RetailReview
A publication of Mid-America ® Re al Estate Group
FAL L 2 0 1 3
Site Selection Strategies:
Business as Usual?
In the past five years, the real estate
market has been in recovery mode and
it seems that things are almost back to
where they were in 2008. But is
everything the same? Have tenants
changed their criteria for the number of
stores they plan to open? Do they look
at sites differently now than pre-2008?
Below are some insights from
Mid-America’s tenant experts as to
how the recovery has influenced the
retail trades.
According to Mid-America Broker
(Mich.) Susan Acciaioli, “Co-tenancy
clauses continue to be one of the
biggest sticking points in negotiating a
deal. For national retailers, obtaining a
co-tenancy clause makes it easier to get
deals approved. But landlords deem
them a liability.” She says that, “Typically
language can be negotiated to satisfy
the retailer’s ‘worst case scenario,’ and
at the same time provide the landlord
with replacement tenant flexibility.”
“One fundamental that seems back in
vogue is that successful retail
development follows, not leads,
residential population and growth,”
says Jeff Kuchman, Mid-America
Principal and Director of Tenant
Brokerage. “Most retailers and projects
that continue to struggle exist on the
fringes, where stores jumped out in
front of rooftops in an attempt to drive
growth plans.”
Location Scrutiny
More Reserved Retailers
With that in mind, the lessons of recent
years are apparent in retailers’ decision
making process as the market
continues to gain momentum. One
example is concern about possible
turnover in a potential center.
In the still-changing economy, it’s more
important than ever for brokers to be
aware of potential pitfalls in helping
clients with site selection. Mid-America
Principal (Minn.) Mike Sims says,
“Tenants who were active during the
recession, albeit few, were fortunate
that there was not much competition.
Overall activity is improving now, but
retailers are still very selective on
locations. Retailers are scrutinizing
each and every site and deal.”
Mid-America Principal (Mich.) Tony
Schmitt says that when retailers are
looking for a site, they must ask
themselves if there are new
development options. “We’ve seen the
majority of existing A space leased, and
there is opportunity for new
construction,” he says. “Smaller retail
tenants are dictating the location of
these sites and will pay for a strong
location, especially if it out positions
their competitor. Larger developments
are still on the horizon as they require a
critical mass of retailers.”
Exit Strategy
Although the market is steadily
improving, it is still important to be
aware of possible changes in the future.
Mid-America Principal and Vice
President Dan Tausk says, “Retailers
need to be cognizant of an exit strategy
on each individual site more than ever
before. Kick out clauses have become a
big issue for both tenants and landlords
trying to protect themselves from
mistakes while giving each side some
flexibility to move on.”
The retail real estate market will
inevitably continue to change, and site
selection strategies will have to evolve
to keep up with those changes. Having
an experienced broker in your corner
with the most comprehensive, current
market knowledge may be one of the
best strategies of all.
ICSC Chicago
Deal Making
October 2 – 3, 2013
Navy Pier
600 East Grand Avenue
Chicago, IL 60611
Stop by and visit us at the
Mid-America Real Estate Group
at Booth #911 or at the ChainLinks
Booth #711.
Illinois Office:
One Parkview Plaza, 9th Floor
Oakbrook Terrace, Illinois 60181
630.954.7300
Chicago Office:
435 N. Michigan Avenue, Ste 2009
Chicago, Illinois 60611
630.954.7327
Wisconsin Office:
648 N. Plankinton Avenue, Ste 264
Milwaukee, Wisconsin 53203
414.273.4600
Minnesota Office:
5353 Wayzata Boulevard, Ste 650
Minneapolis, Minnesota 55416
952.563.6600
Michigan Office:
6230 Orchard Lake Road, Ste 230
West Bloomfield, Michigan 48322
248.855.6800
www.midamericagrp.com
Illinois Activity
MAAMCO Leasing Activity
2
Principal Richard Spinell reports the following new and renewal retail leases recently
completed by Mid-America Asset Management (MAAMCO) leasing representatives:
Shopping CenterTenantsTotal Sq. Ftg.
Shopping CenterTenantsTotal Sq. Ftg.
180 N. Jefferson
Chicago, IL
Nail 2NE1, Subway
2,643
Ogden Mall
Naperville, IL
Lotus Terrace
1,800
1480 N. Orchard Road
Aurora, IL
Illini Legal Services
1,120
Parker Square
Minook, IL
Full Steam Staffing
1,240
Asbury Plaza
Dubuque, IA
Bed, Bath & Beyond, Dress Barn, Maurices, Petco
47,202
Parkview Plaza
Chicago, IL
Fred Loya
Aurora Marketplace
Aurora, IL
DuPage Medical Group
4,200
Plaza del Prado
McDonald’s, Zoup!
Glenview, IL
7,500
Bloomingdale Square
Bloomingdale, IL
Blooming Nails
2,656
Poplar Creek Crossing
Hoffman Estates, IL
Dunkin Donuts, PJ’s Avon Beauty Center
3,628
Brewster Creek Square
Bartlett, IL
Sherwin Williams
3,500
Prairie Ridge West
Pleasant Prairie, IL
Cheddar’s
Broadway at Surf
Chicago, IL
Bed, Bath & Beyond, Sprint, TJ Maxx The Quarry
Hodgkins, IL
Bedding Experts, Cost Cutters
Broadview Village Square
Broadview, IL
Vintage Cleaners
Randall Road-College Green
Elgin, IL
Planet Fitness
Burr Ridge Village Center
Burr Ridge, IL
Red Mango
1,658
Rice Lake Square
Pure Barre, Pinwheel Toys, Smile More Dental
Wheaton, IL
California & Armitage
Chicago, IL
Sally Beauty
1,475
River Forest Town Center
River Forest, IL
LOFT, Tilly’s, Ulta
Carillon Court
Romeoville, IL
Stella’s
2,718
Scharrington Square
Schaumburg, IL
Sally Beauty Supply
Carillon Square
Glenview, IL
Advocate Health Care, Athletico, Dickey’s BBQ Pit, Onomoli,
Prime Devices Corp.
