(KRON) – After 28 years of business, Market Hall Foods announced it will close one of its two flagship stores in Berkeley today. The business cited several reasons for its 4th Street closure, many of which relate to post-COVID adjustments.

The 4th Street location will close on Sunday, May 26.

“Our decision to close our 4th Street store after 28 years was made after much deliberation. It has been a very difficult process, but we recognize that this closure is the best way to ensure the strength of our overall businesses,” Sara E. Wilson, co-owner of Market Hall Foods, said.

Unlicensed Marin County contractors cited for illegally high prices

Many of the reasons behind the 4th Street closure are customer-traffic-related issues. Wilson said Market Hall’s daily lunch rush is how the business made much of its earnings, “but with more people working from home,” she continues, “we could no longer rely on those customers.”

Since the pandemic, Wilson also noticed people being more “cautious about their spending and are buying fewer items.” She isn’t wrong, as over half of U.S. adults say they’ve adjusted the way they eat or drink due to rising inflation, writes food and beverage analyst Emily Moquin.

Finally, aside from general supply chain hiccups, Wilson emphasized the difficulty of keeping up with wage increases and product price hikes since customer traffic hasn’t been increasing. “Despite these and more efforts, we did not see the results we needed,”  the co-founder said.

These issues might have driven the 4th Street location out of businesss, but Wilson said this was not an issue for their original Rockridge store location. “Because the store is located in a residential neighborhood, customers shop for groceries with us more regularly… Our Rockridge location, while not immune to these pressures, has been able to find its footing over the past 18 months,” Wilson said.

Driver airlifted to hospital after multi-vehicle Brentwood crash

As for the closure, Wilson said most staff from the 4th Street location will be transferred to its Rockridge location. Others will receive a severance package and get support for finding new employment, Wilson said.

In its 28 years of being an East Bay business, Market Hall Foods hosted many book signings with chefs such as Devid Lebovitz, Janet Fletcher, and Tanya Holland.

They also host food events such as a “For the Love of Chocolate” festival or their annual extra virgin olive oil tasting festival.

The 4th Street location said it will host a closing celebration during their last weekend in business, but more info will be announced closer to May 26.

For the latest news, weather, sports, and streaming video, head to KRON4.