FORT PAYNE, Ala — A new Food City grocery store will soon open in Athens. On Monday, the Athens City Council approved an agreement for the grocery chain to build a store at the intersection of Elm and Lucas Ferry streets.
The project is expected to create around 200 new jobs and represents an investment of nearly $19.6 million.
Food City, a popular grocery chain, anticipates the new store will generate approximately $23 million in annual taxable sales. The City Council also approved a sales tax incentive for the project. The City will collect the annual sales tax generated by the store and reimburse Food City annually for up to 10 years or until $2.4 million is paid.
“This project presented us with the opportunity to address a need in that part of our city and grow our sales tax base,” said Mayor Ronnie Marks. “More than 40 percent of our city budget is from sales tax so growing our sales tax base is a priority. We have to grow it in order to hire more responders, buy more garbage trucks, do paving projects, improve outdoor recreation and other services.”
The new Food City store will include street improvements in the area around Elm and Lucas Ferry streets.
The company, which was founded in 1918 in Greeneville, Tenn., now operates 150 retail locations across five states, including Alabama, Kentucky, Tennessee, Virginia, and Georgia.