Schaumburg Plaza
Schaumburg, IL
JD Kids Ice Cream
Church Street Plaza
Evanston, IL
Pure Barre, Second Time Around
2,970
Shops at State Place
Chicago, IL
European Wax Centers
1,778
Cicero Annex
Chicago, IL
Sleepy’s
6,075
Southport Plaza
Kenosha, WI
Pier 1 Imports
9,981
Clark-WellingtonFedEx
Chicago, IL
5,006
Surrey Ridge
Arlington Heights, IL
Wasabi
1,750
Crossroads at Briargate
South Elgin, IL
Molly’s Deli
1,546
Town Square
Schaumburg, IL
Creative Touch Interiors, Lester Starr Jewelers
3,911
Dempster Plaza
Niles, IL
Advocate Lutheran General
14,700
Village Crossing
Niles, IL
Radio Shack, Subway
3,712
Dorchester Commons
Chicago, IL
Red Snapper
Village Square of Bradley
Bradley, IL
Hair Works
Evanston Plaza
Evanston, IL
DaVita, Papa Romeo’s Pizza, US Army & Marines
Village Square of Northbrook
Northbrook, IL
Verizon Wireless
The Fresh Market Center
Glen Ellyn, IL
Firehouse Subs, Great Clips
Fullerton Plaza
Chicago, IL
Chase, Party City
Garden Market
Western Springs, IL
71,850
630
16,515
1,500
12,911
3,250
940
2 acres
5,050
20,924
6,560
20,515
1,245
900
800
2,464
Webster Place
Chicago, IL
Barnes & Noble, Pet Stuff
15,800
Westmont Village
Westmont, IL
Rusco Windows
1,808
George’s Hair Design, Yumz Frozen Yogurt
3,477
Willard’s Corner
North Aurora, IL
Sears Appliance
5,000
Gateway Centre
Chicago, IL
Dunkin Donuts, T-Mobile
4,204
Willow Creek
Glenview, IL
Sleepy’s
6,507
Geneva Commons
Geneva, IL
Aveda/Annabella Salon & Spa, The Children’s Place, Claddagh Irish Pub,
Destination Maternity, Express, Forever 21, Massage Envy, New York & Co.,
Sleep Number, Soma Intimates
Windsor Pointe
Kenosha, WI
Lavish Spa
1,395
Glenbrook Marketplace
Glenview, IL
EcoGym
8,700
The Grove
Buffalo Grove, IL
Pastabilities
1,600
High Point Square
Romeoville, IL
Laredo’s Hospitality
1,750
Hoffman Village
Hoffman Estates, IL
Goodwill
Kensington North
Plainfield, IL
Verizon Wireless
2,763
LaGrange Crossing
LaGrange, IL
Pure Barre
1,612
Main Street Commons
St. Charles, IL
Embroid Me, World Market
Market Meadows
Naperville, IL
Heartland Blood Center, SAS Comfort Shoes
4,865
Marshfield Plaza
Chicago, IL
Skechers
7,497
McHenry Commons
McHenry, IL
Family Video
4,200
Midway Square
Chicago, IL
Hanway Insurance
1,102
Milwaukee & Concord
Chicago, IL
Presence Healthcare, UPS Store
4,627
Mount Prospect Plaza
Mt. Prospect, IL
Famous Footwear
5,838
Naperville Crossings
Naperville, IL
C2 Education, Nothing Bundt Cake
4,342
North Lake Commons
Lake Zurich, IL
The UPS Store
1,411
Oakland Place
Dekalb, IL
Sears
9,290
54,522
20,630
19,675
The Mid-America Asset Management team can be reached at 630.954.7300.
MAAMCO News & Notables
Michelle Panovich to Receive Lifetime Industry
Leadership Award
Mid-America is proud to announce that C. Michelle Panovich, MAAMCO
Principal and Executive Vice President, will be honored with the Lifetime
Industry Leadership Award at the 12th annual Real Estate Gala hosted
by the Marshall Bennett Institute of Real Estate at Roosevelt
University on November 7, 2013.
Michelle has more than 30 years of experience
in real estate construction, development and
management. Among her many accomplishments,
she has directed the redevelopment of The Streets
of Woodfield in Schaumburg and Brickyard
Mall in Chicago, and the retail revitalization of
downtown LaGrange and Park Ridge.
According to Jon DeVries of Roosevelt University,
“Michelle’s leadership and contributions to the
profession, community and our school have
been significant.”
31,950
Report from Illinois Brokers
MAREC Activity
Principal Jeff Kuchman reports the following transactions recently handled by
Mid-America Real Estate Corporation (MAREC) brokers:
PROJECT Leasing
LocationTenant
3
Tenant Representation
Sq. Ftg.
Broker
Chicago:
