By Steve Large

SACRAMENTO (CBS13) — It’s another sign downtown Sacramento is not just a place for work and nightlife, but a place more people now call home.

The downtown grid is now getting a grocery store, as Raley’s plans to open a new brand of grocery store called Market 5-One-5.

The first location will be on 10th and R streets.

Brook Yarnell lives across the street.

“I mean it’s an really exciting time to be here. They’re putting in more restaurants and shops and bars all the time which is why we live downtown,” Yarnell said.

Besides bars and restaurants on the R Street corridor, now an old furniture warehouse will be transformed into a Raley’s-owned grocery store.

It’s right in the heart of where everything is changing,” Raley’s supermarket owner Mike Teel said. “There’s a lot of energy down there.”

The new grocery brand called Market 5-ONE-5 will be health conscious, farm-to-fork, and offer dine-in service with local beers on tap. The ONE stands for Organics, Nutrition and Education.

Teel hopes the new Market 5-ONE-5 brand will become a downtown Sacramento staple.

“People moving in to the center of the city, they need to be served too, with a supermarket, and this is one way that we think we can really appeal to a different clientele base, by opening up a Market 5-ONE-5 right there in the heart of R street,” Teel said.

Market 5-ONE-5 will compete with stores like the Sacramento Food Co-op.

It’s opening coincides with a push by city leaders to build 10,000 new housing units downtown. Sacramento City Councilman Steve Hansen says adding a grocery store will help the city attract more development.

“I think that kind of stuff shows the builders that the market will be there when they build,” Hansen said.

Market 5-ONE-5 is set to open in the spring of 2017. Forty employees will be hired.

Comments (2)
  1. This new brand sounds pricey. They have to charge more, in order for a small, half-block-sized store to be profitable.
    Downtown would benefit more from **real** competition to the two way, way overpriced Safeways. Such as a Winco or Walmart, or better yet, one of the Super-Targets (a Target with a full supermarket attached).
    Right now the nearest source of low-priced groceries is either in West Sac, the Costco across the river, or the FoodCO at Stockton Blvd and Fruitridge Rd.

  2. This is why living in downtown/midtown without car, restricts you to overpriced shopping options.
    Raley’s is nearly as expensive as Safeway.
    You need a vehicle to access the better deals in the suburbs or in West Sac.
    Amazon groceries is NOT a substitute, they also overprice, with a few loss leaders to lure you in.

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