The Localist: Lex Co-op Annual Report 2024

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The Localist

Our local commitment 57 cents of every dollar you spend at the Co-op stays local and fuels our community.

Local goes further than where, beyond how near or how far. Local is who grows it and how it’s grown. It’s hand-planted and hand-picked and hand-packed.

57 cents of every dollar spent here stays here in the community. That’s local.

Local is a little sticker that invites you to be part of something small.

It’s the shared strength to do big things.

Local co-owns and cooperates. Local is made by makers who give back as much as they take. It’s the common everyday made uncommon. Every day.

Local is fresher. Because local is closer.

Local is a voice, a choice. It’s each of us. And all of us.

Local is the way we work together.

In these pages, you'll read about exciting new initiatives like our Hertel mural project and our efforts to deepen ties with the community and reduce our environmental footprint. Behind every success are the choices of our owners, workers, and partners, who make this Co-op thrive.

2024 was a year of growth and renewed purpose for our Co-op. After the significant changes of 2023, we worked together to stabilize and activate new efforts. As inflation eased, we focused on deepening partnerships and growing sales—with inspiring results. Our vision is to build a strong local food system through three core strategies:

• Creating exceptional experiences for customers, vendors, and staff

• Fostering thriving co-ops

• Supporting sustainable choices

In 2024, we reintroduced the hot bar, leveraging the expertise of our kitchen teams to come up with delicious recipes each week. Hot bar was a key driver in sales growth that outpaced the national average among co-ops and conventional grocers. For 2025, we’re excited to introduce new offerings, refine recipes, and offer menu options that help our community celebrate holidays and heritage months.

Becoming a union co-op brought important changes in 2024. We aligned our practices with the new contract, surveyed staff to gain insight, and invested in leadership training—setting the foundation for a stronger workplace. We are grateful for the hard work and creativity of our talented staff that created a year of strong results and profitability.

The number we’re most proud of this year is our 17% increase in purchases from local producers, reaching $3.1 million. New and renewed partnerships with Cake Crazy Bakery, Public Espresso and others, ensured that there was always a new local product at the Co-op. You tried them and came back for more!

Our partnerships flourished in 2024, from supporting the Buffalo Community Connectors Farmers Market to launching a Fairtrade mural. We continue to improve the Double Up Food Bucks program and, through Change for Change, raised over $100,000 for local non-profits.

As we head into 2025, we are excited for the recent sales growth and motivated to continue improving the Co-op as a values-driven resource for customers, workers and local farmers & producers. Thank you for all you do to support and build this thriving community resource! We are honored to do this work on your behalf.

The Art of Local.

With gratitude and in Cooperation,

First In-person Board Meeting 2024 Board and staff members

Management Retreat at Providence Farm Collective Co-op staff receive a farm tour

Dear Fellow Member-Owners,

It’s been an exciting year serving as President of the Board of Directors for the Co-op! I’ve had the honor of working with a passionate, dedicated team focused on strengthening our Co-op and community. Together, we’re creating a more inclusive, sustainable Co-op.

In October 2023, the board approved patronage dividends for the first time in two years, reaffirming our commitment to giving back to our owners. In December, we welcomed two new board members, Purnima Mohan and Michael Heubusch, who have already contributed fresh, positive perspectives.

Entering 2024, we celebrated key milestones. In March, we marked our Co-op’s anniversary and had one of our most successful Bulk Sales ever. That month, we also implemented a new board appointment process and welcomed Alex Brennen in April. May saw a successful investor call discussing our better-than-expected financial results, while June was exciting with our first in-person board meeting since 2020. That same month, Vice President Heather Lazickas and Secretary Dom Licata represented us at the CCMA conference. The board has been increasingly engaged in community events, celebrating Juneteenth, supporting “Healing by the Water” with Friends of Freedom Park, and participating in the "Raising the Roots for Food Equity" fundraiser for Massachusetts Avenue Project. In September, we again approved Preferred Shares Dividends for our investors and Patronage Dividends for owners, rewarding those who helped invest in our Hertel store.

