Business Finance Program

Natural Harvest Food Co-Op, Inc., Virginia Minnesota

Natural Harvest Food Co-op has been serving the Iron Range city of Virginia and surrounding communities for many years. The member-owned business more than doubled its size and capacity with a move in Spring 2017 to a newly constructed building. From produce, to meat, to an impressive bulk section, the store can now provide a wider selection.

The $3.2 million, bright and energy-efficient store provides 9,000 square feet and is full of healthy food options – much of it locally sourced. There’s a large deli and salad bar, a classroom, and a generous receiving/storage back room that the former location did not have.

Financing for the project was a collaboration. With a roughly $1 million gap between financing from the Co-op’s bank and the project cost, the Northland Foundation stepped in. Not only did Northland contribute to the financing package but also helped bring other development lenders into the deal (Entrepreneur Fund and Shared Capital).

Business has increased dramatically since the move, said Parenteau, including many who stop in for a fresh lunch from the deli. Over the past three years, co-op membership has expanded to more than 3,000 people, with customers traveling from as far away as International Falls.

The larger store has meant more workers. Within a month of opening, employment jumped from 25 to 37, and of those, 20 are full-time. Natural Harvest also offers health insurance and retirement benefits.

“Financing from the Northland Foundation, with our bank and other partners, made our new store a reality,” stated Parenteau.