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Issue Number 20
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The Dealmakers Issue Number 20 for the week of June 4, 1999. Convenience Stores Seeking New Locations Quick Chek Food Stores, Inc. trades as Quick Chek Food Stores
at more than 100 locations in NJ. The convenience stores occupy spaces of 4,000 sq.ft. to
5,000 sq.ft. in freestanding facilities and end caps of strip centers. Plans call for
eight openings annually. Expansion will take place in the existing market. Wooten Oil Company does business as Fastop and Kwik Mart
at 24 locations in NC. The convenience stores, which also sell gasoline, occupy spaces of
800 sq.ft. to 3,500 sq.ft. in freestanding facilities and strip centers. Preferred
co-tenants include fast food restaurants. Plans call for five openings in the coming 18
months. Expansion will take place in the existing market. Preferred demographics include a
population of 10,000 within five miles earning $25,000 as the average income. Leases
running 15 years are typical. CFM Marketing Systems Inc. trades as Convenient Food Mart at
13 locations in IA and NE. The convenience stores occupy spaces of 3,000 sq.ft. in
freestanding facilities. Plans call for one opening in the coming 18 months. Expansion
will take place within the existing markets. The company is franchising. Pri-Mat Petroleum trades as Pri-Mart at 13 locations in MI.
The convenience stores occupy spaces of at least 3,000 sq.ft. in freestanding facilities.
Plans call for at least one opening in the coming 18 months. Expansion will take place in
the existing market. The company is also scouting for locations in IN. Preferred
demographics include a population of 10,000 within five miles and the company looks for
vacant land to develop its stores. Marathon Ashland Petroleum Company does business as Speedway,
Starvin Marvin, Kwik Sak and SuperAmerica at 2,400 locations in AL, FL, GA, IL,
IN, KY, LA, MI, MN, MS, NC, OH, SC, TN, WV and WI. The convenience stores, which also sell
gasoline, occupy spaces of 2,400 sq.ft. in freestanding facilities. Plans call for 10
openings in the coming 18 months. Expansion will take place in FL, the Chicago, IL market
and the New Orleans, LA market. The company prefers to purchase its locations.
Sources of Financing Shoe Carnival, Inc. (812-867-6471) recently entered into an expanded $45 million credit facility with Mercantile Bank National Association, First Union National Bank and Old National Bank. The unsecured credit facility can be used for both cash advances and letters of credit. The company currently operates 113 footwear stores in the Midwestern and mid-South regions. www.shoecarnival.com L.J. Melody & Company (713-787-1900) recently arranged permanent, fixed-rate financing of $15.2 million for Robinson Crossroads in Robinson Township, PA. L.J. Melody’s Pittsburgh office arranged the loan for TIAA’s private securitization program on behalf of the borrower, Robinson Crossroads, L.P., an affiliate of The Woodmont Corporation. The 120,000 sq.ft. project is anchored by Giant Eagle, Staples and Pep Boys. Kohl’s and AmeriSuites, who own their parcels, are also located at the center. Service Merchandise Co. (615-660-6000) recently had a $750 million financing package approved by the Bankruptcy Court to allow the company to continue paying suppliers and employees. The financing is being provided by Citibank and BankBoston. The company had filed for Chapter 11 protection in March listing debts of $1.29 billion and assets of $1.46 billion. Continental Wingate Capital (800-332-0372) offers a shopping center finance program for the refinance or purchase of neighborhood and community shopping centers. Eligible properties include existing shopping centers in established or emerging markets with a diverse economic base. Centers with three years of stable or improving occupancy and operating performance are preferred. Anchored centers are preferred, but all centers should have a broad mix of tenants. Tenant sales history and operating performance should be at or above industry averages and upward trending. Properties should have a minimum occupancy rate of 85%. Fixed rate loans with terms of seven, 10, 15, 20 and 25 years are available. Loans are typically amortized over 30 years, however, fully amortizing loans are available for certain properties. The preferred loan size is at least $2 million.
Who’s Opening & Where Lowe’s Companies (336-658-4223) plans to open a 150,000 sq.ft. store at Independence Park, a 200-acre office and retail park, in Durham, NC during August. The company is planning to open a 115,000 sq.ft. store at Glendale Center in Indianapolis, IN during November. The company recently opened a store in Austell, GA the first of four stores planned for the Atlanta market this year. Other stores are expected to open in Douglasville, Duluth and Stone Mountain. By 2002, Lowe’s plans to be operating 20 stores in the Atlanta market, which is its chief rival, Home Depot’s, hometown. Walgreen Co. (847-940-2500) plans to open a drug store in Security, CO this month. The company, which operates 2,700 stores, is planning to be operating 3,000 by the end of the year and 6,000 by 2010. A new player on the scene in the Colorado Springs, CO market is Rite Aid (717-761-2633) which recently opened two stores and is planning to open three more in the market this year. Overall, the company is planning to open 300 stores this year. All of the stores will be freestanding locations (as the company and industry moves away from mall and strip center locations) with drive-up pharmacy lanes and some of them will be open 24-hours-a-day. The companies have also found that because their stores are so convenience-oriented they can cluster them within a mile of one another and not hurt sales at either store. For example, Walgreens operates five stores within a one-mile radius in Chicago, IL and all of them do well. In other Walgreen news, the company is looking to open a 15,120 sq.ft. store in Amherst, NY. It will be the company’s 11th unit in the Buffalo, NY