As I reflect, I’m proud of all we’ve achieved—welcoming new board members, implementing new procedures, and engaging with our community. Finally, my heartfelt thanks go to our amazing staff, whose dedication makes this Co-op special, and to our member-owners for your continued support. Together, we are building something truly remarkable.

Warmly,

Change for Change Partner: Candice's Mobile Pantry Candice with Elmwood store Team Members

The Co-op's New Fairtrade Mural

A Local Canvas with a Global Story

At Lexington Co-op, every partnership tells a story, and our latest collaboration with Fairtrade America, Gimme! Coffee, and local artist Julia Bottoms beautifully illustrates the bond between our community and the world. Her new mural at our Hertel Avenue store honors Ibu Rahmah, an Indonesian coffee farmer and chairwoman of the Ketiara Cooperative, the largest coffee-growing operation in Indonesia.

Rahmah’s cooperative produces the beans used in Gimme! Coffee, available at the Co-op. This mural highlights not just Rahmah’s work, but the countless Fairtrade farmers across the globe who ensure ethical practices, fair wages, and sustainability. For Julia, capturing Rahmah’s story was about more than painting her portrait—it was about showcasing her power and experience within her industry.

FROM BUFFALO TO INDONESIA: CONNECTING LOCAL AND GLOBAL COMMUNITIES

This mural symbolizes the powerful connection between local communities and the global food system. Julia’s ability to depict the dignity of her subjects brings the spirit of Fairtrade to life. Her mural reminds us that each cup of coffee and each product on our shelves has a human story behind it.

Fairtrade America’s mission is to highlight these stories and emphasize the importance of fair and equitable trade. More than 2 million farmers and workers like Ibu Rahmah participate in the Fairtrade system, ensuring that products meet rigorous economic, social, and environmental standards.

Coffee is an agricultural product that depends on a people-centered approach for its future. Without placing the farmer at the center, we cannot have a meaningful conversation about the value of coffee and the issues facing the viability of coffee production.

YOUR CHOICES SHAPE A STRONGER FOOD SYSTEM

As Co-op owners, your everyday purchases make a difference—from supporting farmers like Rahmah to strengthening our local economy. Together, we are creating a better, fairer food system.

This mural symbolizes the powerful connection between local communities and the global food system.
Ibu Rahmah Chairwoman of Ketiara Cooperative with fellow farmers
Hertel's Fairtrade America Mural in Progress
In partnership with Julia Bottoms and Gimme! Coffee photo credit: Jeff Welt

Your Impact on Local

While

the average chain store returns only 14 cents of every dollar to the local economy, the Co-op returns 57 cents.

As the sun rises on Western New York, local producers are hard at work. At BreadHive, baguettes are baking for the Co-op’s shelves. Refugee farmers at Providence Farm Collective are harvesting fresh eggplant and greens. Brad Draudt’s team in Hamburg is gathering the last of the season's peppers and tomatoes, while the LoVullos up north are picking apples for the Co-op. East of here, Costanzo’s is baking hoagie rolls destined for weekend tailgates, paired with local favorites like Mineo & Sapio sausages and Sadie’s Relish.

These are just a few examples of the many local products flowing through the Co-op and onto your table. We are honored to be part of a food system rooted in community, where each purchase supports neighbors and strengthens our local economy.

3.1M paid to local producers $

Western New York is home to some of the world’s richest agricultural land, and when you choose local, you help preserve this vital resource for future generations. Beyond supporting local farmers, shopping at the Co-op also means supporting good jobs for 140 workers with a starting wage of $16.50 and great benefits. It sustains local businesses—everything from refrigeration technicians to attorneys to cleaning crews.

The impact is real. While the average chain store returns only 14 cents of every dollar to the local economy, the Co-op returns 57 cents. Last year alone, that added up to over $13 million going directly back into our community. By choosing local products, you make a difference—not just for yourself, but for everyone involved in making local food possible. We thank you for choosing local at your Co-op. Together, we are making a difference.

