Issue 39 for the week of November 6, 1996

The Dealmakers Issue Number 39 for the week of November 6, 1996.

My Way by Ted Kraus

The last ever (or so we hope) National Dealmaking was held in Kansas City, MO (being replaced by, what should be three great super regional shows) and expectations because this was a "lame duck" show, by attendees prior to the show, were low. I'm happy to report no one was disappointed; it was the slowest National DealMaking event I've attended in god knows how long. Instead of having a stream of people flowing into Kansas City the days before the event began, which is normal, there were just dribbles. Most of the attendees arrived Monday night; usually the "crowd" would have started Saturday night. However, there were "crowds" leaving on Wednesday night or Thursday morning even though the event ended Thursday night.

The last numbers I heard were 2,500 for the ICSC "portion" and 500 for the Value Retailing News conference. If the ICSC show was a slow moving train to Peoria, the Value Retailing aspect was the sleeping car. The 500 number would make this the lowest attended VRN show in five or more years. The lack of activity on VRN's exhibit floor was due, at least partially, to the attitude a lot of outlet developers emitted by not being out there with "smiles," kissing babies and handshaking. Most seemed to be charismaticly challenged. The only real activities appeared to be at the New Plan Realty, FAC Realty Trust, Fisher Development, Lord Associates and Wilderness Mall booths. VRN was to some degree tainted from the controversy as to whether the show would even proceed in Kansas City up to two weeks before the event opened (the retailers were thinking of boycotting the show). Having the VRN event at the same time as the Dealmaking helped "us" (ICSC), but it was not what the outlet industry wanted; they prefer to remain "pure" and alone. Also, there are a lot of AC/DC companies (they have a better chance of a date on Friday night), such as Dress Barn or Book Market, that attended both shows, so while combining the two helped them, in that they had only one show to attend instead of two, it lowered the "numbers" for VRN and third (and most importantly), the outlet business stinks at the moment. I personally believe that it is in the doldrums because they do not offer the public value, but that's another editorial for another time. VRN put out a bulletin naming (I think) 78 proposed centers for 1997/1998. At a retailers' meeting, the question asked the group was "Out of the 78 proposed centers, how many do you think will be built?" The retailers responded with "Maybe eight." Then they asked, "How many will be good?" "Perhaps two," was the answer. This is not good news for outletters.

Ann and I attended the VRN's Cocktail party on Monday night and I noticed a major difference between Offprice/Outletting and traditional retail real estate people (the ICSC cocktail party was Tuesday night). Watching the attendees at VRN, you could see a much lower "energy" level than what goes on at a traditional ICSC event. There appeared to be no sense of urgency, if it got done today, fine, tomorrow is okay and next year isn't that horrendous. The complete opposite of an ICSC event where everyone appears to "need" a deal right then or their entire life will come to an end. I don't mean this as an insult to the outlet industry, but their breadth of real estate knowledge appears much narrower than that of traditional leasing personnel. I guess there isn't as much of a need for knowledge when what you do is so specialized and limited in scope.

Oh well, enough of the negative. Ann over dinner the other night, said I come across too negative and should put a positive spin on events. So here's the good points of the recent convention. First, by being slow, everyone had plenty of time to talk and network, providing all of us time to share information and increase the possibility of doing deals in the future that we wouldn't have had if the show was busy. Those companies that aggressively set up appointments did anywhere from okay to good, especially mall oriented developers, since this event is better suited for them than strip developers. Unfortunately, the list of mall owners is getting smaller every day. (Oh, Murray Shor of Shopping Center Digest made a great statement: "If the trend of bankruptcies and mergers continues, in two years when we have the May show, there will be one developer, one retailer and 25,000 brokers").

All the retailers I spoke to were happy with the show (the problem was that not enough of 'em attended). If they were mall oriented, they could meet with dozens of developers at one time and all the developers appeared to be willing to do "decent" deals, they weren't trying to be piggish. Ed Ezra, vice president of malls for Vornado summed up the feelings of many when he said he was very happy with the show, since he scheduled numerous meeting and made (hopefully) several deals. Now in fairness, while deals were being done, few retailers felt a pressure to do a deal, so what was done, as a whole was done at a "fair" (whatever that means) number.

I also noticed that a lot of brokers were leasing/selling bank owned property. I probably looked at two dozen of 'em and man do they have problems. They're not going to lease it to retail in my lifetime (and even with all the cigarettes I smoke, I should make it at least another 10 years). There comes a point in time when it makes sense to throw in the towel and say, "What else can I do with this property?" Alternative uses make sense. Percentage wise, there were more outlet centers in this predicament than conventional strips since outlet centers tend to be built in the middle of nowhere. I also spoke to numerous retailers who seemed very "hot" on the "Mills" concept. The stores they have in these projects are doing well and if it ain't broke, don't fix it, so they want to open more. I feel there is a limited future for the Mills concept from the ground up, but there is a great future for conversion of a lot of our older enclosed malls to this type of retailing, as long as the property can be bought "right." Buying right is the hard part, since no matter what type of retail "you" want to buy, while there is plenty of product available, the prices, for most part, do not make sense.

We have one client that enters, because of desperation, into at least one deal a month that makes no sense, then halfway through due diligence they realize their stupidity and kill the deal. They knew it up front, but they want deals so badly they lie to themselves until it's time to part with cash.

Oh, I have to give the ICSC credit for the improvement in the quality of food and service in Kansas City this year. While it has nothing to do with dealmaking, as an industry, we're tainted and expect the best, as Ann says, "After you spend half your working life living out of a suitcase, eating hotel food and cramped airplanes, asking for business class hotels, an abundance of four star restaurants and a little a*! kissing service isn't too much to ask for." Last year Kansas City didn't offer any, this year they did.

Not being negative, but reporting the "facts," most retailers who dropped by our booth complained they saw no viable product (however, a few companies, such as CBL, are building like crazy), so the May show might be slow.

