At a time when the South Pasadena city budget can use an economic boost, ACE Hardware has posted signs on the shuttered Orchard Supply Hardware (OSH) store on Fair Oaks Avenue, indicating its imminent arrival.
ACE Hardware corporate officials were not available for comment.
“Ace Hardware is an excellent fit for this space,” said City Manager Stephanie DeWolfe. “When OSH left, we were optimistic that the parent company would find a similar use for the property. Ace Hardware is well known for its customer-friendly approach and will fill an important retail niche in the community.”
Two prominent signs are posted on each end of the front of the former OSH building announcing that ACE Hardware is “coming soon.”
OSH closed its So Pas store last summer along with all its other OSH stores statewide as a cost-cutting measure by Lowe’s, its parent company. Lowe’s purchased OSH out of bankruptcy.
The apparent entry of ACE Hardware into the So Pas market would be welcomed as the city grapples with a mounting deficit in next year’s budget. The sales tax from such a prominent business would inject much-needed revenue into the city’s coffers.
The city is facing a possible multimillion-dollar deficit this coming fiscal year and officials are considering several ways to raise revenues and/or cut services. Officials are even looking at declaring a fiscal emergency to pave the way for a sales tax hike of 0.75 cents per $100 of sales. The declaration is required to get the sales tax hike on the November ballot, which has to be approved by South Pasadena voters. The hike would be just for So Pas businesses.
The city’s fiscal year runs from July 1, 2019, to June 30, 2020. The city is required by law to present a balanced budget.