TenantLocationBroker
Aldi
Big Rapids, MI; Galesburg, IL
Mike Phillips, Andy Bulson
Peter Scannell
Associated Bank
Sturgeon Bay, WI
Peter Scannell
Matt Gould, Paul Bryant, Dan Tausk
Aspen Dental
Alton, IL; Glen Carbon, IL
Willie Hoag
Andrew Becker
Athletico
Greenfield, WI; Orland Park, IL; Oswego, IL
Peter Scannell
1,340
Paul Bryant, Dan Tausk, Andrew Becker
Buffalo Wild Wings
McHenry, IL
Brian Adams, Steve Frishman
Buffalo Wild Wings
9,462
Paul Bryant, Dan Tausk, Andrew Becker
Camper
Chicago, IL
Paul Bryant, Dan Tausk
2500 W. North Avenue
Dental Magic
1,900
Stephen Ansani, Paul Bryant, Dan Tausk
Chick-fil-A
Chicago Ridge, IL; Elmhurst, IL; Rockford, IL
Steve Frishman, Greg Bayer
3404 N. Southport
Jeni’s Splendid Ice Cream
1,600
Matt Gould
Chili’s
Bradley, IL
Steve Frishman, Brian Adams
5300 N. Broadway
Pizza Hut
Sleepy’s
1,260
8,625
Peter Caruso, Andrew Becker
Chipotle Grill
Highland, IN; Norridge, IL
Steve Frishman
California & Armitage
Sally Beauty
The UPS Store
1,475
1,475
Matt Gould, Stan Nitzberg
Elsie’s Place
Oaklawn, IL
Stephen Ansani
EP Clock Tower
East Peoria, IL
Andy Bulson, Mike Phillips
Webster & Lincoln
Mrs. Greens Natural Market
Express
Chicago, IL
Greg Bayer, Paul Bryant, Dan Tausk
Webster Place
Pet Stuff
1,200
Andrew Becker
Francesca’s Collections
Chicago, IL
Matt Gould
Wicker Park Commons
Vitamin Shoppe
3,200
Greg Bayer, Dan Tausk, Paul Bryant
G Spot Salon
Chicago, IL
Michael Wexler
44 S. Washington St.
Hinsdale, IL
China Spring Restaurant
2,964
Peter Caruso, Paige Winkels
417 E. Route 173
Antioch, IL
Blackhawk Restaurant Group
1,393
Kevin McLoughlin
737 Chicago Avenue
Evanston, IL
Pie and Coffee
2,608
Peter Caruso, Stan Nitzberg, Paige Winkels
LA Fitness
Chicago, IL; Glenview, IL Jeff Kuchman, Greg Bayer,
Willie Hoag, Dan Tausk, Paul Bryant
1080 S. Roselle Rd.
Schaumburg, IL
Title Max
2,400
Peter Caruso, Paige Winkels
Lowe’s (pad site disposition)
1315 W. North Avenue
Melrose Park, IL
Olive Garden
1518 Market St.
Des Plaines, IL
Elite Fitness & Training
Tap House
218 W. Washington
Fifth Third Bank
980
556 W. Diversey
Aligned Modern Health
835 W. Wilson
property sale .63 acre
1560 N. Damon
Stan’s Donuts
1832 N. Clybourn
2,400
20,000
Paul Bryant, Dan Tausk, Andrew Becker
Illinois & Beyond:
55,000
11,619
6,720
Icebreaker
Chicago, IL
Greg Bayer, Stan Nitzberg,
Paul Bryant, Dan Tausk
Jason’s Deli
Bloomington, IL; Normal, IL
Willie Hoag, Brian Adams
Jeni’s Splendid Ice Cream
Chicago, IL
Andrew Becker
Kate Spade
Chicago, IL
Greg Bayer, Stan Nitzberg
La Colombe Torrefaction
Chicago, IL
Michael Wexler
Galesburg, IL
Jeff Kuchman, Paige Winkels
Lowe’s (surplus asset disposition) Ionia, IL
Jeff Kuchman, Paige Winkels
Steve Frishman, Brian Adams
Maggiano’s
Steve Frishman
Andrew Becker, Peter Caruso
Massage Envy
Algonquin, IL; Highland, IN; Plainfield, IL
Peter Scannell, Steve Frishman,
Brian Adams
Nordstrom Rack
Chicago, IL; Skokie, IL
Jeff Kuchman, Stan Nitzberg,
Dean Welch
Vernon Hills, IL
2825 Rockingham
Ripple & Frenell Auto Sales
14,860
Davenport, IA
Peter Caruso, Mike Phillips, Andy Bulson,
Paige Winkels
7130 East State Street
Rockford, IL
Chick-fil-A
Jeff Kuchman
Pier 1 Imports
Chicago, IL; Schererville, IN; Oak Brook, IL; Wheaton, IL
Andy Bulson, Mike Phillips
Harlem Irving Plaza
Norridge, IL
Panera Bread
Steve Frishman
Ross Dress For Less
Chicago, IL
Andy Bulson, Mike Phillips,
Paul Bryant, Dan Tausk
Merrillville Plaza
Hobart, IN
Affordable Dentures & Crowns 3,172
JoAnn Fabrics
26,157
Peter Caruso, Jeff Kuchman, Paige Winkels
Massage Envy
Physicians Immediate Care
Vitamin Shoppe
3,300
3,290
3,012
Steve Frishman
Algonquin, IL; Bannockburn, IL; Batavia, IL; Berwyn, IL; Bolingbrook, IL; Chicago, IL (9 locations); Crystal Lake, IL; Evergreen Park, IL; Frankfort, IL; Glenview, IL;
LaGrange, IL; Lake Zurich, IL; Naperville, IL;
Oak Brook, IL; Orland Park, IL; Vernon Hills, IL
Jeff Kuchman, Willie Hoag,
Greg Bayer, Dan Tausk
NEC Indianapolis Blvd & Main St. Highland, IN Sleepy’s
NEC Rand Rd. & Rte. 22
Lake Zurich, IL Sleepy’s
Vitamin Shoppe
4,200
3,000
Peter Caruso, Paige Winkels
Sportclips
Chicago, IL (2 locations); Elgin, IL; Peter Scannell, Stephen Ansani,
Elk Grove Village, IL; LaGrange, IL; Orland Park, IL; Matt Gould, Dean Welch
Rockford, IL; South Barrington, IL
.99 acre
4,000
NEC Weber & Airport Rds. TJ Maxx
22,500
Romeoville, IL
Peter Caruso, Steve Frishman,
Kevin McLoughlin, Paige Winkels
NWC Northwest Highway
& Rte. 31
Crystal Lake, IL
Peter Caruso, Brian Adams, Steve Frishman
Texas Roadhouse
6,872
NWC 159th & La Grange
Orland Park, IL
Games Workshop
862
The Shops at Fox River
McHenry, IL
Buffalo Wild Wings Torrid
SWC Grand Ave. & Hunt Club Heartland Dental
Gurnee, IL
Peter Caruso, Paige Winkels
5,687
2,500
Kevin McLoughlin, Peter Caruso
3,000
Peter Caruso, Steve Frishman
XOCO Frontera
Chicago, IL
Paul Bryant, Dan Tausk,
Peter Scannell
For site and location criteria for these clients, please contact Mid-America Real Estate
Corporation at 630.954.7300.
Illinois Market Highlights
Urban Grocery Study Shows Gourmet
Sector on the Rise in Chicago
by Dan Tausk and Nancy Fetsch
The Mid-America Urban Team has offered the Chicago retail
market food for thought with its second biennial Urban Grocery Study,
authored by principal and vice president Dan Tausk along with analyst
Nancy Fetsch.
The study, released in mid-September, notes a 60% increase in new square
footage devoted to the gourmet sector since the 2011 study. Gourmet also
saw a 41.94% increase in the number of new store openings. The near
future is also being led by gourmet.
Continued on page 8…
Wisconsin Activity
4
Project Leasing Report
Wisconsin Market Highlights
Principals Daniel J. Cohen and Daniel E. Rosenfeld report the following transactions
recently handled by the Mid-America Real Estate-Wisconsin team:
The greater Milwaukee area has seen demand for small shop space, with
junior anchor space extremely competitive in the last several quarters.
For quality sites in high-demand trade areas, national retailers have been
forced to “pay up” to make deals, something that was rarely seen in this
market in the past.
Project Leasing
Property/Location
Retailer
Sq. FtG.
