Tilton Pacific Construction, Inc. of Rocklin has begun construction of a new Grocery Outlet store in Sunrise Village. Projected completion is early 2026. Photo by Thomas J. Sullivan

CITRUS HEIGHTS, CA (MPG) - Construction of a new Grocery Outlet in Sunrise Village started last week with a projected completion date of completion in early 2026, according to a senior construction superintendent for Tilton Pacific Construction, Inc. of Rocklin, which is overseeing the interior and exterior renovations to the former Rite Aid drug store.

Temporary exterior wire fencing was put up and signage by Tilton Pacific Construction has been placed in front of the job site in Sunrise Village on 5409 Sunrise Blvd. at Sunrise Boulevard and Madison Avenue.

Jeff Huelsman, a senior superintendent for Tilton Pacific Construction, said work crews were just beginning to remove the existing interior ceiling within the building to its bare structure, which is necessary to meet the higher shelving and storage height required by Grocery Outlet in its retail stores.

Inside the building, piles of ceiling tiles were scattered and twisted pieces of metal from the suspended acoustic ceiling had been removed.

Once this phase of the construction work is completed and the interior is stripped to a bare shell, Huelsman said, a new heating, ventilation and air conditioning system (HVAC) will be installed and existing concrete flooring will be refinished before the buildout of display shelving begins.

Grocery Outlet stores are each locally owned and operated, according to the company’s website.

The undisclosed owners of the new Grocery Outlet in Citrus Heights, which will be doing business as Grocery Outlet LLC, submitted a design review permit to the city on Jan. 30 for the vacant retail space at 5409 Sunrise Blvd. Signage announcing an application to the state Alcohol Beverage Control (ABC) for a license change was posted soon after.

On Sept. 10, the Citrus Heights City Council voted 4-0 to approve a letter of public convenience and necessity which was requested by the grocer, requesting a Type 21 alcohol license for the off sale of beer, wine and distilled spirits.

Once open, the new Grocery Outlet will face competition from an Amazon Fresh at the opposite end of the Sunrise Village shopping plaza and two other retail grocers, including Smart and Final and a Trader Joes located on opposite sides of the corner.

Grocery Outlet sells a wide assortment of grocery items including produce, meat, a range of prepared foods and general merchandise items. According to a description provided to the city by Grocery Outlet, alcohol sales are expected to be only four percent of total sales and its availability will provide the customers a “one-stop shopping experience.”

Glassmann Planning Associates of Torrance submitted the design review permit on behalf of the undisclosed owners to the Citrus Heights Planning Department for exterior updates to the former Rite Aid building.

With the exception of the Grocery Outlet store under construction, Sunrise Village Plaza is owned entirely by San Francisco-based investment company Merlone-Geier. 

Before its closure, the former Rite Aid drug store was the only substantial portion of the 14.8-acre shopping plaza that was not included in a major remodeling project by Merlone-Geier that finished in 2024.

A current project drawing by Glassmann Planning Associates shows the new front fascia of Grocery Outlet will reflect the neutral color scheme and modern aesthetic of the Sunrise Village Plaza.

The permit application, calling for a remodel from a pharmacy into a grocery store, is a construction job valued at $450,000, according to the city.

CoSol Commercial Real Estate, a provider of leased-investment brokerage services to California’s Central Valley, based in Modesto, is listed as the commercial broker of record for the property in window display signage.