On a different note, I received several calls today complaining I'm a male chauvinistic pig (wrong, I'm a womanizer, please understand the difference) because of the way I reported on W.I.R.R.E.'s (Women In Retail Real Estate) in the last My Way, saying Ann made me report on it. I'm not opposed to this organization, I think it's a great networking vehicle for women and I'm glad Ann joined, but as a middle aged, white, European male, it's difficult to get excited about an organization that while great, is of no personal benefit to me. If you're interested in joining, call Lisa LaMay at 203-861-1827, Fax 861-6527.

Retailers Looking for Locations in Ohio

Silverman Bros., Inc. trades as Silverman Bros. at three locations in OH. The general merchandise stores occupy spaces of 20,000 sq.ft. to 30,000 sq.ft. in strip centers. Preferred anchors include supermarkets. Plans call for as many as two openings in the coming 18 months. Expansion will take place in the existing market.

For more information, contact Alan Silverman, Silverman Bros., Inc., 6601 Harvard Avenue, Cleveland, OH 44105-4908; 216-429-1600, Fax 429-2010.

Window Works International, Inc. trades as Window Works at 12 locations in OH, AZ, CO, IL, IN, MI, NJ, PA and VA. The stores, selling window treatments and accessories, occupy spaces of 1,000 sq.ft. to 1,200 sq.ft. in strip centers. Plans call for 10 openings in the coming 18 months. Expansion will take place in the Midwestern region.

For more information, contact Ed Johnson, Window Works International, Inc., 6321 Bury Drive, Suite 2, Eden Prairie, MN 55346; 612-937-2004, Fax 934-5665.

Hawkins Pro-Cuts, Inc. trades as Pro-Cuts at 200 locations in OH, TX, LA, MO, AR, OK, NM, CO, KS, IN and KY. The family hair salons occupy spaces of 1,000 sq.ft. to 1,500 sq.ft. in freestanding facilities, power and strip centers. Preferred anchors include supermarkets. Plans call for as many as 40 openings in the coming 18 months. Expansion will take place in OH, OK, MO and TX. Preferred demographics include a population of 10,000 within one mile earning $35,000 as the average income. Leases running 10 years are typical. The company is franchising.

For more information, contact Darren Higgins, Hawkins Pro-Cuts, Inc., 500 Grapevine Highway, Suite 400, Hurst, TX 76054; 817-788-8000, Fax 788-0000.

Signs & More In 24 operates seven locations in OH, PA and WV. The stores, specializing in computer generated signs and awnings, occupy spaces of 1,800 sq.ft. in freestanding facilities and strip centers. Plans call for as many as five openings in the coming 18 months. Expansion will take place in the existing markets. The company is franchising.

For more information, contact Bruce Bronski, Signs & More In 24, 1739 St. Mary's Avenue, Parkersburg, WV 26101; 800-358-2358, Fax 204-422-7449.

Clyde's Carpets operates 13 locations in OH and MI. The home decor stores, selling carpets and related supplies, occupy spaces of 12,000 sq.ft. in freestanding facilities and strip centers. Plans call for two openings in the coming 18 months. Expansion will take place in the Midwestern region.

For more information, contact Tom Kopitz, Clyde's Carpets, 23140 West Eight Mile Road, Southfield, MI 48034; 810-799-5440, Fax 799-5443.

Value City Department Stores trades as Value City at 92 locations in IL, IN, KY, MD, MI, NJ, OH, PA, VA and WV. The off-price department stores occupy spaces of 75,000 sq.ft. to 100,000 sq.ft. in freestanding facilities and strip centers. Growth opportunities are sought in the existing markets.

For more information, contact Dick Wood, Value City Department STores, 3241 Westerville Road, Columbus, OH 43224; 614-471-4722, Fax 478-3434.

Lease Signings

CB Commercial Real Estate Group (708-948-6907) leased 4,501 sq.ft. to West Egg Cafe International Ltd. at River Square in Naperville, IL.

Equity Investment Group (404-364-2984) leased 3,600 sq.ft. to Rare Earth, Inc. at Cross Pointe Marketplace in Richmond, VA; 1,200 sq.ft. to The Varsity and 1,400 sq.ft. to Jackie's Jungle at Ladson Oakbrook Shopping Center in Summerville, SC and 1,554 sq.ft. to Cameron's Closet, and 805 sq.ft. to Hype Hair at Festival Centre in Charleston, SC.

Flocke & Avoyer Commercial Real Estate (619-280-2600) leased 1,953 sq.ft. to Computer Renaissance at Eastlake Village South Shopping Center in Chula Vista, CA; a ground lease to Wendy's Hamburgers at Rio Vista Shopping Center in San Diego, CA; 600 sq.ft. to Cox Communications at Mission Village Shopping Center in Kearney Mesa, CA; 4,097 sq.ft. to Armstrong McCall Beauty Supply at Madison Square in San Diego, CA; 1,100 sq.ft. to Postal Annex+ at The Hillcrest Colonnade Shopping Center in San Diego, CA; 1,440 sq.ft. to Maximum Power Success Center at Encinitas Village Square I Shopping Center in Encinitas, CA; 975 sq.ft. to Tan Diego at Rancho Penasquitos Towne Centre Shopping Center in Rancho Penasquitos, CA; 1,205 sq.ft. to Da Boyz Original Pizza at Chula Vista Shopping Center in Chula Vista, CA; 1,493 sq.ft. to Pure Juice Company at Horton Plaza in San Diego, CA and 50,000 sq.ft. to Vons, 7,735 sq.ft. to Blockbuster Video and 1,600 sq.ft. to Einstein Bagels at Lomas Santa Fe Plaza in Solana Beach, CA.