Bayshore Town Center
Glendale, WI
Ulta Beauty
10,277
Brady Place
Milwaukee, WI
GNC
Subway
1,440
1,230
Ryan Holzhauer
Brooktown Plaza
Brookfield, WI
Cycle Gear
3,432
Teresa Shemitis
Brownstones Shopping Center
Brookfield, WI
Blaze Pizza
2,650
Andrew Prater
Concord Corporate Center 4
Mequon, WI
2nd Wind Exercise Equipment
4,410
Teresa Shemitis
Delavan Crossings
Delavan, WI
rue 21
5,200
Andrew Prater, Teresa Shemitis
Former Circuit City
Grand Chute, WI
Sears Outlet
45,572
Ryan Holzhauer, Dan Rosenfeld
Germantown Market Place
Germantown, WI
Bellisima Spa
Heritage Village Mall
Beaver Dam, WI
Staples
Horizon Plaza
Appleton, WI
maurices
4,664
Dan Rosenfeld
Oak Creek Commons
Oak Creek, WI
Express Cleaners
Yen Hwa Chinese Restaurant
1,081
2,028
Andrew Prater
Pine Tree Plaza
Janesville, WI
Dress Barn
Eyemart Express
8,184
3,500
Teresa Shemitis, Andrew Prater
Ruby Isle
Brookfield, WI
Kid Spa Salon & Parties
Serenity Spa Salon & Boutique
1,813
3,220
Teresa Shemitis
The Shoppes at Fox River
Waukesha, WI
Hobby Lobby
55,000
Ryan Holzhauer
Shoppes at Prairie Ridge
Pleasant Prairie, WI
Affordable Dentures & Crowns
3,127
Teresa Shemitis
The Shops of Grand Avenue
Milwaukee, WI
Jake’s Deli
Southport Plaza
Kenosha, WI
Pier 1
1,159
.29 acre
771
9,981
Broker
Teresa Shemitis, Dan Rosenfeld
Joe Kleiman
Joe Kleiman, Dan Rosenfeld
Ryan Holzhauer, Teresa Shemitis
Teresa Shemitis, Barb Kading
Tenant Representation
TenantLocationBroker
Blaze Pizza
Brookfield, WI
ROJECT
OVERVIEW
- PHASEDan
1Cohen, Dan Klister
Buffalo Wild Wings
Manitowoc, WI; Racine, WI
Adam Dreier
Cherry Berry Yogurt Bar
Oshkosh, WI
Tony Colvin
Cycle Gear
Brookfield, WI
Tony Colvin
REGIONAL
SHOPPING
DESTINATION
Grace & Shelly’s Cupcakes
Whitefish Bay, WI
Dan Cohen
th
Staples
Beaver which
Dam, WI
Mayfair
Collection’s first phase,
broke ground on April Dan
16Cohen
, 2013,
Jimmy
John’s
Delavan,
WI; Glendale, WI
Adam
Dreier
sists of
adaptively
repurposing
functionally
obsolete warehouse
buildings
Menchie’s45
Delavan, WI; Sheboygan,
Adam through
Dreier
ng Highway
into new, contemporary
retailWI
environments that,
Outpost Natural Foods Cooperative Mequon, WI
Dan Cohen
que design,
celebrate the property’s industrial heritage. With commitments
7-Eleven
Milwaukee, WI
Tony Colvin, Dan Cohen
m strong
national retailers, this
270,000 square foot initial phase
will serve
Starbucks
Lake Delton, WI; Sussex, WI
Tony Colvin
he catalyst for future mixed-use development for the balance of the 69
es at the “Burleigh Triangle” and along the greater Burleigh corridor for years
Land and Building Sales
ome.
PropertyLocation
SizeBroker
Tenant Expansion: Active to Very Active
Notable retailers pushing for new units throughout Wisconsin include
Meijer, Buffalo Wild Wings, Starbucks, Panda Express, Planet
Fitness, Ulta, Blaze Pizza, Discount Tire, Dollar General, Dunkin
Donuts, and Heartland Dental.
Redevelopments: The Best Bet for Retailers
With limited ground-up activity, retailers have turned to redevelopments of
retail and non-retail sites for expansion opportunities. Notable projects in
the Wisconsin market include:
Mayfair Collection – One of Milwaukee’s most dynamic projects in over
ten years has started to take center stage. Phase I of this multi-phase HSA
Commercial development is currently under construction, and will include
over 265,000 SF of retail space at Highway 45 and Burleigh Street. Space is
scheduled for delivery in January of 2014 with an April grand opening
planned. Key tenants include Nordstrom Rack, Saks Fifth Avenue Off
5th, Dick’s Sporting Goods, Old Navy, and Ulta.
The Corners – This proposed project in Brookfield, Wisconsin will be
anchored by a 140,000 SF Von Maur and will include an additional
243,000 SF of retail and restaurant shops. Hopkins, Minnesota-based
CarVal Investors, LLC, an independent subsidiary of Cargill, Inc., and
Chicago-based real estate investment company M & J Wilkow, Ltd.,
were recently named as equity partners in the development, along with
Milwaukee-based hotel and theater operator Marcus Corp. The project is
slated for a late 2015 opening.
Drexel Town Square (Spotlighted in the Spring 2013 Retail Review) –
Located in the south suburb of Oak Creek, this project is continuing to move
forward with the TIF agreement approved in early August and Meijer
secured as anchor. The project will include hospitality, medical and health
club tenants. Site work is scheduled to start in September with delivery to
tenants in spring of 2015.
Ground-up Development: Pabst Farms Expansion
Walmart and Sam’s Club are being proposed for Pabst Farms Town
Centre in Oconomowoc as an addition to the Market Place at Pabst
Farms, currently anchored by Roundy’s Pick ‘n Save. Construction is
projected to begin in 2014 on the 590,000 SF project, part of a 1,500 acre
master-planned community.
Commercial
Real
Estate is Mequon,
continuing
to identify and
recruitDanfirst-class,
7512 W. Mequon
Road
WI
1.9 acres
Cohen
egory-leading
retailers
seeking
presence
theKleiman
Mayfair
Former Associated
Bank that are
Sturgeon
Bay, WIa regional
3,290
sf / .8 acre in Joe
l trade
area.
