At the former Demoulas location across from the new store, construction has begun on a $9.75 million development project. Once completed according to plan, the former supermarket building will house as many as ten new businesses, with several being restaurants. The construction phase alone has generated 100 jobs at the site. “I believe that 100 to 150 permanent and part-time positions will be created by the development,” said City Manager Jay Ash. Infrastructure improvements and the widening of the intersection at Spruce Street and Everett Avenue are part of the overall project. The building, originally constructed in 1979 as a K-Mart when the city was recovering from years of economic and population decline, has been primarily occupied by Demoulas for the past two decades. Following recent discussions with city officials, Demoulas initiated the project, which started with demolition work last week. According to City Manager Ash, this represents one component of Demoulas’s broader strategy for maximizing the potential of its large property holdings. Current work includes site excavation to reconstruct the parking lot, new exterior facades for the former supermarket building, and interior demolition with new buildout to support ten retail spaces. Stores are anticipated to open in the fall, with several restaurants expected to follow. While unconfirmed by Demoulas, an AJ Wright Store occupying approximately 30,000 square feet is believed to serve as the anchor tenant in the former supermarket building, with at least two restaurants anticipated to occupy additional spaces. It is also believed, though not officially confirmed, that a major restaurant operator from Malden plans to expand operations to this Chelsea location.