Summit Realty and Development Corp. (407-889-5700) leased 1,167 sq.ft. to Pak Mail in Holiday, FL; 1,600 sq.ft. to Mama's Gourmet Ice in Stuart, FL; 972 sq.ft. to Angel's Scent Florist and Gifts in Plantation, FL and 6,700 sq.ft. to Don Olson Tire and Auto Centers at Sawgrass Mills in Sunrise, FL.

Posel Management Company (215-627-0900) leased space to The Depot at Krewstown Shopping Center in Philadelphia, PA and space to Designer Warehouse at Leo Mall in Philadelphia, PA.

R.J. Waters & Associates, Inc. (610-358-1543) leased 1,600 sq.ft. to Bruegger's Bagels at Centerville Square in East Hempfield Township, NJ.

Goldman Retail Assoc. (310-235-0444), exclusively representing Payless Shoes, subleased 2,421 sq.ft. to Golden 8 Financial & Insurance in Temple City, CA and 2,800 sq.ft. to Tobacco Retailing USA in Montebello, CA for the balance of Payless' leases.

Trident Group, Inc. (310-470-4777) leased 5,400 sq.ft. to Baja Fresh Mexican Restaurant in Pasadena, CA and 7,000 sq.ft. to Goodwill Industries in Healdsburg, CA.

Westbrook Factory Stores (860-399-8656) leased space to American Outpost, Bon Worth, Capacity, East Spirit and Remington at Westbrook Factory Stores in Westbrook, CT.

The Levey Companies, Inc. (201-533-1100) leased 14,500 sq.ft. to Odd-Job Trading at Mid-State Shopping Center in East Brunswick, NJ and 15,000 sq.ft. to Odd-Job Trading at Parsippany Troy-Hills Shopping Center in Parsippany, NJ.

Sizeler Real Estate of FL, Inc. (561-357-0066) leased 1,070 sq.ft. to OmniTech Computer Services, 1,050 sq.ft. to AAA Box Store, 3,150 sq.ft. to Dollar Tree and 17,000 sq.ft. to Old Navy Clothing Co. at Westward Shopping Center in West Palm Beach, FL; 1,000 sq.ft. to A&B Dry Cleaners, 1,050 sq.ft. to Hair Essentials, 4,947 sq.ft. to Leather for Less and an outparcel to Burger King at Lantana Plaza Shopping Center in Lake Worth, FL; and 1,100 sq.ft. to H&R Block and 1,300 sq.ft. to Alamo Title at Weeki Wachee Village Shopping Center in Weeki Wachee, FL.

Soloff Properties, Inc. (423-698-6980) leased 9,000 sq.ft. to AutoZone at Baldwin Plaza in Milledgeville, GA.

Grubb & Ellis of NJ (609-987-0004) leased 60,000 sq.ft. to Einstein Mommjay for a carpet and home furnishings store in Paramus, NJ; 35,000 sq.ft. to Loehmans in Paramus, NJ; 2,300 sq.ft. to Office Oasis at Denville Commons in Denville, NJ; 7,000 sq.ft. to Living Well Lady at Kennedy Mall in Bricktown, NJ and 5,000 sq.ft. to Party Land in Westwood, NJ.

Metro Commercial Real Estate, Inc. (609-866-1900) leased 20,000 sq.ft. to A.C. Moore Arts & Crafts at Alpine Commons in Wappinger Falls, NY.

Sigma National, Inc. (804-320-6100) leased 5,000 sq.ft. to Rack Room Shoes at Janaf Shopping Center in Norfolk, VA.

Equity Attainment, Inc. (630-325-3200) leased 23,500 sq.ft. to Sears Paint & Hardware at Lemont Plaza in Lemont, IL.

Lanard & Axilbund Colliers (215-925-4600) leased 8,500 sq.ft. to Dollar Land and 8,500 sq.ft. Blockbuster Video at Morrell Plaza in Philadelphia, PA; 6,000 sq.ft. to SpinCycle, Inc. at Snyder Plaza in Philadelphia, PA; 6,000 sq.ft. to Blockbuster Video at Hunting Park Plaza in Philadelphia, PA; 5,000 sq.ft. to Blockbuster Video at Oxford Oaks Shopping Center in Lower Makefield Township, PA and 8,000 sq.ft. to Blockbuster Video at Grays Ferry Shopping Center in Philadelphia, PA.

Financial News...

Edison Brothers Stores, Inc. (314-331-6000) reported a second quarter net loss of $5.8 million. This represents a $6.5 million or 53% improvement over last year's second quarter when the company posted a net loss of $12.3 million. Total sales for the second quarter fell 19.7% to $268.8 million from $334.7 million and comparable store sales were down 2.9% for the quarter. The company, which closed 500 stores during its fourth quarter last year and 180 stores in the first half of 1996, has plans to open 53 stores during the second half of 1996. Also, 50 "showcase" Repp Ltd. Big & Tall stores will debut. These stores have been repositioned by adding new lifestyle merchandise departments.

Darden Restaurants (407-245-4000) reported that fiscal first quarter sales in its Red Lobster division were down 4.75% to $475.1 million with comparable restaurant sales down 6.4%. First quarter sales at its Olive Garden division were up 2.2% to $328.9 million with comparable restaurant sales up 0.2% for the quarter. During the quarter, Red Lobster opened four stores and closed three to end the quarter with 730 units. Ten units are planned to be opened during the remainder of the fiscal year. Olive Garden opened three restaurants to end the quarter with 490 units. Three units are planned to be opened during the remainder of the fiscal year.

Sun Television and Appliances, Inc. (614-492-5600) reported a second quarter net loss of $2.6 million compared to net income of $2.3 million during the second quarter last year. Second quarter net sales were $150.4 million, down from $183.2 million recorded last year. The company currently operates 49 consumer electronics stores in OH, PA, NY, WV and KY.