The following Brookfield,
tenantsWIhave signed leases
theCohen
Mayfair
Chuck
E. Cheese
19,800 sffor Dan
w/MAREC
ectionCrisp
and will be opening in Milwaukee,
Spring 2014:
WI
5,300 sf
Teresa Shemitis
Glenwood Crossings
Nordstrom
Goodwill Rack
Creek Market (outlot)
Saks Meadow
Off 5th
Ridge West
Dick’sPrairie
Sporting
Goods
The Shoppes at Nagawaukee – Ulta Beauty
Phase II
Old Navy
The Shoppes at Nagawaukee –
Carter’s
Phase III
Former Walmart
Kenosha, WI
87,504 sf
Dan Rosenfeld w/MAREC
Sheboygan, WI
20,035 sf
Dan Rosenfeld w/MAREC
Pewaukee, WI
1.77 acres
Dan Cohen, Joe Kleiman
Pleasant Prairie, WI
2.4 acres
Dan Rosenfeld
Delafield, WI
96,231 sf
Dan Cohen w/MAREC
Delafield, WI
9,600 sf
Dan Cohen w/MAREC
Berlin, WI
58,984 sf
Andrew Prater, Dan Rosenfeld
ase see
theWalmart
following page forMilwaukee,
a copyWI
of our merchandise
plan.Andrew Prater, Dan Rosenfeld
Former
140,002 sf
The Mid-America Real Estate - Wisconsin team can be reached at 414.273.4600.
Mayfair Collection
Minnesota Activity
5
Activity
Minnesota Market Report
Principal Doug Sailor announces the following new and renewal retail leases
recently completed by Mid-America Real Estate-Minnesota project brokers:
Former Brookdale Mall Redevelopment
Continues On Strong Pace
Project Leasing Report
by Doug Sailor, Principal Leasing and Management
Property/Location
Retailer
Bloomington Shoppes
Bloomington, MN
Papa Murphy’s, Smokeless Smoking, Total Renal Care, We Care Childhood Development Center
Brooklyn Park Auto Mall
Brooklyn Park, MN
Brookdale Auto Sales, Trust Transmission & Auto Repair, Universal Car Service
7,060
Cedar Grove Business Center
Eagan, MN
Eagan Resource Center
4,952
Cliffview Plaza
Burnsville, MN
Cathy’s African Beading, Ignite Hookah
3,914
Commerce Hill
Chuck E Cheese
Woodbury, MN
Sq. FtG.
15,586
15,000
Coon Rapids Auto Mall
PTL Detail
Coon Rapids, MN
4,561
Corner House Shoppes
Stillwater, MN
Family Cuts
1,232
County Fair Marketplace
Hutchinson, MN
Liberty Tax
1,115
Crossroads Center
Eden Prairie, MN
Safire Nutrition
1,195
Crystal Gallery Mall
Crystal, MN
Allstate Insurance, Comfort Massage, Great Clips, Home Choice, Vision World 13,995
Dunkirk Square
Maple Grove, MN
E Cigarettes of MG
1,240
Eagan Promenade
Eagan, MN
Spire Federal Credit Union
2,343
Eagan Town Centre
Eagan, MN
Sally Beauty, Sears
6,983
Foxridge Shoppes
Eagan, MN
Almax Auto
1,800
Hudson Marketplace
Hudson, WI
Toy Riffic
1,032
Knollwood Crossing
Hopkins, MN
Yogurt Lab
1,200
Lakeland Village
Lakeland, MN
Comfort Massage
1,586
Main Street Marketplace
Blaine, MN
Little Caesars, Penn Cycle
6,437
Mapleridge
Maplewood, MN
Ace Cash
1,211
Normandale Village
Bloomington, MN
Bloomington Family Chiropractic
3,035
North Branch Marketplace
North Branch, MN
Papa Murphy’s, Wireless Zone
2,740
Northstar Marketplace
Ramsey, MN
Cellular Experts, Dollar Cents 4,694
The Promenade of Wayzata
Wayzata, MN
Olives & Sprigs
1,450
Richfield Shoppes
Richfield, MN
Dr. Berg Dental, El Tejaban Mexican, Hairtenders, Hot Comics, NCS Marketing Services, LLC, Perez Chiropractic, Richfield Flowers
Rosemount Market Square
Rosemount, MN
Ten Tiny Toes Photography
Shingle Creek Crossing
Brooklyn Center, MN
AT&T, Discount Tire (sale), Foot Locker, Qdoba, Schlotzsky’s
The Shoppes of Willmar
Willmar, MN
Sally Beauty
1,627
Shops at Riverdale Commons
Coon Rapids, MN
Cash-N-Pawn
2,480
Shingle Creek Crossing, the first and largest new development project to
hit the Twin Cities since the recession, is on track for new fall openings. Phase I
of the 840,000 square foot redevelopment of the former Brookdale Regional
Mall was completed with the opening of Walmart on September 12, 2012.
Mid-America Real Estate-Minnesota, LLC, represented Walmart in the
transaction, and is now representing Fort Lauderdale, Fla.-based developer
Gatlin Development in the leasing and sales of the rest of the project.
After Walmart opened, Phase II commenced with the construction of outlot
structures. These included three multi-tenant small shop buildings, a new
LA Fitness, and Discount Tire and Panda Express pad sites. LA
Fitness is scheduled to open in September 2013, with all other Phase II small
shop and pad sites slated for delivery in September as well. Leasing of the
small shop buildings is on pace to be 100% leased by the end of 2013.
Phase III is scheduled to begin in late fall 2013. This phase will entail new
construction of the junior box site in the last remaining area of the former
regional mall building. The existing area will be razed and construction
begun for T.J. Maxx, Michaels and two additional junior box tenants
whose deals are currently in negotiation. Also infilling smaller tenant areas
within the new junior box building will be a national full service salon group
and a national beauty products group.
Phase IV, consisting of pad sites to the north and east of Walmart, along
with small and medium size tenant spaces, will commence in spring/
summer 2014. This phase will consist of more food users with a focus on
fast casual, full service family and entertainment. Sears continues to own
its real estate separately, with Kohl’s a long time tenant of the site as well.
The activity at Shingle Creek Crossing has been overwhelmingly positive
with juniors as well as small shop retailers.
