Green Grocer Project

The Green Grocer Project (GGP) is a program implemented by the Detroit Economic Growth Corporation (DEGC) from 2010 until 2017 to improve fresh food access and strengthen the grocery economy in the city of Detroit. The Green Grocer Project was undertaken by the Detroit Economic Growth Association (DEGA) (philanthropic funding primarily for technical assistance and/or façade grants) and the Economic Development Corporation (EDC) (CDBG-R Loan funds).

GGP supported independent full-service grocery stores in Detroit and attracted national and regional grocery stores to the city of Detroit utilizing grants and loan funding, technical assistance, and tax incentives. These investments in grocery stores have created and retained jobs, with the improved stores serving as community anchors and providing improved access to local, nutritious, healthy food. Post GGP evaluations confirmed these positive outcomes.

Upon completion of the first phase of the Green Grocer Project in 2017, Detroit’s grocery sector was positively impacted with investment in excess of $50 Million for GGP assisted stores’ new construction, expansions, and renovations. There was over $1 Million in façade improvement grants and technical assistance grants for more than 35 Detroit grocery stores. Fourteen Green Grocer stores created 115 new jobs and after five years in operation, Whole Foods Detroit had over 170 full-time positions

Upon request of the Detroit City Council, DEGC’s Green Grocer Project is being re-launched with funding from the City of Detroit for two additional years beginning July 1, 2023. Funds allocated by the City of Detroit have been sub-granted by the EDC to the DEGA for the continuation of the Green Grocer Project. In addition, EDC has on-hand loan proceeds from the CDBG-R Revolving Loan program that can be used for additional grocery store loans.

As the Green Grocer Project evolved, it became evident that food access issues remained, as the closest retail food locations for most Detroiters continued to be neighborhood convenience stores, liquor stores and gas station locations. Neighborhood market research supported these food access concerns and opportunities.

The Green Grocer Project vision remains unchanged from the original Green Grocer Project: increase the quantity of quality grocery options in the city of Detroit. Project activities must enhance the consumer experience, increase access to fresh food, make a positive impact for the neighborhood and for the consumer, and inspire business innovation and new neighborhood partnerships.

The overarching goal of the Green Grocer Project is to have more fresh and healthy food available at retail food locations in Detroit. In addition to the continued support of larger traditional full-service grocery stores, this phase of GGP will emphasize attraction efforts to create walkable neighborhood grocery shopping options through new smaller-scale fully operational neighborhood grocery stores, existing convenience stores willing to include grocery essentials, fresh meat and produce, and innovative hybrid food locations, all of which have fresh healthy food options.

The Green Grocer Project intends to leverage relationships with state and local fresh food partnerships, and DEGC’s existing programs and loan products.

Over a two-year period, the Green Grocer Project aims to impact at least eight stores in neighborhoods throughout Detroit.

• Cash and/or technical assistance grants to eight small stores
• GGP CDBG loans to four grocery stores

• May 2024 – first GGP funded small store operating
• September 2024 – four GGP funded small stores operating
• June 2025 – eight GGP funded small stores operating

Technical Assistance and Cash Grants. Green Grocer Project Cash Grant Awards can provide eligible awardees with funding to assist in opening a small format grocery store or providing fresh food options in an existing retail location in Detroit (including convenience stores or other retail locations). Grant funding will enable grocery development projects to procure needed equipment, technology, inventory, and buildout completion. Technical assistance grants can provide eligible awardees with funding that may include, but not limited to market research, marketing, merchandising/display, product sourcing, supplier relationships, product handling and storage, store design and layout, customer service, fresh food requirements/compliance, food rescue, digital literacy, and sustainability. Cash and technical assistance grants may be combined, and the combined value of a single grant per store may not exceed $25,000.

Loan Financing. Green Grocer Project Loan funds can provide eligible awardees with financing to assist in opening a small format grocery store or providing fresh food options in an existing retail location in Detroit. These loans will enable grocery development projects to procure needed equipment, technology, inventory, and buildout completion in an estimated amount of up to $30,000 per store. Larger format stores with significantly greater equity investment may receive GGP loan financing up to $100,000. The amount for the small format stores and larger stores may vary based on the unique needs of the awardees. Loans are subject to US Department of Housing and Urban Development Community Development Block Grant (“CDBG”) requirements and approval by the EDC Board of Directors.