opportunity to file a claim to receive assets as determined through a third party, he added.
Johnston said the organization appreciates the support it had from its owners and others within the community over the years.
“We all walked away feeling like we gave it 110 percent,” Johnston said.
Columbus Food Co-op history
2010: Columbus Food Co-op is incorporated, organization begins discussing concept of grocery store.
2015: Most of the year spent focused on a former Aldi store for its proposed grocery store at 1750 25th St. Co-op is unable to generate enough funding commitments before a third lease extension fell through.
2017: Co-op announces intent to lease 1580 Central Ave. for a planned 8,400-square-foot, full-service grocery store. It also launches capital campaign with hopes to secure $750,000.
2018: Capital campaign ends in July, bringing in $209,000 in pledges and monetary donations against a goal of $750,000. Co-op board votes Sept. 17 to cease operations.