19,712
540
Shingle Creek Crossing
54,166
Shorewood Village Shopping Center KathrynMak Designs
Shorewood, MN
2,283
Southcross Shoppes
Savage, MN
First Resource Bank
3,843
Stadium Village Plaza
Minneapolis, MN
Burger King, European Wax
3,828
Tamarack Village
Woodbury, MN
The Joint, Totally Tan, The Woods
9,196
Tonka Village Shopping Center
Tonka Bay, MN
Bellasaluti
1,400
University Car X
St. Paul, MN
Eco Garage
Waterford Plaza
Plymouth, MN
Big Frog
Westview Shopping Center
Hastings, MN
Goodwill, Nu-Wave Hair
Woodbury Village
Woodbury, MN
Massage Retreat & Spa
4,216
1,406
30,777
2,800
Principal Mike Sims announces the following transactions recently handled by
Mid-America Real Estate-Minnesota Tenant Representation brokers:
Tenant Representation
TenantLocation
Broker
Advance Auto Parts
Lakeville, MN
Johnny Reimann
AT&T
Maple Grove, MN; Woodbury, MN
Patrick Daly
Banana Republic Factory
Eagan, MN
Johnny Reimann, Stefanie Meyer
Brush!
St. Louis Park, MN
Patrick Daly
Cherry Berry
Hudson, WI; Minnetonka, MN; Oshkosh, WI
Patrick Daly
Family Dollar
International Falls, MN
Johnny Reimann, Stefanie Meyer
Gap Outlet
Eagan, MN; St. Cloud, MN
Johnny Reimann, Stefanie Meyer
Home Goods
Fargo, ND
Johnny Reimann, Stefanie Meyer
Honey & Rye Bakehouse
St. Louis Park, MN
Stefanie Meyer
Marshalls
Bloomington, MN; Fargo, ND
Johnny Reimann, Stefanie Meyer
OfficeMax
Maplewood, MN
Stefanie Meyer, Johnny Reimann
Potbelly Sandwich Shop
St. Paul, MN
Patrick Daly
Salon Concepts
Apple Valley, MN; Blaine, MN; Minneapolis, MN
Eden Prairie, MN
Patrick Daly, Johnny Reimann,
Stefanie Meyer, Patrick Daly
TJMaxx
St. Paul, MN
Johnny Reimann, Stefanie Meyer
Walmart (land sales)
Andover, MN; Cottage Grove, MN; Mountain Iron, MN; Roseville, MN
Mike Sims, Patrick Daly
The Mid-America Real Estate – Minnesota team can be reached at 952.563.6600.
Michigan Activity
6
Michigan Market Highlights
Project Leasing Activity
Detroit Bankruptcy Impact
Principals Brad Rosenberg & Tony Schmitt report the following transactions
recently handled by the Mid-America Real Estate-Michigan team:
It is unfortunate that the national media coverage of Detroit’s Chapter 9
bankruptcy hasn’t painted the entire picture. Most people are of the opinion
that this bankruptcy is a positive step for the City of Detroit, a step forward to
a point of financial stability and economic growth, and a chance for the city
to “right-size” itself and move forward. The news unavoidably affected some
short-term deal making, but that perception can and will be overcome. Now,
those who doubted realize that Detroit, Metro-Detroit and the state of
Michigan are growing and open for business more so than ever before.
Local Retail Activity
Since June 2013, Meijer, K&G Fashion Superstore, Marshalls,
Petco and Whole Foods have all opened their first stores in the City of
Detroit. Gordmans entered the Michigan market with their first location in
Norton Shores currently under construction, and is assessing other
“out-state” markets. LA Fitness and Dick’s Sporting Goods continue to
be active in the metro Detroit market. Jo-Ann Stores opened a new store
in Grandville and relocated stores in Roseville and Battle Creek, and is
currently assessing smaller Michigan markets for expansion. Ollie’s
Bargain Outlets nears completion of their penetration into Michigan for
the time being after opening Lansing, Flint, Saginaw and Ypsilanti in July and
August. The former big boxes once occupied by Circuit City, Walmart,
Kmart and Borders are continuing to be backfilled with national retailers
absorbing the vacant space and in turn, driving up rents.
project leasing
Property/Location
Retailer/Seller
SQ. FTG.
Broker
2262 Telegraph Road
Bloomfield Grill
9,500
Bloomfield Twp, MI
Daniel Stern, Karen Mullane,
Brad Rosenberg
2340 Silver Fox Run
Holly, MI
Karen Mullane, Adam Goodman
American Fitness
8,800
4934 Marsh Road
DigiLink Technology
4,000
Okemos, MI
Daniel Stern, Cynthia L. Kratchman,
Christina Roberts
14712 Mack Avenue
Footlocker
5,656
Detroit, MI
Adam Goodman, Gabe Schuchman
16360 26 Mile Road
Henry Ford Health Systems
3,580
Macomb, MI
Gabe Schuchman, Karen Mullane,
Daniel Stern
43711 Ford Road
Canton, MI
Adam Goodman
Canton Sports
5,665
50679 Waterside Drive
Party City
11,343
Chesterfield Twp, MI
Brad Rosenberg, Gabe Schuchman,
Tony Schmitt, Adam Goodman,
Karen Mullane, Christina Roberts
Beltline Plaza
Max 10
6,700
Muskegon, MI
Gabe Schuchman, Brad Rosenberg,
Karen Mullane, Daniel Stern
Fairplain Plaza
Dunhams Athleisure
53,683
Benton Harbor, MI
Brad Rosenberg, Daniel Stern,
Christina Roberts
Meridian Town Square
Okemos, MI
2,800
Cynthia J. Kratchman, Daniel Stern
Telegraph Plaza
Maurices
4,800
Monroe, MI
Gabe Schuchman, Karen Mullane,
Brad Rosenberg, Christina Roberts
Village Knoll
Bloomfield Twp, MI
1,975
Adam Goodman, Tony Schmitt
Wildwood Shopping Center
Ollie’s Bargain Outlet
31,000
Westland, MI
Adam Goodman, Tony Schmitt,
Susan Acciaioli, Jack Uhazie
SVS Vision
Pack and Ship Plus
Tenant Representation
TenantLocationBroker
Development Activity
Achatz Burgers
Macomb Township, MI
Christina Roberts, Brad Rosenberg,
Susan Acciaioli
New construction is dictated somewhat by where retailers want to be. The
most construction and development activity continues to be the purchase
and redevelopment of small freestanding buildings or out parcels to
accommodate the needs of retailers such as Vitamin Shoppe, Mattress
Firm, Tim Horton’s, fast casual restaurants and cellular stores.
Dine-in, sit down restaurants are also more active in the marketplace than
they have been in the past and are looking for strong outlot opportunities to
purchase or ground lease.
