From the Board of Directors: Expansion Update

For the past year, the Medford Food Co-op Board of Directors has been considering the feasibility of an expansion opportunity on site at our current location. After months of planning, negotiations, and financial assessment, we have decided not to proceed with the current expansion proposal.

Preliminary plans for the on-site proposal.

The Board worked with the Development Cooperative (DC), a team of consultants who assist food cooperatives across the U.S. with expansion and relocation projects. The Board and DC consultants carefully assessed financial projections for our project. The Board, with support of management, decided that this particular project was not financially feasible. Construction costs, increased interest rates on commercial loans, future lease terms, as well as the limited ability to operate during the construction period all contributed to the decision to step away from this proposal.

Medford Food Co-op will continue exploring expansion opportunities in order to grow our cooperative, better serve our owners, and make progress toward our vision to cooperatively nurture a healthy community. A larger store will allow us to better serve our owners and community, and it is still our vision for the future. The premises that led us to pursue expansion are still relevant: our small size limits sales; the confined parking lot makes access difficult; and backroom storage and receiving areas are no longer adequate for the sales and volume growth we’ve achieved since 2011.  

The Board will immediately resume seeking new expansion opportunities in the community. If you have possible leads, we are interested in considering both lease and purchase opportunities. You can contact the Board of Directors at board@medfordfood.coop.