Wal*Mart Stores (501-273-4000) recently announced that Opus Corp. has dropped plans to build Wal*Mart and Sam's Club stores at Nicollet Mall in Minneapolis, MN.

50-Off Stores, Inc. (210-805-9300) recently filed for Chapter 11 protection because the company was unable to secure the resources required to implement its plan to effect the changes necessary to improve operations. For its second quarter, the company reported a loss before taxes of $9.7 million on net sales of $64.1 million. The company also plans to close 38 stores in AL, AR, FL, GA, LA, NM, NC, SC, TN and TX, and has selected Prime Locations (972-991-7000) to solict bids for the leases of these stores.

Value City Department Stores, Inc. (614-471-4722) reported that net sales for its fiscal year increased 9.4% to $954.3 million from $871.9 million, but that comparable store sales fell 0.1% for the year. Net income for the year was $21.7 million, up from $13.8 million last year. The company currently operates 92 off-price department stores throughout the Eastern and Midwestern regions.

D.I.Y. Home Warehouse, Inc. (216-328-5100) reported that its third quarter net income increased to $1.188 million from $449,000 during the third quarter last year. Net sales for the quarter increased 20% to $56.8 million from $47.3 million with comparable store sales up 14%. The company operates 16 home improvement stores in OH.

Buyers & Sellers of Commercial Properties

Eagle Realty Group has the listing to sell Highland Ridge Plaza in Cincinnati, OH. The 300,000 sq.ft. project is anchored by Bigg's Foods, Office Depot, Odd Lots and Circuit City. Spaces from 900 sq.ft. to 40,000 sq.ft. are available. The company also has the listing to sell restaurants in southeastern OH. Sites range in size from 5,300 sq.ft. to 6,000 sq.ft. on land areas ranging in size from .95 acres to 2.77 acres.

For more information, contact Eric Abroms at (513-361-7777).

Reisenfeld & Company has the listing to sell Pearl Road Shopping Center in Parma Heights, OH. The 101,000 sq.ft. project is anchored by Dunham's Sporting Goods and Michael's Arts & Crafts. The asking price is $5.3 million. The company has the listing to sell Noble Food Centre in Cleveland Heights, OH. The 20,690 sq.ft. project has an asking price of $700,000. The company has the listing to sell a freestanding 3,960 sq.ft. former PayLess Shoe store in Cleveland, OH. The asking price is $250,000. The company has the listing to sell 18 acres of land in Northfield, OH. The site is located near J.C. Penney and Consolidated Stores. The asking price is $50,000 per acre. The company has the listing to sell four acres of land in Westlake, OH. The company has the listing to sell two acres of land in Independence, OH. The company has the listing to sell a 30,000 sq.ft. pad site in Cleveland, OH. The site is located near Kmart. The asking price is $500,000.

For more information, contact Hal Reisenfeld at (216-765-8080).

Mid-America Real Estate Corp. represented MCZ Development in its sale of a 33,000 sq.ft. parcel of land in Chicago, IL. The site was acquired by DelRay Farms grocery store which plans to develop a 14,000 sq.ft. store on the site.

For more information, contact Paul Bryant or Dan Tausk at (630-954-7300).

Duke Realty Investments recently acquired 2.8 acres of retail-zoned land at Field Ertel Road in Cincinnati, OH. The company currently owns, leases and manages 30 acres of retail space encompassing 300,000 sq.ft. of shopping center development at this location. The newly-acquired site can accommodate one big box retailer in the 25,000 sq.ft. to 30,000 sq.ft. range and one small outlot restaurant.

For more information, contact Duke Realty Investments at (317-846-4700).

Atlantic Real Estate Corporation has the listing to sell prime retail sites at the Wakefield project currently being developed in Raleigh, NC. Approximately 100 acres of the 500 acre site have been planned for retail development. Demographics include a 10-mile ring with more than 80,000 households earning $64,000 as the average annual income. The site is also located adjacent to Wakefield Plantation, a 1,500-acre upscale golf community that will ultimately be home to more than 3,400 families.

For details, contact Jim Hughes at (919-833-2530).

Holland Metro, Inc. Realtors has the listing to sell 2.3 acres of land in Erie, PA. The site, which is zoned commercial, fronts State Route 20 and is located across from a strip center anchored by Value City Department Store. A new AutoZone store is located adjacent to the site. Tax abatements are available. The asking price is $250,000 per acre.

For more information, contact Bill Bucceri at (814-452-2100), Fax (452-2005).

Food Tenants Seeking Locations in Ohio

Sandwich Factory Franchising Co. trades as The Sandwich Factory at eight locations in OH. The restaurants, specializing in sandwiches, occupy spaces of 1,500 sq.ft. in freestanding facilities and strip centers. Growth opportunities are sought in the existing market. The company is franchising.

For more information, contact Joe Loree, Sandwich Factory Franchising Co., 5498 Mahoning Avenue, Youngstown, OH 44515; 330-793-4084.

Sanray Corporation trades as Perkins Family Restaurants at 30 locations in OH, NY and PA. The family restaurants occupy spaces of 5,000 sq.ft. to 12,000 sq.ft. in freestanding facilities. Growth opportunities are sought in the existing markets.

For more information, contact Doug Nickerson, Sanray Corporation, 231 Chestnut Street, Meadville, PA 16335; 814-724-4880, Fax 337-2630.

Fox's Pizza Den, Inc. trades as Fox's Pizza Den at 168 locations in OH, PA, MD, VA, WV, NY, GA, AL, FL and LA. The restaurants, serving pizza and sandwiches, occupy spaces of 1,000 sq.ft. to 1,500 sq.ft. in freestanding facilities and strip centers. Plans call for 15 openings in the coming 18 months. Expansion will take place in the existing markets.

For more information, contact Jim Fox, Fox's Pizza Den, Inc., 3243 Old Frankstown Road, Pittsburgh, PA 15239; 412-733-7888.