Aspen Dental
Brighton, MI; Ft. Gratiot, MI
Gabe Schuchman, Tony Schmitt,
Karen Mullane
AT&T
Troy, MI
Tony Schmitt, Gabe Schuchman
Dollar Tree
Benton Harbor, MI; Cedar Springs, MI;
Kalamazoo, MI; Lowell, MI; Taylor, MI; Waterford, MI Jack Uhazie
Guitar Center
Allen Park, MI; Bellingham, WA
Jack Uhazie
Headquarters Haircuts for Men
Shelby Twp, MI
Brad Rosenberg, Christina Roberts
LA Fitness
Clinton Twp, MI; Grosse Pointe, MI
Tony Schmitt
Maurices
Cadillac, MI; Monroe, MI
Cynthia Kratchman
Ollie’s Bargain Outlet Flint, MI; Saginaw, MI; Westland, MI; Ypsilanti, MI Susan Acciaioli, Tony Schmitt,
Jack Uhazie
Party City
Chesterfield Twp, MI
Adam Goodman, Brad Rosenberg,
Tony Schmitt
Potbelly Sandwich Works
Bingham Farms, MI; Grandville, MI
Adam Goodman, Brad Rosenberg
Pro Martial Arts
Canton, MI
Adam Goodman, Tony Schmitt
Subway
Detroit, MI
Adam Goodman
The Mid-America Real Estate - Michigan team can be reached at 248.855.6800.
Home of the Detroit Tigers
Meijer in Detroit
Investment Group Sales
Net Lease Market Reaches Peak
by Tom Fritz
With the 10 year treasury up 100+ basis points in the past four months, the
Net Lease Investment market appears to have reached its peak. Cap rates
have been extremely aggressive over the past year, with McDonald’s
leading the market and reaching as low as 4.00% while banks were second
in line selling as low as 5.00%. Investors have been able to borrow at
3.50%-4.00% to create positive leverage. Now that interest rates are moving
towards 4.50%-5.00%, that same positive leverage is dependent upon cap
rates increasing as well. If we were to draw a bell curve depicting the past
three years and the next three years, it is our estimate that July 1st of this
year would be right at the peak.
Changing Demand
The net lease market has been so aggressive over the past three years due to
a couple of reasons: (a) the artificially low cost of capital; and (b) the long term
credit leases have become a safe haven for long term cash flow. Investment
funds have been raising money faster than they could spend it, thus inflating
demand. Now that interest rates are on the rise and the stock market is
beginning to rebound, demand will likely start to change as well. Since 2009,
investors slowly started buying net lease investment property again, now to
a point where it became a frenzy towards the middle of 2013. If someone had
$2 million in cash, they may have placed roughly 70% in secure net lease
property and kept the rest in cash. The thought was that achieving a 4.00%
return on a McDonald’s was better than 0.50% in a money market account.
Today, an investor who has the same $2 million may choose to diversify a
little more by placing 40% in real estate, keeping 20% in cash, but now placing
40% back into the stock market, which continues to show improvement. As
we write this, the Dow Jones is up over 14% since the start of 2013.
For the funds that have been raising millions of dollars on what seemed to be
a daily basis, three things are likely to happen going forward: (a) their demand
should decrease as investors move money to the stock market; (b) the cost
of capital should increase, limiting their profit margins; and (c) their required
rate of return to investors should increase in order to compete with alternative
investments. This means the primary driver helping to keep cap rates low is
likely going to start seeking a higher yield, thus pulling cap rates up with it.
Back to Basics
Meanwhile, our leasing brokers are busier than ever doing a great job of
creating new supply. This takes us back to the basic principles of Econ 101.
Increasing inventory and decreasing demand means oversupply and price
decreases. We have already started to see signs with McDonald’s and bank
ground leases now receiving offers 25-50 basis points over where they were
selling four months ago. Investment funds have increased cap rates on
certain offers, while other REITs have recently issued bonds 50-100 basis
points higher than bonds issued 6-12 months ago. This indicates investors
and shareholders are demanding higher returns. Our advice to developers
committing capital to projects 12 months out: underwrite at least 50 basis
points higher than you would today. Our advice to current owners of net
lease property: it’s still a good time to sell.
Walmart
7
Investment Group Activity
Following are year-to-date sales transactions by the Mid-America Investment Sales Group:
PropertyLocationANCHORS
Colerain Towne Centre
Cincinnati, OH
Walmart Supercenter, Dick’s Sporting Goods
Sq. FtG.
409,960
Mount Prospect Plaza
Mt. Prospect, IL
Marshalls, Ross, LA Fitness, Aldi, Walgreens,
(Walmart – Shadow Anchor)
301,045
Danada Square East
Wheaton, IL
Dominick’s, Petco
202,036
Milwaukee Portfolio
Various locations, WI
Walmart
174,705
Van Dorn Plaza
Lincoln, NE
Sun Mart, Hobby Lobby
168,888
Clocktower Square
Des Moines, IA
TJ Maxx, Office Max
142,356
Warsaw Commons
Warsaw, IN
TJ Maxx, PetSmart, (Kohl’s - Shadow Anchor)
120,000
South Oaks Plaza
St. Louis, MO
Shop ‘n Save, Michaels, Walgreens
112,300
The Shoppes at Nagawaukee
Delafield, WI
Marshalls, Sports Authority,
(Kohl’s & Sentry Foods - Shadow Anchors)
105,921
Lincoln Crossing
Chicago Hts, IL
Food 4 Less
101,498
Glenwood Crossings
Kenosha, WI
Pick ‘n Save
87,504
Savage Towne Square
Savage, MN
Cub Foods
87,181
Meridian Towne Center
Okemos, MI
Marshalls, Five Below, Ulta,
(Target & Kroger - Shadow Anchors)
86,891
Evergreen Marketplace
Evergreen Park, IL
Michaels, Ross,
(Meijer & Menards – Shadow Anchors)
49,225
LA Fitness
Plainfield, IL
Single Tenant Net Lease
43,227
Whole Foods
Minnetonka, MN
Single Tenant Net Lease
33,225
PetSmart/Dollar Tree
Decatur, IL
PetSmart, Dollar Tree
30,087
Goodwill
Sheboygan, WI
Single Tenant Net Lease
20,035
Chuck E. Cheese
Brookfield, WI
Single Tenant Net Lease
19,800
Dollar General
Milwaukee, WI
Single Tenant Net Lease
19,800
Prairie Town Center
Oak Lawn, IL
ATI Physical Therapy, AT&T, Eva’s Bridal
17,659
Aldi
Elk River, MN
Single Tenant Net Lease
16,224
Walgreens
Antioch, IL
Single Tenant Net Lease
14,820
GSA
Davenport, IA
Single Tenant Net Lease
11,877
Quarry Outlot
Hodgkins, IL
GameStop, Payless ShoeSource, Verizon Wireless
9,650
Aaron’s
Hillsboro, OH
Single Tenant Net Lease
8,028
Savannah Crossing (Lot 7)
Aurora, IL
Chipotle, Great Clips, LA Tan
7,380
Advance Auto
Lake Geneva, WI
Single Tenant Net Lease
6,895
Advance Auto
New Richmond, WI
Single Tenant Net Lease
6,895
Fifth Third Bank
Matteson, IL
Single Tenant Net Lease
4,200
Chase Bank
Chicago, IL
Single Tenant Net Lease
4,020
TOTAL
The Mid-America Investment Sales Group can be reached at 630.954.7300.
