Drive Moraga Road this month and the difference is hard to miss. At Rheem Valley Shopping Center, the scaffolding finally came down this summer, and the buildings underneath it are wearing a new color scheme: white paired with a golden-brown that replaced years of weathered, rotting wood trim. A few miles away at the Moraga Shopping Center, the Safeway still anchors things, but residents have for years raised concerns that the center needs updating.
The differences go beyond appearance: the centers have different ownership structures and redevelopment activity.
Same Town, Two Very Different Years
Moraga has two principal commercial hubs, and in 2026 they are moving at completely different speeds. Rheem Valley has spent the year in visible motion. Beyond the repainted facades, a Grocery Outlet has been under construction since a November 2025 groundbreaking, a Chipotle is set to move into the space currently occupied by a Bank of America ATM machine, and Saint Mary's College has quietly put its Rheem Campus on the market, with the town's economic development consultant already in talks about what redevelopment there could look like.
The Moraga Shopping Center, home to Safeway and Ace Hardware, has not seen anything close to that level of activity. Residents have described it as dated. At a town council meeting, Mayor Kerry Hillis discussed years of complaints about the center, as reported by Lamorinda Weekly. Town Manager Scott Mitnick later described the property as "heavily underdeveloped," according to Lamorinda Weekly.
Rheem Valley's Ownership and Projects
Rheem Valley has one large property owner. U.S. Realty Partners, listed in town filings as Rheem Valley Property Owner LP, controls the majority of the center and has been willing to invest. When the company broke ground on the Grocery Outlet last November, CEO Jay Kerner called it "a major step forward," according to Lamorinda Weekly, noting that Moraga had effectively had only one full grocery option for years. Kosmont Companies, the real estate advisory firm the town hired this year, has publicly praised U.S. Realty Partners for its cooperation, pointing out that none of the firm's other California shopping centers currently include housing, which would make a future residential component at Rheem something of a test case statewide.
Other activity at Rheem includes the Chipotle lease, the facade refresh requested by the town, and the Saint Mary's conversations.
The Moraga Shopping Center and the Town's $60,000 Agreement
The Moraga Shopping Center has a more fragmented ownership structure than Rheem Valley. In January, Moraga entered a one-year, $60,000 professional services agreement with Kosmont Companies to work with commercial landowners across town, including at the Moraga Shopping Center, on developing underused properties.
Mayor Hillis said the town had previously upzoned the Moraga Shopping Center area. According to Lamorinda Weekly, he estimated that the change increased the site's value by "tens of millions" and potentially "hundreds of millions of dollars." At a January town council meeting, Hillis also pointed to Moraga's high property values and schools, its limited downtown and recreational amenities beyond open space, and its commercial districts, which he characterized as outdated, according to Lamorinda Weekly. He also noted that Saint Mary's College, the only four-year university in Contra Costa County, wanted the area to look more appealing to prospective students, according to the same report.
The Grocery Store Everyone Keeps Waiting On
If you have been counting down to the new Grocery Outlet, adjust your expectations. The project broke ground in November 2025 with a target grand opening of mid-2026. By June 2026, Lamorinda Weekly reported the store had fallen behind schedule, with construction visibly incomplete as that window closed. The most recent estimate, from a July 2026 town council update, pushed the opening to early 2027.
The delay has not been for lack of effort. The project involves three stages: underground utility and foundation work, construction of the 17,404-square-foot building itself, and interior build-out. Demolition of the old, largely vacant retail wing between CVS and Dollar Tree started in May 2025, and the site plan also removes 75 surplus parking spaces and swaps 20 aging trees for 31 new ones. Moraga Jewelers, one of the tenants displaced by the project, relocated to another spot in the same center back in July 2024. The Moraga-Orinda Fire District still needs to sign off on final construction plans before the building itself can go vertical, which is one more checkpoint standing between the current chain-link fencing and an actual grocery store.
Reaction among residents has been mixed but mostly practical. According to KTVU, Grocery Outlet describes itself as an "extreme value retailer" selling closeout and overstock merchandise at 40 to 70 percent below regular retail, which is a different shopping experience than Safeway. Some residents are glad to have a second grocery option without driving to Lafayette. Others have commented on the addition of discount retail, and a few have raised concerns about added truck traffic on Moraga Road once construction ramps up.
The Restaurant Corner That Didn't Wait For Any Of This
Not every change in town is tied to either shopping center's redevelopment plans. On Moraga Way, directly across from the Moraga Shopping Center's Safeway, La Finestra Ristorante closed this June after eight years in that location. Chef-owner Jeff Assadi said rising operating costs had made the business impossible to sustain, a familiar story for a restaurant that first opened in Lafayette in 1999 and relocated to Moraga in 2018 after its original space was destroyed in the 2017 Lafayette Circle fire.
Its replacement is already public. Ben Rojas, who also owns La Chamba Taqueria in Moraga, is converting the space into Wayside Social, a burger restaurant built around an attached arcade. It is a deliberate pivot from white-tablecloth Italian dining to something more casual and family-oriented, and it is happening entirely outside the town's formal redevelopment process. No Kosmont contract, no council vote, just one local operator betting that Moraga wants a different kind of night out than it used to.
What This Actually Adds Up To
None of this means one shopping center is winning and the other is losing. It means Moraga's retail landscape is being reshaped by different projects at the same time. At Rheem, projects are moving forward, even when individual pieces like the Grocery Outlet slip their timeline. At the Moraga Shopping Center, the town has engaged an outside firm to work with property owners on underused properties. And on Moraga Way, an independent operator is reinventing a corner.
If you live here, the practical takeaway is simple: expect the Chipotle and the Saint Mary's Rheem Campus conversations to move faster than the Grocery Outlet, and don't count on that grocery store opening before early 2027. Watch for updates on Kosmont's work at the Moraga Shopping Center before the one-year contract ends. And if you're missing La Finestra's dining room, Wayside Social is worth watching for an opening date.
Understanding how a town's commercial corners actually change, and why some move faster than others, is also useful the day you're thinking about your own property here. If that day comes, Shandrika Powell can walk you through what these shifts mean for your home and your neighborhood, backed by the same kind of on-the-ground detail this piece is built on.
