Arko Corp., parent of convenience retailer GPM Investments, opened its first of several food-focused convenience stores last week in Virginia, according to a company announcement. The debut location is in Ashland, about 15 miles north of downtown Richmond.
The Richmond-based retailer first revealed plans for its new store design last August. At the time, President, Chairman and CEO Arie Kotler said that Arko was pivoting to “a significant focus on foodservice” and aimed to grow traffic, profitability and its value proposition amid what he called a “challenging microeconomic environment.”
The timeline was straightforward: Begin applying for permits in Q4 2024, and start construction in early 2025, with Arko investing between $700,000 and $1.1 million into each location, Kotler said.
By November, Kotler said that this rollout would include seven locations — now pushed to eight as of last week — in the Richmond area. If successful, Arko would expand the concept across its footprint of over 1,300 locations in the U.S.
“Assuming those seven store pilots will actually be successful … we’re going to start to basically add more and more stores,” Kotler said during Arko’s third-quarter earnings call in November.
Construction on the first store began the first week of May, when Kotler also said Arko intended to finish building each location under the new design by the end of the year.
The plan is now materializing with the opening of the first store, which officially debuted on June 25 and will have a grand opening in the latter part of July, according to last week’s announcement.
The highlight of these stores is Arko’s new proprietary food program, Fas Craves, which features new hot and cold grab-and-go items, such as crispy chicken biscuits, potato wedges, mozzarella sticks, jumbo chicken wings, chicken sandwiches and burgers.
The food program also features an array of dispensed beverage offerings and Arko’s bean-to-cup coffee program, including nitro cold brew, hot and iced coffee, iced teas, lemonades, Slush ices and frozen coffee.
Besides its food, the new store features digital menu boards and a brighter, more contemporary interior design meant to create “a seamless and elevated shopping experience,” according to last week’s announcement.
Kotler called the opening of Arko’s first new food-focused c-store a milestone for the company.
“This new food concept remodel and the introduction of fas craves represent a bold step forward in how we serve our customers,” Kotler said in the announcement. “We’re focused on transforming the convenience experience — not just with updated stores, but with food offerings that truly resonate with today’s on-the-go consumer.”
