Dec 17, 2025
Downtown Atlanta went more than 20 years without a full-service grocery store until the Azalea Fresh Market opened its doors this summer. The 20,000-square-foot supermarket, operated by the private grocer Savi Provisions, is the first test of a new model: government-funded, privately run stores designed to bring affordable food options to food deserts.
The city contributed roughly $8 million in cash and grants to launch the store, which it hopes will become self-sustaining within three years. A second location is already under construction in Southwest Atlanta — a neighborhood where roughly a quarter of residents live below the poverty line and prior grocers have shut down.
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Mayor Andre Dickens said that after years of trying and failing to lure major chains to underserved neighborhoods, the city decided it was time to take a different approach.
“We’re gonna do it ourselves,” he said. (1)
Government-run grocers aren't new — but their track record is mixed
Atlanta isn’t the first city to explore public-sector support for grocery stores. Both Madison, Wisconsin and New York City are exploring a model that eliminates rent and property taxes, allowing government-funded, privately run stores to compete with private chains.
But the results have varied. In Kansas City, Missouri, a city-funded grocery store shut down after 10 years and $18 million in public investment, citing crime and a shrinking customer base. Other publicly supported stores around the U.S. have struggled with thin margins, inconsistent foot traffic and challenges competing with major chains’ scale.
Atlanta is hoping to sidestep those issues by having for-profit management operate the store. Savi Provisions, known for its small, upscale markets, says it can leverage its wholesale buying power to keep prices lower.
Still, even supporters acknowledge the model comes with challenges. The Southwest Atlanta store is opening in a strip center where a previous grocer failed, and disposable income in the area is limited. Mike Fogarty, Savi’s chief operating officer, told the Wall Street Journal they’ll need time to fine-tune inventory and pricing: “We’ll go where the data tells us.”
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Whether the model can beat chains in the long term will depend on foot traffic, theft prevention, supply costs and how quickly locations can become profitable without subsidies. For now, early sales at the downtown location are rising, and residents say prices are competitive with stores they normally drive to.
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How to save on groceries as prices rise
While government-funded grocery stores aren’t an overnight fix for food deserts and rising prices, they’re a step in the right direction. If you’re trying to stretch your own grocery budget, these simple habits can make a meaningful difference in your budget.
Double-check before you shop
Before heading to the store, take a full inventory of your fridge, freezer and pantry. It’s surprisingly easy to forget what’s tucked behind other items, and duplicate buys can drain your budget. A quick scan helps prevent overbuying and may even spark ideas for meals you can make without spending a dime.
Meal plan based on sales
Instead of deciding what you want to eat and then buying the ingredients at full price, reverse the process: look at weekly ads first, then decide what to cook. Building meals around discounted proteins, produce and pantry staples keeps your spending down without sacrificing the quality of meals you cook.
Look for budget-friendly recipes
Affordable cooking doesn’t have to mean bland or boring. Websites like Budget Bytes and popular frugal-cooking creators on TikTok and YouTube break down recipes that use inexpensive ingredients, minimize waste and stretch across several meals. Batch cooking soups, stir-fries or casseroles can also help you avoid last-minute takeout — another major budget buster.
Stock up on staples slowly
You don't need to build a massive pantry stock overnight. When your go-to staples are on sale, grab a few extra to put in the pantry. Over time, that extra box of pasta or can of corn will build a small back stock that can carry you through tighter weeks without breaking the bank.
Put fast-spoiling food front and center in your fridge
Food waste quickly eats up many Americans' food budgets. In fact, the average family of four throws away about $1,600 worth of produce per year. (2) A big reason is visibility: once fruits and vegetables disappear into the back of the fridge, they’re easy to forget. Instead of burying greens or berries in the crisper drawer, keep them at eye level so you’re more likely to use them before they spoil.
Whether Atlanta’s model becomes a blueprint for other cities remains to be seen. For now, smart shopping habits remain one of the most reliable ways to keep your grocery bills down.
Article sources
We rely only on vetted sources and credible third-party reporting. For details, see our editorial ethics and guidelines.
The Wall Street Journal (1); RTS (2)
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Danielle is a personal finance writer based in Ohio. Her work has appeared in numerous publications including Motley Fool and Business Insider. She believes financial literacy key to helping people build a life they love.
