Latino grocer, while still struggling on Lake Street, opening in shuttered north Minneapolis Aldi

Colonial Market is still seeing a decline of customers on Lake Street, but the Latino store’s owner says he is moving ahead with opening two new stores.

One of the new stores will be in the vacant Aldi in north Minneapolis, and the other in an empty Bloomington storefront near the Mall of America.

The north Minneapolis mercado, featuring a butcher, deli and Latin restaurant, represents a $2.5 million gamble in a neighborhood that is considered a food desert.

Owner Daniel Hernandez hopes 500 to 1,000 people will turn out to celebrate on May 25 at the market, which will be at the corner of Lowry and Penn avenues.

“I’m excited,” he said walking around a giant “Colonial” sign waiting to be installed and aisles of newly stocked shelves.

Next month, Hernandez plans to open in the same spot as the much-celebrated but short-lived Oxendales Market, among newly developed hotels and apartments four blocks east of Mall of America in Bloomington.

The city invested about about $3.5 million in street and sidewalk construction work, tax subsidies and assistance to the developer to ensure that a market could be placed inside what is now the Carbon31 Apartments at 8100 31st Avenue, Hernandez said.

The grocery store will be on the ground floor of the 400-unit building, which includes 36 affordable-housing units.

Johnny Meeker, an associate at McGough Development, which built the apartments, said the Colonial Market will be a “fantastic amenity for the community.”

Hernandez believes he can succeed where Oxendale’s didn’t because the building is now 80% leased and there still are not a lot of food options nearby.

When the city asked interested grocers to apply for a lease, he jumped.

Kevin Knase, assistant administrator for the Bloomington Port Authority, which has overseen development around the mall, said the picking of Colonial Market is welcome news.

“Folks have been very excited to hear who it is going to be and when,” Knase said.

Knase said Colonial Market is considered a boost for the city because it is more than a general market. About 30% of its merchandise will cater to Latinos, which make up about 11% of the city’s population.

As a result, the market could become a destination place serving more than the immediate neighborhood, Knase said.

While Hernandez said he likes to look on the bright side, he has faced challenges. The Bloomington store will open about a month later than planned. The north Minneapolis store is opening a few weeks late due to electrical problems.

And business remains slow at the 2100 Lake St. store. It opened in December and ran into issues after President Donald Trump took office and directed an immigration crackdown.

Since then, many Latinos - both undocumented immigrants and legal residents, have stayed close to home out of fear of harassment or deportation efforts.

On top of that, the store has twice been robbed overnight. The last time, the perpetrators hauled away the company’s steel safe.

Minneapolis Mayor Jacob Frey publicized an effort urging all people to frequent Lake Street businesses more often. He continues to do so.

“The strength and grit of our Lake Street businesses and entrepreneurs is unmatched,” said Frey on May 6.. “The best thing our neighbors can do right now is show up for them — shop local, eat local and support the people that help this city grow and succeed.”

Meanwhile, Hernandez, a U.S. citizen who immigrated to Minnesota from Mexico decades ago, said he is focused on the work.

Each of his stores requires 20 to 25 employees. He said he is receiving 10 to 15 job applications a week for the north Minneapolis store.

Hernandez expects that store to have stronger sales than Lake Street, since some of his Latino customers will continue to avoid frequenting businesses where lots of other immigrants congregate, he said.

The other factor that bodes well for both the north Minneapolis and Bloomington locations is that, unlike Lake Street, they are in food deserts where grocery stores are badly needed by locals in the community, he said.