Officials in Niskayuna hope the demolishing of a vacant building in the budding ShopRite Square will hasten the shopping center’s revitalization.
Town Supervisor Joe Landry on Wednesday, Aug. 29, announced Inland Mortgage Capital Corporation, also known as IMCC St. James, LLC, is under contract to purchase the former Friendly’s building. Landry said the company has proposed demolishing the building to create additional parking and to connect the front and rear sections of the shopping plaza. The developer has also expressed interest to construct a new retail building facing Nott Street East.
The Schenectady County IDA will be providing a $35,000 grant toward demolition costs. The purchase price for the property was not disclosed.
The restaurant closed two years ago and Landry said negotiations have been “on and off” since then, but IMCC is now committing to buy the property. Landry said the development would help enhance the plaza and make way for another retailer.
“There are open retail spaces that they are trying to lease out and we are hoping the demolition of the Friendly’s and the opening of the parking area … will help with the leasing of that,” Landry said. “It will make more of the retail outlets much more visible from the road and visible to people using the parking areas.”
IMCC has been in discussion with “several tenants” to lease space at the front portion of the plaza and “several” prospective tenants have expressed interest in leasing the new building, according to Landry.
The company is mum on who has expressed interest in the proposed new building.
Town officials expect to see plans later this month detailing demolition, addition of new parking and landscaping and the new building. A simple permit would be needed for demolition, but any proposed development would require approval from the Planning Board.
The purchase will also reduce the jumble of property owners in the plaza to three instead of four.
IMCC is purchasing developer Reginald Scott’s last property in the plaza. The front portion of the property, which the former restaurant abuts, is also owned by IMCC. Another company owns the ShopRite section, with the back portion also under different ownership.
ShopRite is expanding its store by leasing an additional 1,200 square feet of space adjacent to its store, which brings the store’s total footprint to 56,200 square feet. The additional space will help ShopRite meet increased demands from its shop-at-home service, which allows to people to purchase groceries online and pick them up at the store later.
“The overwhelming success of our ShopRite from Home service has created the need to expand the department,” Tom Urtz, vice president of Human Resources and Community Affairs for ShopRite, said in a statement. “We are pleased that this opportunity has presented itself so we can better serve the needs of our loyal customers.”
TCBY Yogurt also recently opened in the plaza next to Starbucks and ShopRite.
The former St. James Square limped on for many years after the former Farm Fresh supermarket closed its doors in 2004 after six months of being in operation. Grand Union left the site in 2001 after the company went bankrupt.
The ShopRite project was a $12 million investment and the store opened its doors last fall. The Niskayuna store was the first to be built in the Capital District, and it was followed by an Albany location. ShopRite also has committed to building a store at Vista Technology Park in Slingerlands and is looking to hire employees.
