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Hy-Vee Scraps Plans To Build 5 Stores In Twin Cities

MINNEAPOLIS (WCCO) -- Hy-Vee announced it's scrapping plans to build five retail stores in the Twin Cities. The supermarket giant had initially planned to build in Farmington, Chaska, Blaine, Maple Grove, and West St. Paul.

"The sites are not properly situated for the company's new 150,000-square-foot or larger stores," a Hy-Vee spokesperson said in a statement. The company will now aim to sell those parcels of land.

Hy-Vee is now focusing on projects with larger blueprints that can accommodate new departments including grocery pickup options.

The new Hy-Vee grocery store is set to open in September Thursday July 16, 2015 in Oakdale MN. ] Jerry Holt/
The new Hy-Vee grocery store is set to open in September Thursday July 16, 2015 in Oakdale MN. ] Jerry Holt/ (Photo By Jerry Holt/Star Tribune via Getty Images)

"We've determined that there is a need for larger store formats that these current sites simply are not able to accommodate," said Jeremy Gosch, president and COO of Hy-Vee.

Nate Burkett, city manager of West St. Paul, released a statement in response to the announcement.

"Hy-Vee gave us a heads up a few days before their public announcement. There are some in the community who are disappointed that Hy-Vee will not be building in West St. Paul; the City Council and staff recognize that. However, we are going to work with Hy-Vee to find a developer that will develop out the land in accordance with the community's priorities and vision. WSP is choosing to look at this as an opportunity," Burkett said.

Hy-Vee's supermarket presence is growing in the Twin Cities. The company has constructed 13 stores in the area since 2015. The latest are in New Prague, Spring Lake Park, and Maplewood, which all opened in 2021.

Cub Foods and Target remain the dominant supermarket in the local market. Both have over 50 locations in Minnesota.

In 2020, Hy-Vee also closed an online fulfillment center in Eagan.

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