market. Recently, Walgreens opened a 14,000 sq.ft. store in Rock Hill, SC. The unit is open 24-hours-a-day. The company also plans to open a 14,000 sq.ft. store in Salem, MA and a 13,906 sq.ft. store in Trophy Club, TX. In addition, Walgreens plans to launch an Internet site this year that will allow customers to file their prescription orders. Albertson’s (208-385-6200) has withdrawn its rezoning request to build a 60,000 sq.ft. store in Old East Dallas, TX. The company had filed a plan with the city to rezone a parcel land from residential zoning to commercial. Opponents of the plan argued that the store, which was to be open 24-hours-a-day, would increase traffic and disrupt the urban charm they have fought so hard to preserve. In withdrawing its rezoning request, Albertson’s said that it will seek another site in the area to build a store. Better Bedding (860-528-1310) plans to open a 6,000 sq.ft. store at a redeveloped shopping center in Torrington, CT this month. The project, which was formerly known as Nu-Stars Plaza, is anchored by BJ’s Wholesale Club. Better Bedding opened its first store in 1976 and currently operates 11 stores in CT and MA. Wal*Mart Stores (501-273-4000) recently had its plan to develop a Wal*Mart Supercenter in Clermont, FL denied after Clermont passed an ordinance that limits the size of buildings in the town to no bigger than 100,000 sq.ft. Wal*Mart has cried foul, citing that its proposal to build the store was filed before the ordinance was drafted and subsequently passed. Court action by Wal*Mart has not been ruled out. In other company news, Wal*Mart plans to expand its discount stores at Coldwater Crossing and Apple Glen Crossing in Fort Wayne, IN into Supercenters. In making the two stores supercenters, the company will compete directly with Meijer, which operates three stores in the market. Fort Wayne commissioners also approved requests for the city to lower some requirements, such as decreasing the number of parking spaces required from 5.5 spaces per 1,000 sq.ft. to just more than four spaces. Wal*Mart plans to begin construction on the expansions during Summer. Brinker International (972-980-9917) plans to open a 7,846 sq.ft. On The Border restaurant at Weberstown Mall in Stockton, CA during August. Shoe Carnival (812-867-6471), which operates 113 shoe stores in the Midwestern and Southeastern regions, plans to open as many as 30 stores annually for the next two years. The company made the announcement after it obtained a $10 million increase in its line of credit. The additional credit, along with the company’s sales revenues, will be used to finance construction and stock the new stores with inventory. Quality Stores, Inc. (616-798-8787) plans to open a 44,050 sq.ft. Quality Farm and Country store at a former Wal*Mart location at Chancellor Shopping Center in Fredericksburg, VA. Silver Diner, Inc. (202-298-5500) recently announced that it is not going forward with a diner which had been proposed for Montgomeryville, PA. The lease for that location was subject to certain site development contingencies which the landlord did not satisfy. The company is actively pursuing its negotiations for both freestanding and mall locations for Year 2000 openings and the company does not anticipate opening its next diner until sometime next year. AFC Enterprises (770-391-9500) recently signed a development agreement for 15 Cinnabon Bakeries in Venezuela. This is AFC’s first entry into South America and its second international franchise development agreement for Cinnabon since AFC acquired Cinnabon, Inc. four months ago. AFC’s new franchise partner in Venezuela is Inversiones Great Food C.A., who plans to open the first of 15 Cinnabons in Caracas during Summer. The deal comes on the heels of a 130-unit agreement to develop 65 Cinnabon bakeries and 65 Seattle’s Best Coffee cafes in six Middle Eastern countries. Since the company was founded six years ago, its International Division has grown from 192 units in 1993 to more than 600 units planned by year’s end. Zany Brainy (610-896-1500) recently opened a store at Woodmen Commons in Colorado Springs, CO and a store at Beverly Plaza Shopping Center in Omaha, NE. It is the company’s first store in NE.
Buyers & Sellers McGuire Properties has the listing to sell a net leased grocery
store in NC. The site is leased to an investment grade tenant. The asking price is $5.875
million. Delta Group Real Estate, L.C. has the listing to sell a 1.87 acre
outlot at a Schnuck’s grocery store anchored strip center in Wentzville, MO. The site
has visibility on I-70 and is zoned C-3. The company also has the listing to sell a 1.68
acre parcel of land just off Highway 94 in St. Peters, MO. The site is zoned C-3 and has
strong demographics and traffic counts. Retailers in the area include Wal*Mart,
Schnuck’s, Kohl’s and Blockbuster Video. The asking price is $7 per sq.ft. Bosshardt Realty Services, Inc. has the listing to sell a 22,500
sq.ft. pad site located at the intersection of I-75 and SR 26 in Gainesville, FL. The site
is turn-key with all infrastructure in place. The site adjoins an existing Sports
Authority and is located across the street from a one million sq.ft. regional mall. The
asking price is $1.4 million. Hiffman Shaffer Associates, Inc. has the listing to sell Harlem
Pershing Plaza in Lyons, IL. The area surrounding the 14,000 sq.ft. project is densely
populated by middle-income families and businesses. The asking price is $1.9 million. Southern Management & Development, L.P. is in the market to
acquire shopping centers in FL. Preferred projects should be priced between $5 million and
$15 million. Higgins Realty Group, Inc. represents an investment company in the
market to acquire supermarket or discount store anchored shopping centers in AL, AR, LA,
MS and the Midwestern region. Properties of interest should have GLAs of at least 75,000
sq.ft. All cash and creative deal structures can be arranged. Papadopoulos Properties has the listing to sell a former Fireside
Restaurant location in College Park, MD. The site is located across from Beltway Plaza.