Italian Oven, Inc. trades as The Italian Oven Restaurant at 100 locations in OH, AZ, DE, FL, GA, IN, KY, MD, NC, PA, SC, TX, MO and KS. The family restaurants occupy spaces of 5,000 sq.ft. in freestanding facilities, regional malls and end-caps of strip centers. Preferred anchors include Kmart and Wal*Mart. Plans call for 10 openings in the coming 18 months. Expansion will take place within the existing markets. Preferred demographics include a population of 50,000 within three miles earning $35,000 as the average income. Leases running 10 years, with options, are typical.

For more information, contact Jeff Smith, Italian Oven, Inc., 11 Lloyd Avenue, Latrobe, PA 15650; 412-537-5380, Fax 537-8236.

Krispy Kreme Doughnut Corp. trades as Krispy Kreme at 150 locations in OH, AL, AR, FL, GA, KY, LA, MS, NC, PA, SC, TN, VA and MO. The donut shops occupy spaces of 3,000 sq.ft. in freestanding facilities and strip centers. Growth opportunities are sought east of the Mississippi River. The company is franchising.

For more information, contact Steve Jones, Krispy Kreme Doughnut Corp., 370 Knollwood Street, Suite 500, Winston-Salem, NC 27103; 910-725-2981, Fax 733-3798.

Longhorn Steaks, Inc. trades as Longhorn Steaks at 80 locations in OH, AL, FL, GA, NC, SC, PA, TN and VA. The restaurants occupy spaces of 5,000 sq.ft. in freestanding facilities and end caps of strip centers. Growth opportunities are sought in the existing markets.

For more information, contact Kirk Hermansen, Longhorn Steaks, Inc., 8215 Roswell Road, Building 200, Atlanta, GA 30350; 770-551-5432, Fax 551-6686.

Tubby's, Inc. trades as Tubby Submarines at 78 locations in OH, IL and MI. The restaurants, specializing in submarine sandwiches, occupy spaces of 1,200 sq.ft. in strip centers. Preferred anchors include Kmart, Wal*Mart and supermarkets. Plans call for 20 openings in the coming 18 months. Expansion will take place in OH, MI and AZ. Preferred demographics include a population of 25,000 within two miles earning $30,000 as the average income. The company, which cites Subway and Blimpie as competition, typically signs leases running five years and is franchising.

For more information, contact Tony Stachinski, Tubby's, Inc., 6029 East 14 Mile Road, Sterling Heights, MI 48312; 810-978-8829, Fax 977-8083.

P&L Food Service, L.L.C. trades as Boston Market at 100 locations in OH, PA, NY and MA. The restaurants occupy spaces of 3,000 sq.ft. in freestanding facilities. Preferred locations include near a majority of the power tenants of the trade area. Plans call for 40 openings in the coming 18 months. Expansion will take place in the existing markets. Preferred demographics include a population of 50,000 within five miles earning $30,000 as the average income. Leases running five years are typical. The company will also consider build-to-suit deals.

For more information, contact Michael Landru, P&L Food Service, L.L.C., 1720 Washington Road, Suite 207, Pittsburgh, PA 15214; 412-854-7503, Fax 835-6010.

Mergers & Acquisitions

CSK Auto, Inc. (602-265-9200), which operates 572 automotive parts stores trading as Checker Auto Parts, Schuck's Auto Supply and Kragen Auto Parts in 14 western states, recently sold 51% of its company to Investcorp SA of Bahrain. CSK Auto plans to use the proceeds to repay debt and open new stores. The company plans to open 75 stores this year and as many as 125 units next year.

Wendy's International, Inc. (614-764-3099) recently signed a definitive agreement to purchase 45 company-operated Hardee's restaurants in the Detroit, MI area from Hardee's Food Systems, Inc. The transaction is expected to be completed by the end of the year. Wendy's plans to convert 10 of units to Wendy's Old Fashioned Hamburgers Restaurants and the remaining 35 units to Tim Hortons restaurants.

Rite Aid Corp. (717-975-5800) recently announced plans to acquire Thrifty PayLess for $1.4 billion in stock and the assumption of $890 million of debt. Thrifty PayLess currently operates 1,007 stores in 10 western states, while Rite Aid operates 2,809 drugstores in 22 eastern and southern states. Rite Aid plans to close Thrifty PayLess' corporate office in OR and transfer the operations to its PA office and sell Thrifty's Bi-Mart chain of 44 stores. Also, Rite Aid announced plans to sell 200 drugstores in NC and SC to Thrift Drug, Inc. and pull out of the states of AL, FL and GA. The latter are moves designed to help win the merger's approval from the FTC. Earlier this year the FTC blocked Rite Aid's bid to acquire Revco because it feared that the two companies' concentration in the East and Midwest would have diminished competition for consumers. The Rite-Aid-Thrifty PayLess deal is expected to be completed during May, 1997.

J.C. Penney, Inc. (214-431-1000) recently announced that its Thrift Drug, Inc. subsidiary has reached an agreement to acquire approximately 200 Rite-Aid drugstores in NC and SC. The deal is expected to be completed by the end of this year and the stores are expected to change possession during January and February 1997.

Best Products Co., Inc. (804-261-2396) plans to sell its remaining 88 catalog stores and 11 jewelry-only stores to Schottenstein Bernstein Capital Group L.L.C. and Alco Capital Group, Inc. for $395 million. The two groups plan to acquire the store locations, merchandise, fixtures and chain's name. The stores will be operated at least through Christmas, but after that no one knows what will happen. The Schottenstein Store Corp. owns controlling interest in Value City Department Stores and a majority stake in American Eagle Outfitters, Inc. and has been involved in buying or financially assisting distressed retailers in the past.

