Four Save A Lot discount supermarkets in Nashville, Tenn., have been acquired by J. Word Enterprises LLC, an affiliate of real estate investment firm J. Word Properties.
Financial terms of the agreement, announced yesterday, weren’t disclosed. The Save A Lot stores purchased by J. Word Enterprises are located at 5404 Charlotte Ave., 1113 Murfreesboro Pike, 1134 Gallatin Pike S. and 2400 Clarksville Pike in Nashville.
With the acquisition, J. Word Enterprises becomes Save A Lot’s retail partner in Nashville, and J. Word Properties — led by president Jason Word (left) — gains ownership of the building and land at the Clarksville Pike location, the companies said.
“We are very pleased to have J. Word Enterprises join our Save A Lot network as our retail partner in Nashville,” Kenneth McGrath, CEO of Save A Lot, said in a statement. “As a local owner and operator, Jason and his team have great insight into the community’s needs and will be well-positioned to respond to and serve customers as only a neighborhood grocer can. We’re looking forward to working together and continuing to serve the Nashville community.”
Word said his Nashville-based company plans improvements and new programs for the four Save A Lot locations. To oversee the stores, J. Word has named Rachel Jones as director of grocery operations. A Nashville local and Tennessee State University graduate, Jones brings 11 years of experience as a Save A Lot store and district manager to the role.
A local real estate investor, Word grew up in Nashville’s Brooklyn Heights neighborhood. He began the venture with Save A Lot by reaching out to local markets and, through his talks with the discount grocer, decided to invest in the four stores as the retailer aims to convert corporate-owned supermarkets to local operations.
“My grandmother owned a grocery store in Brooklyn Heights, so I’m honored and excited to carry on a little bit of her legacy,” Word stated. “Partnering with a strong national brand like Save A Lot opens up so many doors for the community, and I look forward to exploring the breadth of opportunities.”
Save A Lot’s discount grocery model differs from those of competitors by focusing on localized assortments and local ownership. The company said that approach enables independent grocers under its banner to cater to their customers and communities while offering the benefits of a value grocery model: a heavy focus on private label, limited assortment, a low-cost operational model and an easy-to-shop store layout. Save A Lot stores run about 16,000 square feet and carry around 2,000 SKUs across more than 50 private brands. Through an everyday low pricing (EDLP) strategy, the retailer offers savings of up to 40% over conventional supermarkets on private-label and national-brand products, USDA-inspected meat, farm-fresh produce and non-food items.
Overall, Save A Lot operates 14 distribution centers and has a retail network of more than 1,125 stores in 33 states, with the vast majority of the locations licensed by independent grocers. The company is owned by Canadian private-equity firm Onex Corp.