The asking price is $1.5 million. Rockwood Realty Associates, L.L.C. has the listing to sell Arvada
Marketplace and Arvada Connection in Arvada, CO. Arvada Marketplace is a 456,337 sq.ft.
project anchored by Sam’s Club, HomeBase, Gart Sports and Office Depot. Located
across the street, Arvada Connection is a 61,362 sq.ft. project anchored by The
Wherehouse, Pier 1 Imports, Waldenbooks, International House of Pancakes and Old Country
Buffet. The centers will be sold together and are expected to command a price near $50
million. Coldwell Banker Commercial/Tommy Morgan, Inc. has the listing to
sell 47 acres of land in Tupelo, MS. The site is located at the intersection of Highway 45
and Barnes Crossing Road, just east of The Mall at Barnes Crossing which is anchored by
Home Depot, PetsMart, Staples, Lowe’s, O’Charley’s Restaurant and Cracker
Barrel. All utilities are available. The asking price is $6.5 million. Wilton Partners recently acquired a 2.43 acre outparcel on the
periphery of Desert Sky Mall in Phoenix, AZ for the development of a freestanding 17,108
sq.ft. Just For Feet store. Wilton Partners is the national developer for Just For Feet
and the store will be joining Olive Garden, Red Lobster, Macayo’s, Big O Tire,
Wendy’s and JB’s as outparcel tenants. The company also recently acquired 13.31
acres of land in Fresno, CA for the development of Northwest Plaza. Anchoring the 130,000
sq.ft. project will be OfficeMax, Just For Feet and Old Navy. Turner Net Lease Properties, Inc. has the listing to sell a
Walgreens Drug Store in Jacksonville, FL. The store opened in January and has no debt in
place. The asking price is $3.3 million. Commercial Real Estate Specialists, Inc. has the listing to sell
Poplar Bluff Square Shopping Center in southeastern MO. The 101,000 sq.ft. project is
anchored by IGA, Heilig Meyers and Big Lots. The asking price is $2.8 million. Osborne Real Estate Group, Inc. has the listing to sell Tamarac
Shopping Center in Tamarac, FL. The 14,700 sq.ft. project is 90% leased and has an NOI of
$80,000. The asking price is $750,000. Coldwell Banker Commercial has the listing to sell U.S. Postal
Center in Woodland, CA. The 25,494 sq.ft. project contains six tenants: a U.S. Post
Office, Subway, Chubby’s Diner, Hair Plus Salon, Thrift Store Clearance Outlet Center
and The Dental Center. The asking price is $2.05 million. G. Earl Real Estate, Inc. has the listing to sell a neighborhood
shopping center in northeastern WI. The 121,000 sq.ft. project is 87% occupied. Lee and Associates is in the market to acquire single tenant retail
properties in Southern CA. Preferred properties should be priced between $1.2 and $4
million.
New Construction Trout, Segall & Doyle, in a joint venture with Continental
Real Estate Companies, recently acquired 9.6 acres of land in Springfield, VA. The
site, located between Springfield Mall and I-95, will be developed into Loisdale
Center which will be anchored by Barnes and Noble, Bed Bath & Beyond, Circuit
City and DSW Shoe Warehouse. A Fall opening is planned. Construction is underway on Commonwealth Centre in Richmond, VA.
The 450,000 sq.ft. project will be anchored by a 122,474 sq.ft. Target store, an
85,000 sq.ft. Kohl’s Department Store, a 23,000 sq.ft. OfficeMax store,
a 46,000 sq.ft. Waccamaw Pottery store and a 20-screen Consolidated Theaters.
Additional space is available for junior anchors and small shop tenants. The site is
located at the intersection of Hull Street and VA Route 288 and access is available off
both streets. The trade area, which has experienced a population increase of nearly 200%
since 1980, is in the heart of Richmond’s fastest growing sector. The project will
serve the upscale communities of Brandermill, Spring Run and Woodlake. Current
demographics include a three-mile population of 70,272 earning $73,760 as the average
household income. A Summer opening is planned. Ground is expected to be broken during Fall
on Barrett Knolls Shopping Center in Garrisonville, VA. The 68,000 sq.ft. project
will be anchored by a 55,500 sq.ft. grocery store. In-line space of 12,600 sq.ft. and four
outparcels on 15 acres of land remain available for lease. The site is located at the
intersection of Route 610/Garrisonville Road and Barrett Heights Road. Located just east
of the proposed center is a Wal*Mart store and two shopping centers. Demographics
include a three-mile population of 26,141 earning $59,316 as the average household income.
Ground is expected to be broken on Cumberland Central in Cumberland, MD. The
388,500 sq.ft. project is expected to be anchored by a 135,000 sq.ft. home improvement
store and a 123,000 sq.ft. general merchandise retailer. Spaces of 45,000 sq.ft., 42,000
sq.ft., 23,500 sq.ft. and 20,000 sq.ft., as well as five outparcels, will also be
developed. The site, which is bordered by PA to the north and WV to the south, is located
at the intersection of I-68, US 40, US 220 and SR 144. Demographics include a five-mile
population of 42,071 earning $37,463 as the average household income. Miller Weingarten Realty, LLC recently broke ground on Crossing
at Stonegate in Parker, CO. The 120,000 sq.ft. project will be anchored by King
Soopers. Spaces from 1,200 sq.ft. to 25,000 sq.ft. remain available for lease. The
site is located at the intersection of Lincoln and Jordan and retailers in the area
include Albertson’s and Target. Demographics include a three-mile
population of 13,680 earning $63,527 as the average income. A May 2000 opening is planned. Developers Diversified Realty Corporation recently broke ground on Riverdale
Village in Coon Rapids, MN. The 950,000 sq.ft. power center, to be developed on 120
acres at the intersection of Highway 10, Round Lake Boulevard and Main Street at a cost of
$76 million, will house more than 40 retailers and restaurants including Kohl’s,
Jo Ann Etc. and Linens ‘N Things. DDR and David Berndt Interests
recently acquired 40 acres of land at the intersection of I-35 and State Highway 1325 in
Round Rock, TX for the development of La Frontera, a 780,288 sq.ft. open air power
center that is expected to break ground later this year. The project will house more than
30 retailers and restaurants including Lowe’s Home Improvement Warehouse,
Sam’s Club, Office Depot, T.J. Maxx, Old Navy and an 83,000 sq.ft. multi screen
movie theater. A Summer 2000 opening is planned. William Charles Investments, Inc. is developing Harrison Park
in Rockford, IL. The 122-acre mixed-use project, which is located near the intersection of
Harrison Avenue and Mulford Road, will feature a mix of commercial, industrial and
residential uses. The retail portion of the project, Harrison Center, will be a
28,000 sq.ft. strip center that will be ready for occupancy in the Fall. Spaces from 1,200
sq.ft. to 6,000 sq.ft. are available for lease. In addition, five commercial outparcels
are available for lease. Phase I will also include the development of Harrison Park
Apartments and six industrial outlots. Approximately half of the 100 single family home
lots have been sold. Current demographics include a two-mile population of 21,000 earning
$45,000 as the median income. Discovery Village, LLC recently broke ground on Discovery
Village in Redding, CA. The 37,000 sq.ft. project, located at the intersection of Dana
Drive, Hilltop and Highway 44 and across from the entrance to Shasta Mall, will be
anchored by Aaron Bros. Art Mart, Men’s Wearhouse and Starbucks Coffee.
