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Two dollar store chains are planning to open eight locations in the Lewiston-Auburn area.
The Maine Public Broadcasting Network reported the plans come from the Family Dollar and Dollar General franchises even as hundreds of dollar stores close across the country. New stores are expected to pop up in Lewiston, Auburn, Sabattus, Greene and Turner.
Lincoln Jeffers, Lewiston’s director of economic and community development, told MPBN the new stores will give customers more low-cost options in the mix of big-box stores like Wal-Mart.
The dollar store franchise expansion is part of a race to find and move into under-served areas, Kyle Stock, associate editor at Bloomberg Businessweek, told MPBN. He said while the sector faces some challenge due to fierce competition, Family Dollar, Dollar General and Dollar Tree have added 5,700 locations over the past five year.
"What they're doing is — as you guys are seeing in Maine — is looking for empty parts of the country to add some stores and pick up some new customers," Stock told MPBN. "I mean, it is literally a land grab in a lot of ways. They've gone around the country and sort of picked the low-hanging fruit, and now they're spreading out and kind of right-sizing their stores."
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