Business & Tech
5 Harlem 'Dark Stores' Close Amid Delivery Companies' Implosions
Fridge No More and Buyk have shut down their Harlem warehouses after both companies rapidly imploded — possibly due to the war in Ukraine.
HARLEM, NY — The rapid grocery delivery boom that was supposed to reshape New York's commercial landscape may be over before it started: two of the industry's most prominent businesses have shuttered their dozens of warehouses and closed down entirely.
Buyk and Fridge No More closed a combined five Harlem fulfillment centers abruptly in recent days, along with at least 64 others across the city, according to reports and public filings.
Promising no-fee deliveries within 15 minutes, both companies expanded at a breakneck pace around the city in recent months, along with similar businesses riding a wave of venture capital funding.
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Recently, however, they ran into trouble. Buyk, which was backed by Russian investors, furloughed nearly all of its employees early this month, saying that sanctions against Russia related to the war in Ukraine had crippled its finances, according to the New York Post.
At Fridge No More, meanwhile, the company's CEO told employees last week that it was closing down after a sale to a potential buyer fell through. It too had Russian ties, however, prompting speculation that its closure also stemmed from sanctions.
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In Harlem, Buyk operated storefront warehouses at 2611 Frederick Douglass Blvd., 5 West 125th St., and 2269 First Ave., while Fridge No More took over the empty storefronts at 2101 Frederick Douglass Blvd. and 69 East 125th St.
The crash came quickly for both companies: Fridge No More, for example, only moved into the storefront on Frederick Douglass Boulevard near West 113th Street in October.
For months, local officials have subjected the rapid delivery companies to harsh scrutiny, labeling them "dark stores" since the storefront warehouses tend to be off-limits to the public — and alleging that they could pose a mortal threat to street-level shops like bodegas.
More concretely, some officials charged that the warehouses were not even legal, since they operated on blocks zoned for typical local retail. Earlier this month, City Councilmember Gale Brewer released a map showing 115 such warehouses around the city — nearly all of which appeared to violate the zoning code.
Amid the scrutiny, some of the companies began rushing to alter their storefronts to add small areas open to the public, helping to skirt the zoning restrictions.
Last Thursday, Fridge No More filed a notice with the state, indicating that it would lay off 671 workers across its 31 New York City delivery centers — including both Harlem locations.
While Buyk initially said its hundreds of furloughs were temporary, a message on its Instagram page appears more permanent: "As of March 10, 2022, BUYK has ceased its operations," it reads. "We thank you all for your support and patronage, and hope to see you again soon."
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