Mount Prospect Plaza
2,423,332
8
On the Corner
by Dan Cohen, Director of Tenant Representation and Principal, Mid-America Real Estate – Wisconsin, L.L.C.
Back by Popular Demand
Tell me if you’ve heard this before: “The market is coming back,” or “We’re
cautiously optimistic that things are better,” or “I think you’ll see a slight
improvement next year.” Well, I’m here to tell you that none of those are true
anymore. The market is definitely back. Significant retailer demand is driving
occupancy rates higher, rental rates higher, valuations higher, and dare I say,
there’s potential for new ground up development.
Okay, so not all this can happen over the next six months before our spring 2014
Retail Review is published, but it’s a start. Changes in both retailer demand and
the consumer were evident in the recent improvement of retail sales and
consumer confidence numbers. This is the starting point for what those of us in
the retail real estate trade needed to see before becoming believers that the end
of the recession is near.
Six Years Later
When you think about it, it’s logical. The consumer and our retail economy have
been down and in a recession since the 3rd quarter of 2007. Economists may try
to define the recession as beginning in a different place and time, but for the
retailers, this was the first obvious quarter of changing sales and consumer
spending expectations. So we have been in this retail quagmire for six years longer than any period in our American post-World War II economy.
The past six years have caused the consumer to
become healthy by spending less, controlling the
household budget, and retaining equity in their
homes. It also required them to budget the family
paycheck in a more reasonable fashion, and to be
less reliant on debt. Thus, the consumer is ready
to go again, albeit at a controlled, measured
pace. They will be more critical and conscientious
on where and how they spend their hard-earned
dollars (tell me if you’ve heard that one before).
Getting It Right
Our retailer friends have also gotten their houses in order. There’s nothing like a
shy customer to force retailers to control inventory levels, shed excess square
footage, pare down general overhead expenses, and focus on operational
margins. By spending the last six years becoming more efficient, retailers are
ready to grow again. Thus, DEMAND is back. Retailers and restaurateurs are now
confident that they have the right merchandising mix and the right operating
efficiencies to draw the customers’ money out of their wallets. In short, they’re
feeling good again about their ability to meet the customer’s expectations, have
the customer shop with them again, and leave the bad times behind.
So with our demand side “fixed,” things are looking up. If we could only get our
supply side in order, which should be no later than 2017, we’d really be back in
business. So, whether you’re looking for space, acquiring space, or leasing
space, contact your friendly real estate firm (that’s us, by the way) and get back in
the game. We look forward to seeing you soon.
downsizing slightly, cautious about expanding, which reflects the same trend in
non-grocery retailers, in general.
Meanwhile, the number of full-service grocery stores continues the decline noted
in the 2011 study: this year netting 8 less stores than in 2011 (including the closing
of 2 Jewel and 2 Dominick’s), and losing 5% of the overall square footage.
Increase in Size, Not Numbers
…Continued from page 3
Gourmet Expanding
“Of the 21 stores proposed for 2013, 15 are gourmet, 3 are full-service and 3 are
discount,” says Tausk. Adding to gourmet’s momentum was a major change in
store size for that category.
“Some in the gourmet sector are expanding their merchandise to include more staples
and choices offering one-stop shopping, and reversing the recent trend to split
grocery dollars heavily between discount, warehouse, specialty and gourmet stores.”
Leading the way in expanding store size and offerings is Mariano’s, whose
average store is now 70,000 square feet, compared to a 50,000 square foot
average grocery store size in the study area. Between 2011 and 2013, Mariano’s
opened 5 stores, and proposes an additional 9 for the rest of 2013 and beyond.
Whole Foods was also active with 2 new stores proposed in 2013.
Much of the gourmet activity is concentrated in the higher income Central City
(Zone 1; refer to map). http://www.midamericagrp.com/downloads/
Grocery_Study_2013.pdf
Although the total number of grocers in the 2013 study increased by one, the
square footage of operating grocery space increased by 443,218 square feet,
with proposed new grocery totaling more than 1.05 million square feet – about
180,000 more square footage than in 2011. The figures show an overall increase
in store size by nearly 17,000 square feet.
Independents Losing Ground
Across all grocery categories, about 400,000 square feet of grocer development
proposed in 2011 was delayed or killed by 2013. Tausk says that 11 of the 17 stores
that closed in Chicago and the close suburbs between 2011 and 2013 were in the
Near South/ SW submarket (8 closings) and the South/Southeast sub-markets (3
closings) – markets with boundaries that are already underserved with regards to
square footage of operating grocery stores per person or household. Overall, the
dramatically underserved submarkets of the West City and S/SE City still rank at
the bottom of penetration statistics with 1.56 square feet/person and 1.29 square
feet/person respectively, while the city’s average is now 3.47 square feet/person
Discount, Full-Service Shrinking
“Of course, our study does not take into account the positive impact from recent
city initiatives on food deserts, such as the addition of food trucks, drugstore
food, city farms and farmer’s markets in these areas,” Tausk says. “But the food
deserts are obviously still severely underserved by traditional stores.”
There’s a dramatic shift in the opposite direction for the discount category, which
lost 4.08% of its store count between 2011 and 2013. Just two years prior,
discount was experiencing a 24.05% increase in stores count.
“In our 2011 study, we thought we were seeing some hopeful signs with stores
proposed for development there, but these fell through due to the economy and a
lack of any new construction getting out of the ground everywhere.”
“Discount declined significantly because of an increase in store closings among
both independent and chain grocers,” says Mr. Tausk. Discount grocers are also
To read the full Urban Grocery Study, go to
www.midamericagrp.com/press/9.16.13.html