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Hy-Vee Dollar Fresh store-Osceola IA.jpg Hy-Vee
Hy-Vee opened its first Dollar Fresh location in Osceola, Iowa, in 2018 and now has six stores with the format in two states.

More Dollar Fresh locations coming from Hy-Vee

Midwestern grocer to rebanner six acquired Shopko stores in Iowa

Hy-Vee plans to buy six former Shopko locations in Iowa and convert them to its Hy-Vee Dollar Fresh format.

West Des Moines, Iowa-based Hy-Vee said Monday that the onetime Shopko stores — in Hampton, Cresco, Oelwein, Waukon, Dyersville and Vinton — are slated to reopen under the Dollar Fresh banner by late summer.

Financial terms of the purchase agreements weren’t disclosed. Plans call for renovations to start in the coming weeks.

“As we continue to innovate, we’re taking a look at the needs of our rural communities,” Hy-Vee Chairman, President and CEO Randy Edeker said in a statement. “At our Dollar Fresh stores, our customers will be greeted with helpful smiles that deliver a great customer experience while also encountering a wide selection of quality products at low prices.”

Designed for smaller communities, the Dollar Fresh stores serve up an assortment of fresh and new products at low prices, according to Hy-Vee. That includes a full selection of groceries, a bakery area offering fresh-baked items, a dollar section, a Wall of Value, ready-to-eat meal options and other services.

The first Dollar Fresh opened in Osceola, Iowa, in the fall of 2018. Besides that location, Hy-Vee operates five other Dollar Fresh stores, including in Centerville, Creston, Emmetsburg and Toledo, Iowa, and in West Point, Neb.

Overall, Hy-Vee has more than 265 stores in eight Midwestern states. The retailer also operates an array of small-store concepts ranging from under 10,000 square feet to over 30,000 square feet). Along with Dollar Fresh, they include four Fast & Fresh convenience-focused food stores, one HealthMarket healthy lifestyles store and the first urban-format Hy-Vee store, dubbed Fourth + Court (at Fourth Street and Court Avenue in downtown Des Moines).

In December 2018, Hy-Vee acquired prescription files from 22 Shopko pharmacies. Now defunct, Green Bay, Wis.-based discount chain Shopko closed all of its more than 350 stores in 24 states in mid-2019.

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