Regis Corporation (612-947-7000) recently acquired 10 salons from Trade Secret franchisees in Louisville and Lexington, KY; Cincinnati, OH; Indiana, Iowa, Nebraska and New Jersey. The salons will continue to be operated as Trade Secret units.

New Construction

McClinton & Company, Inc. recently broke ground on phase II of Premiere Place Shopping Center in Prattville, AL. The 126,250 sq.ft. expansion will be anchored by a 50,000 sq.ft. Belk Department Store and a 26,250 sq.ft. Goody's Family Clothing store. In addition, 50,000 sq.ft. of small shop space will be constructed and leases have been signed with Olympia Sporting Goods, Friedman's Jewelers, General Nutrition Corporation, Dollar Tree and Nail Studio. A Ryan's Steakhouse will occupy one of four outparcels. Phase II construction is expected to be completed during Summer 1997. Phase I, which is anchored by a 202,072 sq.ft. Wal*Mart Supercenter, opened during August. Space is available for future expansion up to 104,250 sq.ft.

For more information, contact Buddy McClinton of McClinton & Company, Inc. at (334-270-9653), Fax (270-9811).

CBL & Associates Properties, Inc. recently broke ground on Cortlandt Town Center in Cortlandt, NY. The 766,000 sq.ft. project will be anchored by a 132,000 sq.ft. Wal*Mart, a 133,000 sq.ft. Home Depot, a 65,028 sq.ft. A&P Supermarket, a 55,000 sq.ft. Nobody Beats The Wiz, a 53,000 sq.ft. HomePlace, a 43,737 sq.ft. United Artists Theater and a 25,000 sq.ft. Barnes & Noble Bookstore. The project is expected to open during Fall 1997.

For more information, contact David Locke at CBL & Associates Properties, Inc. at (617-647-3330).

Who's Opening and Where...

Golden Corral (919-781-9310) plans to open an 8,400 sq.ft. restaurant in Clovis, CA next month and a 10,000 sq.ft. restaurant in Fresno, CA during mid-1997.

Wal*Mart Stores, Inc. (501-273-4000) plans to open approximately 50 discount stores and 100 Supercenters, 70 of which will be relocations or expansions, and as many as 10 Sam's Clubs in the U.S. during its next fiscal year which begins February 1, 1997. Internationally, the company plans to open 35 discount stores, Supercenters and Sam's Clubs in Argentina, Brazil, Canada, China, Indonesia, Mexico and Puerto Rico. A 205,000 sq.ft. Wal*Mart Supercenter is being built in Winston-Salem, NC. It is expected to open during the first half of 1997.

West Coast Entertainment Corp. (215-677-1000) recently entered into a franchise area development agreement with Reel Entertainment who is expected to open 35 West Coast Video stores in LA and southern MS within the coming three years.

Ruth's Chris Steakhouse (504-454-9042) plans to open a 15,000 sq.ft. restaurant in Indianapolis, IN during 1997.

Starbucks Corp. (206-447-1575) plans to enter the Miami, FL market during 1997.

The Gap (415-952-4400) plans to open an 8,000 sq.ft. Banana Republic store at University Village in Seattle, WA during August 1997.

Sears (847-286-2500) plans to open a 30,000 sq.ft. Sears HomeLife Furniture store in a former Smith's Home Furnishings store across from Tacoma Mall in Tacoma, WA before the end of the year.

Mountain Mike's Pizza Restaurants (510-735-1015) recently opened restaurants in Mesa, AZ; Gatlinberg, TN and Miami and West Palm Beach, FL. The company, which is expanding nationally through the sale of territories, currently operates units in AZ, CO, MI, NV, OR and TN.

Sun Television and Appliances, Inc. (614-492-5600) recently relocated its Chillicothe, OH store to a 30,000 sq.ft. facility adjacent to Chillicothe Mall. The unit replaces a 10-year-old 15,000 sq.ft. unit nearby. The company is planning to relocate its Heath, OH store to a 30,000 sq.ft. facility near Indian Mound Mall this month. The unit replaces an 11,000 sq.ft. store that opened in 1974. The company is also planning to relocate its North Randall, OH store to a 70,000 sq.ft. facility. The new unit, which contains a clearance center, replaces a smaller store that opened in 1991.

Sterling Vision, Inc. (516-887-2100) recently completed a deal with Eye-Site, Inc. of Toronto, ON which calls for Eye-Site to open 40 Sterling Vision franchises in the province of Ontario.

Rex Stores (770-623-0811) plans to open 30 stores in MA, MD, MT, ND and SD before Thanksgiving. After the stores have opened, the company will operate 230 units.

Hooters (770-951-2040) plans to open six restaurants in the Norfolk, VA area in the coming few months.

CompUSA, Inc. (214-484-8500) plans to open a 28,300 sq.ft. store at Mingo Marketplace in Tulsa, OK next month.

Ross-Simons (401-463-3100), the largest value-priced retailer of fine jewelry, tableware, gifts and collectibles, plans to open a 6,300 sq.ft. store at The Atrium in Chestnut Hill, MA during Spring 1997. It will be the company's ninth store in its sixth state.

Kohl's Department Store (414-783-5800) has announced plans to open 21 stores during Spring 1997. The company plans to open units in Dale City, Fredericksburg, Kingstowne and Winchester Valley VA; Laurel, Bowie, Waldorf, Germantown and Ellicott City, MD; Evansville, IN; Andorra, Springfield, Exton, Philadelphia, Whitehall, Allentown and Oxford Valley, PA and Hamilton, NJ.

Loehmann's (718-409-2000) recently opened a 60,000 sq.ft., five-floor store at a former Barney's space on Seventh Avenue in Manhattan, NY. The company plans to open a 29,000 sq.ft. store in Brooklyn, NY this month.

Muvico Theaters (954-564-6550) plans to open a 20-screen theater with an IMAX theater at Pointe Orlando in Orlando, FL during Summer 1997.