Spaces up to 6,000 sq.ft. remain available for lease. An October opening is planned. Wargo Properties, Inc. plans to develop Fairgrounds Marketplace
in Reading, PA. The 300,000 sq.ft. project is expected to be anchored by a 55,000 sq.ft.
grocery store and a national discount retailer. The site, which fronts State Route 222 and
is located adjacent to Fairgrounds Mall, will also include the development of
25,200 sq.ft., 16,800 sq.ft. (2) and 15,400 sq.ft. spaces, as well as a 1.5 acre
outparcel. Demographics include a five-mile population of more than 100,000 earning
$56,000 as the average household income. Petrie Dierman Kughn recently broke ground on phase II of Winchester
Commons in Winchester, VA. Phase II will be anchored by a 122,600 sq.ft. Target
store, a 28,000 sq.ft. TJ Maxx and a 19,235 sq.ft. PetsMart store. In-line
spaces of 6,500 sq.ft. and 5,500 sq.ft. will also be developed. Phase I of the 315,000
sq.ft. project is anchored by a 114,447 sq.ft. Home Depot store. The site is
located on Legge Boulevard between Patsy Cline Boulevard and Adams Drive and is located
adjacent to Apple Blossom Mall, a newly developed 234,000 sq.ft. Wal*Mart
Supercenter and a newly developed 130,000 sq.ft. Lowe’s Home Improvement
Warehouse. Demographics include a trade area population of 250,028 earning $43,627 as
the average household income. Phase II is expected to open later this year.
Lease Signings The Sembler Company (813-384-6000) leased 4,810 sq.ft. to Blockbuster Video, 5,220 sq.ft. to Dollar Tree and 2,600 sq.ft. to Pinch-A-Penny at Deltona Landings in Deltona, FL; 10,800 sq.ft. to Webb’s 99 Cents at Highland Square in Inverness, FL; 5,885 sq.ft. to Kress Stores at Juncos Plaza in Juncos, PR; 19,235 sq.ft. to PetsMart and 24,049 sq.ft. to Staples at Midtown Plaza in Atlanta, GA; 4,000 sq.ft. to Dollar Tree at Pasadena Shopping Center in South Pasadena, FL; 12,019 sq.ft. to Shoe Carnival at University Plaza in Tampa, FL and 26,160 sq.ft. to KFC/Taco Bell, 24,049 sq.ft. to Staples and 1,664 sq.ft. to Starbuck’s Coffee at West Marietta Retail Center in Marietta, GA. Boyd-Page Commercial Real Estate Services (713-877-8400) leased 9,750 sq.ft. to McLaren’s Antiques, a 34,000 sq.ft. ground lease to Bubbles Car Wash, 2,175 sq.ft. to Computer Renaissance and 3,500 sq.ft. to Earful of Books at Westheimer Court Shopping Center in Houston, TX; 30,000 sq.ft. to Aaron Rents in Houston, TX; 5,293 sq.ft. to Tony Ruppe’s Restaurant in Houston, TX and 11,157 sq.ft. to Prague in Houston, TX. Mid-America Asset Management Company (630-954-7300) leased 5,600 sq.ft. to China Buffet at Kedzie Plaza South in Chicago, IL; 1,442 sq.ft. to Score Learning Center at Market Meadows in Naperville, IL; 3,847 to GAT Creek at Town Square Wheaton in Wheaton, IL; 6,500 sq.ft. to Blockbuster Video at a former Crown Books space at Riverview Center in Chicago, IL; 4,733 sq.ft. to New China Restaurant at Hickory Palos Square in Hickory Hills, IL; 1,515 sq.ft. to Society Jewelers at Bannockburn Green in Bannockburn, IL and 1,050 sq.ft. to Hair Cuttery at Crossroads of Indian Head Park in Indian Head Park, IL. Harsch Investment Corp. (510-521-8100) leased 23,500 sq.ft. to OfficeMax, 7,000 sq.ft. to Designer Labels for Less and 2,800 sq.ft. to One Price Clothing at South Shore Center in Alameda, CA. Pliskin Realty & Development, Inc. (516-997-0100) leased 5,500 sq.ft. to New China Buffet at Columbia Park Shopping Center in North Bergen, NJ; 1,600 sq.ft. to Carvel in Holbrook, NY; 8,500 sq.ft. to Lucille Roberts in West Islip, NY; 3,000 sq.ft. to Wall Furniture Outlets at Plaza 200 Shopping Center in Carle Place, NY; 7,800 sq.ft. to Goodwill Industries in Bellmore, NY and 7,800 sq.ft. to Goodwill Industries in Patchogue, NY. Pace Properties, Inc. (314-968-9898) leased 5,600 sq.ft. to Bandana’s at Rhodes Plaza in St. Louis, MO and 23,500 sq.ft. to OfficeMax at Maple Valley Shopping Center in Farmington, MO. Newcastle Properties, LLC (847-480-9700) leased 5,775 sq.ft. to Blockbuster Video at University Plaza in Peoria, IL and 2,500 sq.ft. to Radio Shack at Columbia Plaza in Hammond, IN.
