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Construction of the Boone ABC store expansion could begin in November.

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Originally published: 2013-10-31 19:24:41
Last modified: 2013-11-01 11:17:00

ABC store expansion contract awarded

by Anna Oakes

The Boone ABC Board on Tuesday voted to award a contract of approximately $529,000 to Greene Construction of Boone for the expansion of the ABC store on Blowing Rock Road.

ABC Board Chairman Ron Holste said Greene was the lowest of six bidders for the project, which will expand the building to add 1,000 square feet of warehouse space and 400 square feet to the sales floor. In addition, the project will include changes to the building's parking lot, front stairway and fixtures, he said.

Architect Randy Jones said last month that the project would also include green improvements such as LED lighting, pervious concrete pavers, high-efficiency air conditioning and heat systems, motion-sensing lights, improved insulation, low-flow toilets and possibly rain barrels.

Holste said he expects construction to begin in early to mid-November, and that the contract is for five months -- but the completion date is "depending on the weather." The store will remain open during the renovation.

The ABC Board says the store expansion is needed to accommodate steady sales growth and to provide space for a growing number of North Carolina-made products.

In fiscal year 2012-13, which ended June 30, gross sales amounted to $5,077,778, a 2.5 percent increase over the previous fiscal year. That year, sales growth jumped 6.1 percent compared to fiscal year 2010-11. Sales have increased nearly $1 million since 2007.

Walk-in liquor sales at the store in 2012-13 totaled $4,135,536, a 2 percent increase over 2011-12, while mixed beverage sales to restaurants and other establishments grew to $925,276, a 5.2 percent rise.

The store's profit margin of 12.94 percent was again among the highest in the state, Holste said.

After costs and state taxes, revenues from ABC sales are distributed to local governments, law enforcement and alcohol education programs. The 2012-13 distributions include $25,625 to law enforcement, $61,500 for alcohol education programs and $475,000 to the town of Boone, which is the amount the town anticipated in its 2013-14 budget, Holste said.

"We fulfilled our expected amount to the town this year," he said.

The distribution to the town is less than the amount -- $547,462 -- given to the town from 2011-12 revenues, however. After the 2012-13 distributions, the ABC Board had approximately $94,000 left over, which Holste said was applied to debt service on the store's last expansion. That 2006 project added 875 square feet to the sales floor.