Fred Meyer eyes new gas station for south coast

Fred Meyer eyes new gas station for south coast
Fred Meyer is looking at bringing a gas station to Coos Bay, like this one located in Eugene, Ore.

COOS BAY, Ore. -- On Highway 101, three gas stations already exist on the south side of Coos Bay, and if the Fred Meyer retail chain has its way, a fourth one will be here by the end of the year.

The company says that they are looking to buy the parcel of land and demolish the building at 1075 Broadway in Coos Bay. The site was once an Expert Tires shop.

They are currently in an agreement with a local Shell station for Fred Meyer gas rewards to be redeemed, and Fred Meyer says they can sell less expensive gas to its customers if it builds its own station near its retail store.

"We strive to be the lowest price in town, and we often are," Melinda Merill, Fred Meyer spokeswoman said.

Many customers have complained to KCBY-TV in the past that they are finding better deals without using their Fred Meyer rewards on the other side of town, and many have pointed to the North Bend Safeway as the best deal in the Coos Bay-North Bend area when it comes to redeeming shopping rewards for gas.

According to gasbuddy.com, the station they currently contract with is charging on average 5-15 cents more per gallon than the cheaper stations in town.  Merrill says the average reward is 5-15 cents off.

Depending on the price of gas in a given day, there is little to no real savings with the current gas station for Fred Meyer customers as the agreement stands now.

Merill says the company believes it can offer cheaper gas to its customers in Coos Bay looking to get a bigger bang for their rewards bucks.

"We are trying to build a fuel station at or near as many of our stores as possible," she said. "It's something our customers have made clear is a really appreciated part of our one stop shopping concept."

They do not know at this point if there will also be a food mart at the station.

Officials with Fred Meyer say if everything moves according to plan, a nine pump fueling station that can service 18 cars at a time.

Fred Meyer says the purchase of the property has not gone through yet, but they hope to complete a purchase and get permits in the next few months. If that happens, they would like to have a station open by December 2013 or February 2014 at the latest.