Draeger's will close Danville store at mostly empty Blackhawk Plaza

"DANVILLE - Draeger's Market will shut its store in Danville within weeks, a closure that the local chain blames on the state of Blackhawk Plaza, where the grocery hub is located. "The biggest reason for our decision to close is the decline of Blackhawk Plaza," Richard Draeger, a co-owner of Draeger's Market, said in an interview with this news organization. "It's mostly empty. My best guess is that it's 70% to 80% vacant." The deterioration of the upscale mall has led to an erosion in sales for the Draeger's Market at 4100 Blackhawk Plaza Circle, according to Draeger."

"Draeger's is attempting to find jobs at the company's Peninsula locations for the approximately 48 people who work at the Danville store, according to Draeger. The retailer also operates stores in Los Altos and Menlo Park. In recent years, Blackhawk Bar & Grille and Century Theaters ceased operations at Blackhawk Plaza, which removed significant anchors from the center. The Draeger's exit will add to those problems. In 2023, real estate agents announced that Apple Cinemas had agreed to lease the space that the Century movie complex had vacated. But more than two years later, the movie house site remains empty."

"Ramanujan Group owns Blackhawk Plaza after paying $38.2 million in 2020 for the complex. The ownership group, based in the Orange County city of Newport Beach, also obtained $28 million in financing from Preferred Bank at the time of the deal. "The maintenance of the center is pretty poor," Draeger said. "The current ownership has fallen far behind in maintenance." Ramanujan Group, through one of its principal officials, Deba Shyam, denied an array of allegations about poor maintenance at the center, according to a 2024 filing in Contra Costa County Superior Court."

Draeger's Market will close its Danville location within weeks, citing the decline and high vacancy of Blackhawk Plaza as the primary reason. The plaza is reportedly 70% to 80% empty, which the retailer says has caused a severe decline in traffic and sales. Draeger's is seeking positions at other Peninsula locations for about 48 affected employees. Major anchors such as Blackhawk Bar & Grille and Century Theaters have closed, and an announced Apple Cinemas lease has not materialized. Ramanujan Group purchased the plaza in 2020 and faces allegations of poor maintenance that it has formally denied.

Read at The Mercury News