Exclusives Aries Deitch & Endelson (914-949-2800) is the exclusive representation for Omaha Steaks in Westchester County, NY and Fairfield, CT. Recently, the company leased space for Omaha Steaks in Darien, CT and Larchmont, NY. Omaha Steaks, an 80-year-old direct mail retailer, recently started a nationwide expansion into the retail storefront market and these two stores are their first in the Northeastern region. Staubach Retail Services (404-231-2232) represents Car Spa, Inc. in its nationwide expansion. Car Spa is a state-of-the-art vehicle wash and detail operation that offers retail sales and a food area along with an on-site oil, lube and cosmetic repair center and an operating gasoline driveway. Site criteria includes one to two acre land parcels fronting roads with high traffic counts and good visibility and access. Preferred sites should be located in regional/neighborhood trade areas with medium to high income demographics. Commercial zoning is required. CB Richard Ellis Retail Services (619-646-4718) has been named the property manager for Scripps Ranch Marketplace in San Diego, CA by Invesco Realty Advisors on behalf of the Hawaii Employee Retirement System. The 140,000 sq.ft. project is anchored by Vons, Longs Drugs, McDonald’s and Starbucks. Bosshardt Realty Services, Inc. (352-371-6100) has been named the exclusive agent for Magnolia Parke in Gainesville, FL. The mixed-use project will consist of retail, restaurant and office space. In phase I, leases have been negotiated with Blockbuster Video, Kazbour Grille, Schlotzsky’s Deli and Hungry Howie Pizza. H&R Retail (301-656-3030) has been named the exclusive leasing agent of Best Buy Metro Center in Springfield, VA. The 105,000 sq.ft. project, which is located directly across from Springfield Mall, is anchored by Best Buy, PetsMart and Zany Brainy. The company has also been named the exclusive leasing agent for Springfield Commons Shopping Center in Springfield, VA. The 270,000 sq.ft. project, which is contiguous to Best Buy Metro Center and adjacent to Springfield Mall, is anchored by Home Depot, Borders Books, Old Navy, Party City, Staples and Pier 1 Imports.
Lead Sheet Braun’s Fashions Inc. Apparel The 199-unit chain operates locations in AR, CO, ID, IL, IN, IA, KS, KY, MI, MN, MO, MT, NE, ND, OH, OK, PA, NY, OR, WA, WV and WY. The stores, selling women’s career and casual apparel, occupy spaces of 2,800 sq.ft. to 3,200 sq.ft. in regional malls. Plans call for as many as 50 openings in the coming 18 months. Expansion will take place in northern half of the U.S. Preferred demographics include a population of 150,000 within eight miles earning $42,000 as the average income. The company cites B. Moss, Northern Reflections, Paul Harris, Talbots and department stores as competition. Levtran Enterprises Apparel The 18-unit chain operates locations in MD and Washington, D.C. The stores, selling men’s apparel and athletic shoes, occupy spaces of 3,500 sq.ft. in downtown store fronts, freestanding facilities, regional malls and strip centers. Preferred anchors include supermarkets. Plans call for the opening of four units in the coming 18 months. Expansion will take place in MD, VA and Washington, D.C. Leases running five years, with two options running five years each, are typical and the company, which prefers a vanilla shell, prefers to locate its stores in ethnic markets. International Top Value Automotive, LLC Automotive The 42-unit chain operates locations in GA, IN, MI, OH and OR. The automotive service centers occupy spaces of 1,500 sq.ft. to 3,500 sq.ft. in freestanding facilities. Plans call for 10 openings in the coming 18 months. Expansion will take place in IL, IN, MI and OH. Leases running five years, with two options running five years each, are typical and the company, which is franchising, prefers a vanilla shell and cites Midas and Tuffy as competition. Tuffy Associates Corp. Automotive The 215-unit chain operates locations in FL, IL, IN, IA, KY, MI, MN, NE, NJ, NY, OH, PA, VA and WI. The automotive service centers occupy spaces of 3,680 sq.ft. in freestanding facilities. Plans call for 30 openings in the coming 18 months. Expansion will take place within the existing markets as well as in ND. Preferred demographics include a population of 35,000 within three miles earning $45,000 as the average income. Leases running 15 years are typical and the company is franchising. Family Christian Stores, Inc. Books The 306-unit chain operates locations nationwide. The stores, selling Christian books and merchandise, occupy spaces of 4,000 sq.ft. to 5,000 sq.ft. in power and strip centers. Preferred anchors include Wal*Mart, Target, Kohl’s, MJ Design’s, Michaels and Waccamaw Pottery. Plans call for 50 openings in coming 18 months. Expansion will take place nationwide. Preferred demographics include a population of 100,000 within five miles earning $35,000 as the average income. Leases running five to ten years are typical and the company prefers a vanilla shell. The stores average $230 psf in sales. Dollar Express Inc. Cards & Gifts The 24-unit chain operates locations in DE, MD, NJ and PA. The card and gift stores occupy spaces of 4,000 sq.ft. in regional malls and strip centers. Plans call for two openings in the coming 18 months. Expansion will take place in DE, NJ and PA. Leases running five years are typical and the company prefers a vanilla shell. Eagle Import & Export Inc. Cards & Gifts The two-unit chain operates locations in LA. The card and gift stores occupy spaces of 4,000 sq.ft. to 6,000 sq.ft. in regional malls and strip centers. Preferred anchors include T.J. Maxx and Target. Plans call for two openings in the coming 18 months. Expansion will take place in the existing market. Preferred demographics include a population of 100,000 within four miles earning $40,000 as the average income. Leases running 10 years are typical. Just A Buck Discount Store The 30-unit chain operates locations in CT, FL, NJ, NY, PA, TN and VA. The stores, selling general merchandise at a unit price, occupy spaces of 3,000 sq.ft. to 5,000 sq.ft. in strip centers. Preferred anchors include large discount retailers and supermarkets. Plans call for 15 openings in the coming 18 months. Expansion will take place nationwide. Leases running 10 years are typical and the company is franchising. Brooks Pharmacy Drug Store The 250-unit chain operates locations in CT, ME, MA, NH, NY, RI and VT. The drug stores occupy spaces of 10,000 sq.ft. in freestanding facilities and strip centers. Plans call for 30 openings in the coming 18 months. Expansion will take place in the Northeastern region. Preferred demographics include a population of 5,000 within one-half mile. Leases running 10 years are typical and the company cites CVS, Osco, Rite Aid and Walgreens as competition. The company recently entered the NY market with locations east of Albany and north of Westchester County. Lincoln Pharmacy of Milford, Inc. Drug Store