Some of your most popular local favorites from 2024: 763,000 pounds of local apples

44,000 dozen local eggs

32,000 rice krispie treats

37,000 lbs of hot bar and salad bar

8,600 Public Espresso donuts

44,000 items from Breadhive Bakery

Draudt's Farm Market & Greenhouses
A local farmer harvesting green beans
photo credit: Hope Grunert

Together, We Raised over $100k for our CommunityThank You for Making a Difference

Stitch Buffalo

$10,918

SNAP-Ed

$10,578

El Buen Amigo

$11,617

Healing Grounds Cooperative Café

$7,322

Native American Community Services

$8,027

Friends of Night People

$10,017

Family Justice Center

$6,209

Food for the Spirit

$7,328

WNY Women's Foundation

$9,292

The Tool Library

$7,503

Little Portion Friary

$9,259

Upstate NY Black & Latino Pride

$11,805

Total: $109,880

Supporting Your Sustainable Choices

As owners, we know many, if not all of you, are Localists. You support local neighbors, farmers, and small businesses by shopping at the Co-op, and by doing so you contribute to a more sustainable local economy and sustainable environmental practices. This past year, we started to return to our roots through examining everything we do through the lens of sustainability, and we steadily infused the conversation around sustainability into everything we do. We are approaching sustainability through five key areas:

• Waste Reduction and Management

• Energy Efficiency and Renewable Energy

• Sustainable Product Offering

• Community Engagement and Education

• Reduction of Single-Use Plastic

In this piece, we’ll focus on energy, waste reduction and reduction of single-use plastics.

SOLAR ENERGY

Although you don’t see solar panels on our rooftops, we’ve been purchasing power generated by Pinto Construction Service’s rooftop solar array in South Buffalo. This partnership was facilitated by Montante Solar, who developed and constructed the solar array.

The Co-op first approached Montante Solar expressing interest in solar energy in 2023. However, installing onsite panels posed challenges due to limited rooftop space and regulatory complexities related to our cooperative status. In search of a creative solution, Montante Solar facilitated a strategic partnership with an existing client, Pinto Construction Services.

In 2023, Montante constructed a 750-kilowatt (kW) solar array on Pinto’s warehouse in Buffalo, NY. The project connects directly to the utility grid and earns electric bill credits from National Grid. Given Pinto’s electricity consumption, they could not utilize these credits fully. This circumstance led to a collaborative arrangement where the Co-op effectively leverages these credits through “Remote Net Crediting” and a Power Purchase Agreement (PPA), in which Pinto discounts the energy credits by 10%. As a result, the Co-op benefits from a 10% reduction in annual electricity expenses, while supporting a clean energy solution.

Another exciting initiative that fills us with pride is that we purchase renewable wind & hydro energy through the Energy Coop - we don’t have enough space to talk about how cool this is, but trust us, it’s cool! You may have also noticed we have had EV Charging stations at Hertel now for two years, and they are in frequent use!

WASTE REDUCTION

We continue to work to educate shoppers on how to shop the bulk department – this was a major focus of our annual Bulk Sale in March. Bring your own glass, paper, plastic containers and refill them with bulk grains nuts, seeds, spices, beans or your favorite sweet treats!

Today, we’ve expanded and improved our bulk offerings at both stores. There are more plastic-free options in the bulk bins, and we now carry high quality Tierra Farms dried fruits & nuts in compostable

packaging. We also shifted our pre-packaged bulk items from plastic containers to plastic bags, a change that results in far less single use plastic in the landfill (plastic still, yes, but it's a big step in the right direction). You can also bring your own bag for your produce as well, or simply place it in your cart with no bag at all. And, if you bring your own mug for coffee you’ll get 25 cents off. The Lexington Co-op tote bag is almost an iconic part of our neighborhood character – kudos to all of you who remember your re-usable bags. You can always grab one of our boxes to carry your groceries home, too.

The solar project generates enough electricity to power 67 homes annually.

We get asked this question a lot: What happens to the food we can’t sell? The Food Shuttle of WNY conducts daily food rescue pick-ups for delivery to local soup kitchens and food pantries. The Co-op has a long list of food rescue partners and whenever we have an abundance of something, we contact partners like Big Big Table and Friends of Night People to coordinate a pick-up. Recently, through the Change for Change program, you supported a new mobile food pantry serving the Black Rock community, Candice’s Mobile Pantry. Your contributions set up Candice and her team of volunteers for four months.