OfficeMax, Inc. (216-295-6411) plans to enter the Jacksonville, FL market with three stores in the coming year including a 30,650 sq.ft. store at Regency Plaza.

Lead Sheet

Stone Mountain Handbags

Audrey Shoopman

PO Box 325

Conley, GA 30027

404-366-9600, Fax 366-0144

Accessories

The 25-unit chain operates locations in AL, FL, PA, MI, TN, ME, VA, WI, GA, TX, NV and KS. The stores, selling handbags, wallets and accessories, occupy spaces of 1,500 sq.ft. in outlet centers. Plans call for as many as five openings in the coming 18 months. Expansion will take place nationwide.

Grease Monkey International

Julie Farrar

216 16th Street, Suite 1100

Denver, CO 80202

303-534-1660, Fax 534-2906

Automotive

The 212-unit chain operates locations nationwide and in Mexico. The quick-lube automotive centers occupy spaces of 1,856 sq.ft. in freestanding facilities on land areas of 15,000 sq.ft. Growth opportunities are sought nationwide.

Little Professor Book Centers, Inc.

dba Little Professor Book Center,

Little Professor Book Company

Chuck Hilscher

130 South First Street, Suite 300

Ann Arbor, MI 48104

313-994-1212, Fax 994-9009

Books

The 112-unit chain operates locations nationwide. The book stores occupy spaces of 3,000 sq.ft. to 12,000 sq.ft. in power, specialty and strip centers. Plans call for 16 openings in the coming 18 months. Expansion will take place nationwide. The company cites Borders, Barnes & Noble and Crown as competition.

Somer Corporation

dba Computer Power Supply Store

Willard Somers

PO Box 531

Navesink, NJ 07752

908-291-4000, Fax 291-5175

Computers

The two-unit chain operates locations in NJ. The stores, selling computers and computer software, occupy spaces of 1,000 sq.ft. to 3,000 sq.ft. in freestanding facilities. Growth opportunities are sought in the existing market.

Convenient Food Mart, Inc.

dba Convenient Food Mart

Tim Beech or Tom Gintile

467 North State Street

Painesville, OH 44077

216-354-5500, Fax 639-6526

Convenience Store

The 109-unit chain operates locations in OH. The convenience stores, some of which sell gasoline, occupy spaces of 3,600 sq.ft. in freestanding facilities and strip centers. Growth opportunities are sought in NY and OH. Leases running 10 years are typical.

Biogime Franchise Services USA, Inc.

dba Biogime Skin Care Centers

John Riemann

32240 Paso Alidano, Suite A

San Juan Capistrano, CA 92675

714-488-2180

Cosmetics

The 13-unit chain operates locations in AZ, CA, FL, GA, HI, KY, NV, TX, OK and IL. The stores, selling skin care products, occupy spaces of 900 sq.ft. in power centers and regional malls. Plans call for eight openings in the coming 18 months. Expansion will take place in the Western region. The company is franchising.

South Mountain Corporation

dba South Mountain Kiddie Rides

Thomas Plunket

PO Box 313

Hershey, PA 17033

717-867-3520, Fax 867-3521

Entertainment

The 82-unit chain operates locations in PA, NJ, NY, OH, WV, GA, TN, NC, SC, FL, TX, OK, NE, IL and MI. The concept offers kiddie rides in custom kiosks occupying 120 sq.ft. in regional malls. Plans call for 12 openings in the coming 18 months. Expansion will take place in the existing markets. Preferred demographics include a population of 75,000 within 20 miles earning $35,000 as the average income. Leases running one year are typical.

Newton Wall Co.

dba Walls Bargain Centers

Jim Lowe

1600 North Harrison Street

Shawnee, OK 74801

405-275-1582, Fax 275-5543

General Merchandise

The 11-unit chain operates locations in MS and OK. The general merchandise stores occupy spaces of 18,000 sq.ft. to 40,000 sq.ft. in downtown store fronts and freestanding facilities. Plans call for one opening in the coming 18 months. Expansion will take place in MS.

Ortega's Indian Stores

Armand Ortega

PO Box 460

Sanders, AZ 86512

520-688-2787, Fax 688-2338

Gifts

The 12-unit chain operates locations in AZ, CA and NM. The gift stores, selling Native American artifacts, Native American handmade crafts and jewelry, occupy spaces of 2,000 sq.ft. in freestanding facilities, regional malls and outlet centers. Plans call for two openings in the coming 18 months. Expansion will take place in AZ and CA. Preferred demographics include a population of 200,000 within 15 miles earning $40,000 as the average income. Leases running seven years are typical.

Health Rite, Inc.

dba Vitamin Specialities

Bill Evans

8160 Ogontz Avenue

Wyncote, PA 19095

215-572-0142, Fax 885-1790

Health

The 15-unit chain operates locations in DE, NJ and PA. The stores, selling health foods and vitamin supplements, occupy spaces of 1,000 sq.ft. in power centers. Preferred anchors include Wal*Mart and supermarkets. Plans call for 10 openings in the coming 18 months. Expansion will take place in NJ and PA. The company cites GNC as competition and typically signs leases running five years.

Pfaltzgraff Factory Outlet Stores

Jack Kay

140 East Market Street

York, PA 17401

717-848-5500, Fax 771-1430

Home Decor

The 61-unit chain operates locations nationwide. The stores, selling Pfaltzgraff housewares and accessories, occupy spaces of 5,000 sq.ft. to 6,000 sq.ft. in outlet, specialty and strip centers. Plans call for as many as five openings in the coming 18 months. Expansion will take place nationwide. Leases running five years are typical.