The eight-unit chain operates locations in MA. The pharmacies occupy spaces of 9,000 sq.ft. to 16,000 sq.ft. in freestanding facilities, outlet, strip and value centers. Preferred anchors include T.J. Maxx, post offices, liquor stores, auto parts stores, video stores, restaurants and supermarkets. Plans call for as many as two openings in the coming 18 months. Expansion will take place in the existing market. Preferred demographics include a population of 25,000 within three miles earning $35,000 as the average income. Leases running up to 20 years are typical. The company prefers to locate its stores in second generation space and prefers to lease with an option to buy. Conn Appliance Electronics The 24-unit chain operates locations in LA and TX. The stores, selling appliances and home entertainment products, occupy spaces of 14,000 sq.ft. in freestanding facilities, power and strip centers. Plans call for six openings in the coming 18 months. Expansion will take place in the existing markets. Preferred demographics include a population of 50,000 within three miles earning at least $30,000 as the average income. Leases running six years, with four options running five years each, are typical and the company, which prefers a vanilla shell, cites Best Buy, Circuit City and Sears as competition. Theisen Supply Co. General Merchandise The 11-unit chain operates locations in IA. The general merchandise stores occupy spaces of 25,000 sq.ft. to 40,000 sq.ft. in freestanding facilities. Plans call for two openings in the coming 18 months. Expansion will take place in the existing market. Leases running five to ten years are typical and the company prefers a vanilla shell. Regis Corporation Hair Salon The 865-unit chain operates locations worldwide. The hair salons occupy spaces of 1,000 sq.ft. to 1,200 sq.ft. in regional malls. Plans call for 75 openings in the coming 18 months. Expansion will take place worldwide. Leases running 10 years are typical. The Container Store Inc. Home Furnishings The 19-unit chain operates locations in CA, CO, GA, IL, MD, TX and VA. The stores, selling storage and organization products for the home, occupy spaces of 25,000 sq.ft. in freestanding facilities, regional malls and specialty centers. Preferred co-tenants include high-end housewares retailers. Plans call for three openings in the coming months. Expansion will take place in Los Angeles and San Francisco, CA; Detroit, MI; Paramus, NJ or Manhattan and Long Island, NY. Preferred demographics include a population of 300,000 within five miles and at least one million within 10 miles earning at least $60,000 as the median household income. Leases running 10 years are typical. Dixieline Lumber Co. Home Improvement The 10-unit chain operates locations in CA. The stores, selling hardware and lumber, occupy spaces of 20,000 sq.ft. to 40,000 sq.ft. in freestanding facilities. Preferred anchors include Target. Plans call for one opening in the coming 18 months. Expansion will take place in the existing market. Preferred demographics include a population of 30,000 within three miles earning $30,000 as the average income. Leases running five years, with options, are typical and the company, which prefers a vanilla shell, cites Home Depot as competition. Christian Bernard Stores Corp. Jewelry The 18-unit chain operates locations in CA, FL, IL, MD, NJ, NY, NC, VA and Washington, D.C. The jewelry stores occupy spaces of 800 sq.ft. to 1,200 sq.ft. in regional malls. Preferred anchors include Nordstrom. Plans call for as many as four openings in the coming 18 months. Expansion will take place in TX. Preferred demographics include a population of 500,000 within five miles earning $75,000 as the average income. Leases running 10 years are typical. Shemoni Sterling Silver Jewelry The eight-unit chain operates locations in CA and NV. The jewelry stores occupy spaces of 600 sq.ft. in entertainment centers and regional malls. Plans call for at least two openings in the coming 18 months. Expansion will take place in the existing markets. Just For Feet, Inc. Shoes The 100-unit chain operates locations nationwide. The athletic footwear stores occupy spaces of 16,500 sq.ft. in freestanding facilities and power centers. Plans call for 25 openings in the coming 18 months. Expansion will take place in the Southern region. Shiekh LLC Shoes The 16-unit chain operates locations in CA. The shoe stores occupy spaces of 2,800 sq.ft. in regional malls. Plans call for eight openings in the coming 18 months. Expansion will take place in CA and NV. Preferred demographics include a population of 120,000 within five miles earning $50,000 as the average income. Leases running 10 years are typical and the company cites Foot Locker, Journey’s and Skecher’s as competition. Mail Boxes Etc. Specialty The chain operates 75 units in WA and more than 3,300 worldwide. The stores, offering postal and business services, occupy spaces of 1,400 sq.ft. to 1,600 sq.ft. in power, specialty and strip centers. Preferred anchors include drug stores and supermarkets. Plans call for 15 openings in the coming 18 months. Expansion will take place in WA. Leases running 10 years, with options, are typical and the company, which cites Kinko’s and Post Net as competition, is franchising. Penzeys Ltd. Specialty The five-unit chain operates locations in CT, IL, MN and WI. The stores, selling seasonings and spices, occupy spaces of 2,500 sq.ft. to 3,000 sq.ft. in freestanding facilities. Preferred anchors include Barnes & Noble, Pier 1 Imports and Williams-Sonoma. Plans call for three openings in the coming 18 months. Expansion will take place in CT, IL, MA, NY or WI. The company prefers a vanilla shell. Ebrtos Inc. Sporting Goods The 10-unit chain operates locations in AZ, IL, KS and MO. The stores, selling soccer-related merchandise, occupy spaces of 2,800 sq.ft. to 3,200 sq.ft. in power centers. Preferred anchors include Kmart, Wal*Mart, Borders, Bed Bath & Beyond, Home Depot, Toys’ R Us, Kids ‘R Us, Sports Authority, Walgreens, OfficeMax, Office Depot and fast food restaurants. Plans call for three openings in the coming 18 months. Expansion will take place in AZ, KY, NM, OK or TN. Preferred demographics include a population of 250,000 within five miles earning $45,000 as the average income. Leases running five years are typical and the company prefers a vanilla shell with a build-out allowance. Mont Blac North American Stationery The 27-unit chain operates locations in CA, FL, GA, HI, IL, MA, MI, NJ, NY, NC, TX and WA. The stores, selling writing instruments, occupy spaces of 600 sq.ft. in downtown store fronts, regional malls and specialty centers. Preferred anchors include Neiman Marcus, Nordstrom and Saks. Plans call for eight openings in the coming 18 months. Expansion will take place nationwide. Preferred demographics include a population of 75,000 within five miles earning $75,000 as the average income. Leases running 10 years are typical.
