Hyvee purchases Sunshine stores in Sioux Falls and Windom - KSFY News - Sioux Falls, SD News, Weather, Sports

Hyvee purchases Sunshine stores in Sioux Falls and Windom

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Officials with Hy-Vee, Inc. and Sunshine Foods today announced an agreement under which Hy-Vee will purchase two Sunshine stores in Sioux Falls and one in Windom, MN.

Hy-Vee currently operates five supermarkets in Sioux Falls and one in Windom. Under the terms of the agreement, Hy-Vee will acquire the Sunshine Foods stores at 2700 West 10th Street and 1231 East 57th Street in Sioux Falls, as well as the Sunshine store at 192 10th Street in Windom, and convert them to Hy-Vee stores.

Paula Correy, vice president of Hy-Vee's Western Region, said the acquisition underscores Hy-Vee's commitment to customers and employees in both cities.

"Sioux Falls is a key market for Hy-Vee, and the addition of these two stores will enable us to expand our services to more customers in more areas of the city," Correy said. "In Windom, we will be able to replace our outdated store with a newer, larger facility. We are proud to be making this major investment that will position us well for future growth in both communities."

Brent Bosch, general manager of Sunshine Foods, said his company also was looking to the future in deciding to sell the stores to Hy-Vee.

"The timing was right," Bosch said. "This is a great opportunity for both companies and for our employees. It will help fuel our growth and allow us to reinvest in some of our rural communities."

Bosch said Sunshine had been approached by other supermarket companies in the past, but never seriously considered any offers until the owners began talking to Hy-Vee representatives.

"Sunshine Foods feels honored and grateful that one of the best grocers in America approached us with this opportunity," he said. "We knew from the outset that we only wanted to do business with an organization that shares our values and our focus on customer service. When we entered discussions with Hy-Vee, we realized that our two companies were a great fit. Hy-Vee has a track record of genuine caring for customers, employees and the community."

Under the terms of the agreement, Sunshine Foods will close its store at 3809 East 10th Street in Sioux Falls. The company will continue to operate its downtown Sioux Falls store and stores in nine other communities: Brandon, Madison, Hartford, Tea, Lennox and Canton, South Dakota; Jackson and Madelia, Minnesota; and Rock Rapids, Iowa. Bosch said Sunshine is planning upgrades for some of its stores, including the downtown Sioux Falls store.

Hy-Vee officials were in Sioux Falls on Monday to meet and talk with Sunshine Foods employees at the affected stores. "Beginning next week, we will conduct interviews with all current Sunshine employees who would like to work for Hy-Vee, and it's likely we'll hire many of them," Correy said. "We are looking forward to adding their knowledge and experience to the Hy-Vee team."

Hy-Vee and Sunshine officials provided a tentative outline of how the transition will unfold:

Sunshine Foods will close the East 10th store in mid-August. Correy said Hy-Vee will interview those workers and attempt to place as many as possible in Hy-Vee positions.

Hy-Vee will take possession of the West 10th Sunshine store after Labor Day and will close the store for approximately three months for what Correy described as an "extensive remodeling." The store will reopen as a Hy-Vee shortly after the first of the year.

Hy-Vee will take possession of the Sunshine store at 57th and Cliff in mid-September. The store will be closed for approximately 10 days, reopening in late September as a Hy-Vee store.

Hy-Vee will take possession of the Windom store in mid-September. The company will operate both stores during a brief transition period while steps are taken to consolidate the two operations in the larger Sunshine building.
*Courtesy: Hyvee

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