The grandson of the founder of a Cleveland, Tennessee, grocery store chain started 86 years ago said Wednesday the timing is right to sell the business to Food City.
"It will give all the employees the opportunity to stay with their jobs and have a future," said Dan Cooke, chief executive of the Cooke family of stores.
Abingdon, Virginia-based Food City, which already is the biggest grocery store operator in Southeast Tennessee, is adding five Fresh n' Low locations in and around Cleveland as well as a Cooke's Food Store & Pharmacy in that city.
Steven C. Smith, Food City president and chief executive officer, said the company plans to make "some large investments in the greater Cleveland area to ensure the future success of our new teammates."
"We're extremely excited to add the Cooke's family of stores to our existing Food City locations, which have served the Cleveland community for many years," he said in a statement.
The Cooke's family of stores range in size from 15,000 square feet to 35,000 square feet, according to Food City.
The company plans to retain the Cooke's/Fresh n' Low name and operate both formats in a similar fashion for the immediate future, Food City said, and the grocer is slated to hire the majority of the Cooke's employees.
Smith said plans are to finalize the acquisition and begin operation of the Cooke's stores by Oct. 1.
Cooke said in a telephone interview that the grocer has lasted so long because it has tried to be part of the Cleveland community and meet the needs of its customers.
He said Food City also is a family company, having operated a long time and successfully.
"It's a good fit for everybody," Cooke said about the transaction. The sale price wasn't announced.
Cooke cited his age, 72, in connection with the sale. But he said he will still manage a separate Panera Bread franchise that operates 25 stores in Chattanooga, Knoxville and in two other locations along the Gulf Coast.
"I still have enough to keep me active," Cooke said.
He said his grandfather started the grocery store business in 1936, opening a unit in downtown Cleveland across from the Bradley County Courthouse. The venture was a one-store operation until his father took over in 1960, when it was expanded to three, Cooke said.
He and his sister took over in the early 1990s, he said. Cooke said the chain now has more than 200 employees.
In a statement, he thanked the Cleveland community, customers and employees "for your loyalty and support. It has been a privilege to serve you for the past 86 years. We are grateful that our employees will have the opportunity to continue our commitment to the community."
Food City parent K-VA-T Food Stores operates 140 retail outlets throughout Southeast Kentucky, Southwest Virginia, East Tennessee, North Georgia and Alabama.
In 2015, Food City announced it was buying 29 Bi-Lo supermarkets in the Chattanooga market, including eight stores in Georgia and 21 pharmacies.
Food City also plans to build a supermarket in downtown Chattanooga in a development that is to hold commercial and residential space.
The five Fresh n' Low locations it's purchasing are:
-- 3870 Candies Creek Lane NW, Cleveland.
-- 2010 Broomfield Road SE, Cleveland.
-- 99 Highway 286, Eton, Georgia.
-- 101 State Highway 58 South, Georgetown, Tennessee.
-- 116 Whitewater Drive, Ocoee, Tennessee.
Also, Cooke's Food Store & Pharmacy is at 3400 Keith St. NW, in Cleveland.
Contact Mike Pare at mpare@timesfreepress.com or 423-757-6318. Follow him on Twitter @MikePareTFP.