Real Estate Professionals Making The News Grubb & Ellis (847-390-8040) announces that Tracy Dauksavage has joined its Retail Services Group. Dauksavage will be focusing on the interests of owners and tenants in the downtown area of Chicago. www.grubb-ellis.com The Ross Realty Group, Inc. (727-725-2800) announces that Arlene Berdick has joined the company as director of management services. Berdick has more than 10 years experience in commercial real estate in FL and TX and has been involved in property management for the past six years. www.rossrealty.com The Good Guys, Inc. (650-615-5000) announces that Robert Gunst is resigning as president and chief executive officer, effective June 30. The Good Guys operates 79 stores in CA, NV, OR and WA. www.thegoodguys.com Ruby Tuesday, Inc. (423-379-5700) announces that Elizabeth Nichols and James Haslam, III have joined the company’s board of directors. Nichols is the president of JDN Realty Corp. and has nearly 22 years experience in the retail real estate industry. Haslam is the CEO of Pilot Corporation, a national retail operator of convenience stores and travel centers with locations in 36 states. Gadzooks, Inc. (972-991-5500) announces that David Mangini, president and COO has left the company. Mangini was hired last August after sales fell and the company was forced to discount prices which led to lower earnings and a collapse in its stock prices. Mangini resigned as a result of "differences in who the customer was and how to manage the business." Gadzooks operates 316 mall-based teen apparel stores in 32 states. The Dartmouth Company (617-262-6620) announces that David Palandjian has joined the company. In his new position Palandjian will be assisting smaller retailers throughout New England. Prior to joining Dartmouth, Palandjian worked as a project manager at Intercontinental Developers. Crown American Realty Trust (814-536-4441) announces that its board of trustees has elected Mark Pasquerilla chairman, CEO and president. Mark succeeds his father, Frank Pasquerilla, who passed away in April at the age of 72. Mark joined Crown America in 1981 as vice president and special assistant to the president. He was then named executive vice president of operations and oversaw the controller and administration departments in 1987. He was named president in 1990 and vice-chairman and president in 1998. www.crownam.com Einstein/Noah Bagel Corp. (303-202-3326) announces the appointment of Paula Manley as chief financial officer. Manley replaces W. Eric Carlborg was resigned to become CFO of Authorize.Net Corporation. Manley has been a vice president of the company since February 1998. Prior to that, she was CFO of one of the company’s former area developers. In addition, she has served as controller of the franchise division of Burger King Corp. www.enbc.com Developers Diversified Realty (216-755-5500) announces that Richard Russell has been appointed regional operations manager. In his new position, Russell will oversee the shopping center operations for DDR’s shopping centers in the Columbus, OH market. Prior to joining DDR, Russell served as manager of construction, facilities and maintenance for Sun Television. Johnson Capital Group, Inc. (949-660-1999) announces that Patrick Barkley has joined the company as assistant vice president. In his new position, Barkley will be originating loans on all types of real estate through capital market sources, with an emphasis on retail, office, industrial and mobile home parks. He previously was with WMF Robert C. Wilson and PICOR Commercial Real Estate Services. Borders Group, Inc. (734-477-1100) announces that its chief executive officer, Philip Pfeffer, has resigned after only five months on the job. Pfeffer will be replaced by company chairman and former CEO Robert DiRomualdo. In other news, the company has appointed Kathy Winkelhaus as president of Borders Group Stores, a newly created position. Ronald Staffieri has been named to replace Winkelhaus as president of Waldenbooks. Cedric Vanzura has been named president of Borders Online. He previously served as senior vice president of electronic commerce and fulfillment services. Katz & Associates Corporation (914-735-2592) recently opened an office on Boca Raton, FL. The office will be managed by Kevin Higgins, senior vice president, and Marty Hennessy, vice president. Higgins is formerly vice president of Katz & Associates for the Northeast Region and prior to joining the firm, served as real estate manager for Borders Books. Hennessy, who joins Katz & Associates as vice president, has a strong background in disposition and renegotiation for both roadside and mall accounts, in addition to market research and analysis. Prior to his appointment at Katz, he spent over 20 years at Hallmark, working in six markets and serving in a variety of roles. The expansion enhances the firm’s ability to provide retail real estate representation and advisory services for local, regional and national retailers in the Southern region. ComNet Realty (561-999-0006) announces that Albert Shore has joined the company. In his new position Shore will be responsible for business development for the company, which includes procurement and customer relations with retailers seeking off balance sheet financing and development of new stores nationwide. Shore has more than 30 years of retail ownership, management and sales experience for his own retail chain of supermarkets in MA and RI which was subsequently acquired by Star Market, along with four years of business development for Lupo International Realty and DRG Investments. JPA Real Estate (630-990-8200) announces that Jeff Cermak has joined the company as a principal. In his new position, Cermak will be responsible for new business development as well as leasing at Fairplain