Another Food Lion in Nags Head!?

The last of our local grocery stores recently closed, with its space being taken over by a big chain store... now, we have ANOTHER Food Lion on the way!? I have to say, I found this story a little shocking - why in the world do we need another?

THE VIRGINIAN PILOT - Once intended as the site for an Albemarle Health facility, one of the largest undeveloped pieces of property in Nags Head is now planned for a Food Lion supermarket, two banks and some small retail shops.

The preliminary site plan was submitted to the Nags Head planning department on Thursday.

Manteo developer R.V. Owens agreed in March to buy the 10.5 acres from Pasquotank County for $7.25 million.

Owens, the former owner of R.V.'s Restaurant in Nags Head, said he wanted to build a low-impact development that would serve the local community.

"I tried to listen to everybody and what they were saying," he said. "I tried to find a mix that's a good fit for the area."

Located off U.S. 158 between Abalone Street and Baltic Street near Milepost 10.5, the 35,502-square-foot grocery store is to be on the northern end of the tract, with 10 retail shops, from 1,013 square feet to 1,400 square feet, in front.

On the other side, a 9,900- square-foot State Employees Credit Union is to be built on 2.15 acres. In between, there are to be a 3,000-square-foot OBX Bank and parking.

Owens, who also developed the Food Lion plaza in Avon, said there are no retail tenants yet.

"I think we can rent our small shops, because it's great visibility," he said.

Tim Wilson, Nags Head Planning and Development director, said the planning board is expected to review the preliminary plan on July 15. If a completed application is submitted by July 24, the project could be on the planning board agenda on Aug. 19 and to the Board of Commissioners on Sept. 3.

Pasquotank County bought the land for about $1 million in 1984 with the intention of building a regional health care facility. Those plans were abandoned after The Outer Banks Hospital was built.

In 2000, Regional Medical Services Inc., an Albemarle Hospital subsidiary, and representatives of the Outer Banks Family YMCA were negotiating a deal that would essentially trade use of 3 acres of the Nags Head land for space in a planned recreational facility for preven tive and rehabilitative medical care.

The Pasquotank commissioners rejected the proposal, and the Y ended up building about a half-mile down the road.

A Virginia Beach company bid $9.45 million for the property in 2005 and planned to build a hotel, restaurant and time-sharing units. The company terminated the agreement in July 2007 because of the town's density restrictions.

Owens' bid is the first the county has considered since then. He said he expects the deal to close in November.