Homeowners Seeking Independent Market

The Sherman Oaks Homeowners Assn. began circulating a petition Wednesday that will ask the state attorney general to approve an independent market, not just another “Ralphs clone,” for the corner of Van Nuys Boulevard and Milbank Street.

A Hughes market, now at that site, is one of the 19 Southern California stores the attorney general said must be sold to comply with state antitrust law. Six of the stores are in the Valley.

Ralphs Grocery acquired Hughes Family Markets in February.

Members of the homeowners group are hoping the store is sold to a smaller chain such as Gelson’s, which has better service, said Dee Gelb, head of the petition drive.

Gelson’s has bid on the location, said Bernard Briskin, president of the Arden Group, the parent company of Gelson’s.

It could not be determined whether other chains are bidding against the Gelson’s chain, which has 10 stores in Southern California, compared with 399 for the Ralphs/Hughes chain.

Barbara Motz, acting assistant attorney general for the Antitrust Division, said her office is willing to consider just about anyone, but could not tell Ralphs which buyers to propose.

“There is no blanket rule against small independent operators,” Motz said.

The homeowners began circulating their petition at their monthly meeting Wednesday in hopes of capitalizing on an estimated turnout of about 300, Gelb said.

“We do not want the existing market to be replaced with a Ralphs clone,” the petition reads.

A court-approved consent decree gives Fred Meyer Inc., the parent company of Ralphs, until Aug. 27 to present the attorney general’s office with a list of potential buyers for at least 13 of its stores.