Plaza, a 535,000 sq.ft. power center currently under development in Benton Harbor, MI. Cermak’s experience includes product and tenant representation, site selection, lease negotiations and acquisition and disposition. He currently represents numerous national clients including Foot Action USA, Thomas Moser Furniture, Ziebart International and Big Buck Brewery and Steakhouse. Cermak is also responsible for the development and marketing of a drug store anchored neighborhood center in southwest Chicago. Cermak previously was associated with CB Richard Ellis where he represented McDonnell Douglas, St. Paul Federal Bank for Savings, Bank of New York/Trotter Kent and the Fortis Company in shopping center transactions. Bankruptcy News Garden Botanika (425-881-9603) recently filed for Chapter 11 protection. Pending court approval, the company plans to close 95 of the 245 stores it operates in 34 states. Most of the closings will take place in the Midwestern and Southeastern regions. The company also plans to lay off an estimated 200 full-time and 1,000 part-time employees. The company will receive $7 million in short-term financing from BankBoston so it can continue operating during its reorganization. Most of the company’s problems can be traced to its rapid expansion since its initial public offering of stock in 1996. Since that time, the company has opened more than 100 stores nationwide. Room Plus, Inc. (201-523-4600) recently filed a voluntary Chapter 11 petition and obtained a $1.5 million debtor-in-possession loan facility from David A. Belford. The financing will enable the company to continue manufacturing and delivering its products in a timely manner. The financing will also be used as part of the reorganization process. David Belford is also owed $1.5 million as a result of a loan made by him to the company in July 1998. It is anticipated that the $1.5 million may be converted to equity as part of a successful reorganization of the company. The company manufacturers its own line of furniture and sells it through 16 stores in NJ and PA. www.roomplus.com Solo Serve Corporation (210-662-6262) has completed the liquidation of all of its inventory and has sold some of its store leases. Those leases not sold or assigned have been rejected in accordance with applicable provisions of the bankruptcy code. The company’s only assets remaining unsold consist of office equipment, furniture and computers; warehouse equipment and fixtures; store fixtures; and other miscellaneous assets. The company has also been granted a motion to terminate registration of securities, and has filed a Form 15 with the Securities and Exchange Commission and its stock will no longer be available on the Nasdaq exchange. Currently, the company is resolving disputed claims in the bankruptcy court. After resolution of disputed claims and after payment of administrative claims and other priority claims, the company intends to distribute any remaining funds to unsecured creditors.
Closings Raschel’s Inc. (508-543-8885), an off-price children’s apparel retailer, plans to close its two stores in Foxborough and Westborough, MA. The 25-year-old company cited intense competition from both traditional retailers, catalog retailers and the internet as the reason for its demise. Peterson’s 5&10 (904-398-8440) plans to close its last remaining dime store in Jacksonville, FL. during July. The company cited several years of financial losses as the reason for the closure. At one time, the company operated two stores. The second was located in San Marco, but was closed and consolidated with the Jacksonville unit during 1995. Piccadilly Cafeterias (504-293-9440) plans to close its 10,000 sq.ft. Morrison’s Cafeteria at SouthPark Mall in Charlotte, NC this month. The company cited that the mall needed the space for expansion and that the rent was becoming too expensive as the reasons for the closure. The closing will mark Morrison’s exit from the Charlotte market. A unit at Eastland Mall closed during Fall and a restaurant at Eastridge Mall in Gaston closed in 1997.
Space Place Florida Ocala- Baseline Plaza Shopping Center is a 44,000 sq.ft.
shopping center has spaces of 975 sq.ft., 1,300 sq.ft., 2,600 sq.ft. and 16,000 sq.ft.
available for lease. Demographics include a three-mile population of 32,612 earning
$38,365 as the average income. Retailers in the area include Publix and Winn-Dixie
Marketplace. Georgia Augusta- Peach Orchard Commons is anchored by Bi-Lo
Grocery. The 77,732 sq.ft. project has spaces of 1,400 sq.ft. and 9,100 sq.ft.
available for lease. Demographics include a three-mile population of 36,798 earning
$39,526 as the average income. Iowa Algona- Algona Plaza is anchored by Hy-Vee Food
Stores. The 57,701 sq.ft. project has 11,500 sq.ft. of space available for lease.
Demographics include a three-mile population of 6,887 earning $33,750 as the average
income. Ohio Dublin- Dublin Sawmill Centre is anchored by Lone
Star Steakhouse. The 75,000 sq.ft. project has spaces of 1,500 sq.ft., 1,600 sq.ft.,
3,200 sq.ft., 3,500 sq.ft., 4,200 sq.ft. and 10,700 sq.ft. available for lease.
Demographics include a three-mile population of 81,426 earning $63,451 as the average
income. Retailers in the area include Meijer’s, Target, Gaylans Sporting Goods
and Sun Center. Pennsylvania Columbia- Columbia Shopping Center is anchored by Weis
Market, AutoZone and Rite Aid. The 123,890 sq.ft. project has spaces from 1,500
sq.ft. to 19,252 sq.ft. available for lease. In Wind Gap- Wind Gap
Shopping Center has an anchor position of 111,800 sq.ft. in its 114,000 sq.ft. project
available for lease. Wisconsin Appleton- T.J. Maxx Plaza is anchored by T.J. Maxx,
Jo-Ann Fabrics, Party City and Catherines. The 76,000 sq.ft. project has spaces
of 2,200 sq.ft. and 3,000 sq.ft. available for lease. |