Jim Scott Organ & Piano Studios, Inc.

dba Jim Scott Organ & Piano Studios

Deborah Smith

3700 De Kalb Technology Parkway

Atlanta, GA 30340

770-458-4888, Fax 458-8282

Music

The two-unit chain operates locations in GA. The stores, selling pianos and organs, occupy spaces of 2,500 sq.ft. to 8,000 sq.ft. in freestanding facilities and strip centers. Plans call for two openings in the coming 18 months. Expansion will take place in the existing market.

Vahle's Pet Stuff

dba Accent on Animals

Rod Vahle

Latch's Lane, Suite 604

Merion, PA 19066

610-664-0908

Pet Store

The nine-unit chain operates locations in PA. The pet stores occupy spaces of 1,500 sq.ft. to 2,000 sq.ft. in strip centers. Growth opportunities are sought in the existing market.

Wolf Camera, Inc.

dba Wolf Camera & Video, Barry's

Stephen Lamastra

1706 Chantilly Drive, NE

Atlanta, GA 30324

404-633-9000, Fax 636-3912

Photo

The 205-unit chain operates locations in CA, FL, GA, NC, SC, TX, LA, MS, AL, IL, TN and NV. The stores, selling photography related items and offering photo finishing services, occupy spaces of 1,200 sq.ft. to 2,500 sq.ft. in freestanding facilities, regional malls and strip centers. Plans call for as many as 15 openings in the coming 18 months. Expansion will take place in CA, IL and TX.

Gunn Consulting

dba Overland Trading Company

Richard Gunn

95 Highland Avenue

Buffalo, NY 14222

716-885-8001, Fax 885-8002

Shoes

The 35-unit chain operates locations in CT, MA, NJ, NY, OH and PA. The stores, selling brand name shoes, occupy spaces of 1,200 sq.ft. to 1,500 sq.ft. in downtown store fronts and regional malls. Plans call for 10 openings in the coming 18 months. Expansion will take place in the existing markets.

Liberty Travel, Inc.

Richard David

69 Spring Street

Ramsey, NJ 07446

201-934-3615, Fax 934-3888

Specialty

The 100-unit chain operates locations in CT, DE, FL, NJ, NY, PA, MA and NH. The travel agencies occupy spaces of 1,000 sq.ft. to 1,200 sq.ft. in freestanding facilities, regional malls and strip centers. Plans call for 25 openings in the coming 18 months. Expansion will take place in the existing markets. Preferred demographics include a population of 100,000 within three miles earning $45,000 as the average income. Leases running 10 years are typical.

Waremart, Inc.

dba Waremart Foods, Cub Foods

Paul Simons

8590 Fairview Avenue

Boise, ID 83704

208-377-0110, Fax 377-0474

Supermarket

The 26-unit chain operates locations in CA, ID, NV, OR and WA. The supermarkets occupy spaces of 84,000 sq.ft. in freestanding facilities and power centers. Plans call for five openings in the coming 18 months. Expansion will take place in the existing markets.

Space Place

Ohio

Akron- A 100,000 sq.ft. space is available for lease. The space, which is adjacent to an Acme Supermarket, is subdividable. Also in Akron- A 90,000 sq.ft. space is available for lease. The space, which is adjacent to an Acme Supermarket, is subdividable. In Brookpark- An 80,865 sq.ft. space is available for lease. The space, which is adjacent to Rini Rego Grocery Store, is subdividable. For details, contact John Juron of Albrecht, Inc. at (330-733-6611).

Akron- Romig Square is anchored by OfficeMax and Aldi Foods. The 83,000 sq.ft. project has a build-to-suit opportunity of up to 24,000 sq.ft. available as well as in-line space from 1,300 sq.ft. to 3,600 sq.ft. available for lease.

For details, contact Jim Foti of Riverview Management Co. at (330-836-9971, Ext. 4133).

Bedford- Meadowbrook Market Square has a 100,000 sq.ft. space, which can be divided, available for lease. The site is located near Target, Finast, Revco, T.J. Maxx and Hills. In Cleveland- Kamms Plaza is anchored by Finast. The project has an 11,000 sq.ft. space, which can be divided, available for lease. In Maple Heights- A 10,700 sq.ft. former Paint & Pattern Center, which contains 5,500 sq.ft. of retail space, 5,000 sq.ft. of warehouse space and 2,000 sq.ft. of office space is avialble for lease. In Mayfield Heights- A 5,500 sq.ft. former Paint & Pattern Center is available for lease.

For details, contain Hal Reisenfeld of Reisenfeld & Company at (216-765-8080), Fax (765-8843).

Boardman- A 96,000 sq.ft. space, currently occupied by Ames, is available for lease. The site is located across from Southern Park Mall and is located near Circuit City, Best Buy, HomePlace, Wal*Mart, Lowes, Kmart and Service Merchandise.

For details, contact Jerome Herman of J.J. Herman & Associates at (216-663-0088), Fax (663-2019).

Exclusives: Leasing & Management Assignments

Realco Group Asset Management, LTD (516-294-7070) has been appointed the managing and leasing agent for a group of four properties that include Jack LaLanne Shopping Center in Little Neck, NY; a block front shopping center in North Baldwin, NY; a shopping center in North Bellmore, NY and a center in Central Islip, NY. The company has also been appointed the managing agent of Courtyard Shopping Center in Great Neck, NY, that has a 4,000 sq.ft. space available for lease.

Hiffman Shaffer Associates, Inc. (312-332-3555) has been appointed the regional tenant representative for Payless ShoeSource in IL. The company is seeking freestanding spaces running 2,800 sq.ft. to 3,000 sq.ft. as well as mall and strip center spaces. The company was named the exclusive tenant representative for Bruegger's Bagels in the greater Chicago, IL area. The company is seeking downtown store sites. Hiffman Shaffer was also named the exclusive tenant representative for EggHead in the Chicago, IL area. EggHead wants to open 12 stores in Chicago and up to 10 stores in its suburbs in the 4,000 sq.ft. to 5,000 sq.ft. range.