CEDAR HILLS — It was rumored, then denied, then rumored again. And this time, it appears a grocery store that would not do business on Sundays and refrain from selling alcohol if required is a genuine possibility in Cedar Hills.

Steve Miner, president of market development for Associated Foods, confirmed Wednesday that Kohler's is considering the commercial site near Lone Peak High School. No firm commitments have been made, but the store and site developer Rimrock have agreed to share the cost of a market study.

"We've met with Mark Hampton of Rimrock regarding whether or not there's an opportunity there that exists for everyone," Miner said. "We've agreed to split the cost to conduct that study and get the information done, and to work on the site plan."

The two parties came to that agreement Friday, just over a week before Cedar Hills residents are set to vote June 28 on initiatives that would prohibit alcohol sales and require Sunday business closure in the 7,500-resident bedroom community. The election will also determine the fate of a proposed $7 million bond to refinance the city's struggling golf course.

The confirmation of Kohler's interest may provide ammunition for residents who have been stumping for approval of the initiatives. They've been eager to prove the city can attract businesses with such ordinances in place.

Those who oppose the initiatives insist the measures will drive businesses away from Cedar Hills and cite Smith's Food and Drug's decision not to build at the Lone Peak site, which some say was caused by the controversy, as an example of problems to come.

Miner said the election will have minimal impact on the Kohler's decision.

"In the particular case of (owner Doyle) Kohler, I don't see that being a problem because he's already agreed to (not sell alcohol and close on Sunday) here in Highland, and (all) his stores are closed on Sunday anyway," he said. "I'm certain he would agree to that in Cedar Hills if he ended up building a store there."

Miner said if the initiatives are defeated, Kohler's will evaluate community needs before deciding whether to sell alcohol.

"At the end of the day, the most important issue to us is that we build a store that meets the needs, demands and wants of the people in the community," he said.

There have been reports from various parties in the initiative debate that Kohler's was either set against or interested in building. Miner said Associated Foods, a grocery cooperative which handles real estate services for its member stores, always communicated Kohler's position clearly to the developer.