Expansions and Remodels
About 7% of respondents told us they expanded or remodeled their stores last year. Expansions or remodels ranged from 250 to 3,000 square feet, and cost between $75 and $125 per square foot.
Departments Expanded or Remodeled
About two-thirds of expansions or remodels included the juice bar, café, deli, bakery, and prepared foods; refrigerated foods; and vitamins, herbs and supplements departments. About one- third of expansions and remodels addressed dry groceries, and non-foods and household products. Stores appeared satisfied with the frozen foods, produce, bulk, and personal care departments, as well as their services and practitioner areas, as none of these we expanded or remodeled last year.
Expansion and Remodeling Future Plans
Six percent of respondents plan to expand or remodel their stores or departments in 2025. Plans are more robust for the coming year compared to last year, with the minimum target 500 square feet, rising to a maximum 6,000 square feet. Retailers were less sure about per-square-foot costs, with none expecting to spend any less than $90 per square foot, and expressing concern that cost overruns could push costs above $200 per. The departments most often on the schedule for upgrades were vitamins and supplements department and the services and practitioner areas.
New Stores
Four percent of survey respondents told us they opened one new store last year and 6% intend to open one new store this year. No retailers closed any of their stores last year, and 2% reported planning to close one store this year.
