(KNZA)--Hiawatha Thriftway is closing its doors.

The owners announced the news to employees and customers this past weekend.

Owner/Manager Tim White says several factors played a role in the decision to close the store, including rising overhead, food costs, and competition. “Competition in this town is very high for groceries,” White told MSC News. “Population of Hiawatha is declining. Most of our clientele, while they supported us very, very well, just for the volume that we needed for this size of a store it just was not there.”

White said the store employed thirty-eight people, both full and part-time. “We feel very, very bad for the community, but most [of all] our employees. We are sickened that we have to do this because I know that it will be very hard for them to go out and find jobs in the community that will match what they had here.” 

Starting Wednesday, White said a close out sale will begin, expected to last around three weeks. The store is no longer receiving any new stock.  

After the store closes, White said all the equipment will be auctioned off and the building will be put up for lease or sale.

The store opened in 1972 as Lindy’s Thriftway.  White and the Clark brothers ( Phil, Bill and John) purchased the store in May 2009 and changed the name to Hiawatha Thriftway.

White said the support of their loyal customers over the years is appreciated. 

Hiawatha Mayor Steffen Shamburg said the news of the store closing is “ very sad,” adding that it's a sound reminder to shop local.