We also compost unusable food from our kitchen, including meat scraps & bones, through our partnership with Natural Upcycling. Get this: our cooking oil is recycled into biodiesel fuel!

The hand soap used at our stores is a no-waste alternative to traditional products, and is made by our local partners at Renew Bath & Body. They produce compostable soap pods on Great Arrow right here in Buffalo. Renew is revolutionizing bath products and we’re thrilled to be along for the ride. We also sell the same foaming hand soap at both stores!

We introduced a Farmer Pirates residential compost program at our Hertel location in which customers not eligible for the City of Buffalo Composting Program can drop off food scraps. This service makes it easier for people to compost rather than landfill their food waste.

LOOKING AHEAD

We’re excited to announce that National Co+op Grocers, an association we own, is soon initiating a new line of compostable coffee cups & lids, soup containers and much more. Look out for this later in 2025.

We know that recycling and composting are only part of the path toward a waste-free future. Taking the long view, we intend to explore systems of reusable take-out that could shift our culture from single use packaging to circularity.

Our future sustainability work depends on you! We have laid the foundation for a plan that will get us to net zero and we are currently asking all our stakeholders for input into this important work. We want to hear from you! We will continue to gather thoughts and wisdom from our community as we build our future together. We are excited to find new ways to help our customers, employees, vendors and community build a healthier, more sustainable world.

Solar Panels
South Buffalo

The Co-op Achieves Profitability with 0.4% Net Income in FY 2024

Dear Owners,

It has been a true pleasure to serve as the Elmwood Store Manager this year. Watching our team push the Co-op to grow and meet the evolving needs of our customers has been so exciting. Last year, we re-opened our hot bar, and every week, its popularity continues to grow. Our kitchen staff consistently delivers fresh, tasty, and creative meals, and I’m proud of their hard work. Our grocery team has expanded partnerships with local vendors and ensures our shelves stay well-stocked, meeting the needs of our community. I’m especially grateful for the Produce team’s dedication to sourcing local produce, from Erdle blueberries and Cornerstone peaches to Draudt tomatoes.

Our Front End team shows up every day, greeting customers with warmth and ensuring everyone feels welcome. Their dedication makes a real difference in creating a positive shopping experience.

I’m proud to share that the Elmwood store finished last year with over 5% sales growth! This success was made possible through the hard work and commitment of our entire team, who continually strive to provide the best grocery experience. Of course, we couldn’t have achieved this without the incredible support and feedback from our customers.

Together, we are building a grocery store that’s not just about food, but about community and cooperation. Thank you for your ongoing dedication to the Co-op’s values and for making the store a thriving community resource!

In Cooperation,

3.8% Sales Growth

$23.8M in Sales

Dear Owners, I’d like to take this opportunity to sincerely thank our incredible community for your loyal support and dedication to shopping local. The growth we’ve experienced at our Hertel location in North Buffalo, including achieving $10 million in sales in FY2024, wouldn’t have been possible without the commitment of our owners and the entire community. What makes our Co-op special is the personal connections we’ve built with so many of you. These relationships have allowed us to cultivate a truly exceptional customer experience. With your continued support, I’m confident this year will be our best yet!

I also want to extend my gratitude to our amazing team. Every day, they work hard to provide outstanding service and create a welcoming, positive shopping experience. I’m proud to work alongside such a passionate, inclusive, and dedicated group. Their energy, drive, and commitment inspire me to push the Co-op to be better each day.

In Cooperation,

LexTalk!

We love hearing from our customers and owners— from favorite products to what local means to you and your family. If you'd like to share thoughts, go to the contact form on our website.

Designed by White Bicycle

Created by Lexington Co-op

Elmwood

807 Elmwood Ave Buffalo, NY 14222

716-886-2667

Open daily: 7am–11pm

Hertel

1678 Hertel Ave

Buffalo, NY 14216

716-886-0024

Open daily: 7am–11pm

Hispanic Heritage Month
Juli & Dee Dee, Elmwood Team Members
Cooperative Visitors
Lexington Co-op welcomed visitors from National Co+op Grocers and other co-ops
2024 Pride Parade
Lexington Co-op staff, Massachusettes Avenue Project, and Field & Fork Network celebrating our pride

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