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Milpitas Nob Hill Store to Close

Raley's has announced it will close two more stores over the next few months - and one of them is the Milpitas Nob Hill location.

According to an article in the Sacramento Bee, Raley's, which owns various grocery store chains, has announced it will close two more of its northern California stores over the next few months - a Raley's in Rancho Cordova, and the .

The article states that Raley's cited increased competition from low-cost competitors as the reason for several recent store closures, and that Raley's has been attempting to renegotiate labor contracts with its union in an effort to lower operating costs.

However, some speculate that Walmart is supplying a big portion of the stiff competition that companies like Raley's are experiencing. 

The fact that Walmart is a non-union company means it can get away with paying its employees less.

In 2010, when Walmart announced it wanted to expand its McCarthy Ranch location in Milpitas to add approximately 20,000 more square feet - much of which would be in the grocery section - many City officials like Vice Mayor Pete McHugh and retailers in Milpitas.

Also interesting is the fact that, before the state's redevelopment agencies (RDAs) were dissolved recently, the City - meaning, the City could collect RDA money to improve and redevelop it.

However, Santa Clara County shot down Milpitas' effort to declare the shopping center "distressed," saying it was doing too well to be considered blight.

Would that decision have gone differently with the loss of Nob Hill? One may never know, now that RDAs are a thing of the past.

JJ January 01, 2013 at 08:57 PM
Very sad to hear that Nob Hill will be closing, I have been shopping there for 28 years. Everyone that works at Nob Hill are extremely friendly. If it has to close, I would love to see a Trader Joe's, so I don't have to drive to Fremont or Coleman Ave. What I don't want is another Asian or Indian Market, nor would I shop at Walmart. There are way to many Asian markets and the Grocery Outlets. There are ethnic's other than Asian or Persian.
JJ January 01, 2013 at 09:02 PM
Wow really...not all of us want to shop at smelly seafood markets that aren't clean. Those of us who choose Nob Hill is due to the friendliness, and choose not to shop where there are snobs that don't speak english and are rude. The workers at Nob Hill are nice to everyone!
Janet February 24, 2013 at 12:34 AM
I hope this isn't true! Nob Hill is my favorite grocery store and I choose to shop here instead of all the other options. The people are wonderfully friendly with great customer service making this a great shopping experience. Love all the organic and choices. Will hope this decision is reversed or a very bad rumor!!
Anji McBride May 22, 2013 at 07:53 PM
It makes sense for them to be leaving. It's true they do have the best products, unfortunately they also have the prices to prove it. Not all of us are living on “Nob Hill” so to speak, alot of Californian's are unemployed and trying everything they can think of to fix that and having little success. I don't like the way Walmart runs it's company but they do have the best prices and my family needs to eat. I was a loyal customer of Nob Hill for a very long time and it saddens me that I can't afford to shop there anymore, but like I said, not all of us are making enough that we can afford to shop there anymore. It's only the comfortable and the wealthy that think the recession is over or in retreat, the rest of us know that it's a Depression not a recession and it's only getting worse. Until we are paid more and taxed less, and until steps are taken to improve fair hiring policies, the situation will continue to get worse and worse.
Anji McBride May 22, 2013 at 07:54 PM
Because the media stops talking about something, surprise, doesn't make it go away.

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