Business

Landlord sues Hy-Vee after grocer closes Kansas City, North store to rebrand location

Hy-Vee closed its Englwood location at the end of last year and announced plans to convert it into one of its stores under its newly created Wall to Wall Wine and Spirits division. This Google Maps Street View image of the area is from 2016.
Hy-Vee closed its Englwood location at the end of last year and announced plans to convert it into one of its stores under its newly created Wall to Wall Wine and Spirits division. This Google Maps Street View image of the area is from 2016. Google Maps

A dispute between a landlord and Hy-Vee Inc. over the condition of the company’s former grocery store in the Creekwood Commons shopping center in Kansas City, North, has has spilled over into federal court.

Twice this month police have been called to settle a disagreement between the landlord and Hy-Vee about new locks on the doors, according to a lawsuit filed in the Western District of Missouri by Big Creekwood Commons LLC of Phoenix.

The dispute centers around the condition of the parking lot, which Big Creekwood Commons contends Hy-Vee is responsible for repairing, according to the suit.

The landlord has asked a judge to issue a preliminary injunction prohibiting Hy-Vee from entering or modifying the property.

Hy-Vee announced in December that its Englewood location would close Dec. 31 and be transitioned to a Wall to Wall Wine and Spirits, a new division of the company focused on providing wine, spirits and beer in a standalone format.

Tina Potthoff, the company’s senior vice president of communications, said the company still has plans to be a retailer at that location with its Wall to Wall Wine and Spirits and was a little perplexed by the timing of the suit.

Crews were at the store Wednesday cleaning the building and it had some equipment in the building for the transitional period, she said. She declined to comment further because of the pending lawsuit.

Big Creekwood Commons claims in the suit that the value of the shopping center has been reduced by $6 million because Hy-Vee has ceased operations.

It contends that Hy-Vee has broken the lease by halting operations at the store and failing to repair the premises, including the parking area.

The landlord contends that since early 2021, it has repeatedly informed Hy-Vee that it needed to repair the parking lot. It also claims that apart from filling a few potholes and cracks, Hy-Vee has not done any repairs since at least 2010.

Big Creekwood Commons in early February sent Hy-Vee notice that it was in default of its lease for not repairing the parking lot and exterior of the building after removing its signs and leaving trash and equipment, including cart corrals, behind.

Hy-Vee removed the trash and the cart corrals, but did not begin to address the work on the parking lot or building’s exterior, the lawsuit stated.

On March 7, Big Creekwood Commons sent a note terminating Hy-Vee’s rights to enter or possess the building. The next day, it went to the store to change the locks. Hy-Vee called police and the landlord was forced to give a copy of the new key to Hy-Vee, the lawsuit said.

A week later, the landlord changed the locks so it could begin repairs. Three days later, Berry’s Lock Service LLC, which has been named as a defendant in the suit, changed the locks to give Hy-Vee access to the building. Police were called and a copy of the new key was given to the landlord, according to the suit.

The same day, A+ Communications and Security LLC, which is also named as a defendant, activated Hy-Vee’s prior security system. The landlord accuses the three defendants of trespassing.

Robert A. Cronkleton
The Kansas City Star
Robert A. Cronkleton is a breaking news reporter for The Kansas City Star, covering crime, courts, transportation, weather and climate. He’s been at The Star for 36 years. His skills include multimedia and data reporting and video and audio editing. Support my work with a digital subscription
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