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Issue Number 23
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The Dealmakers Issue Number 23 for the week of June 25, 1999 Food Tenants Expanding Nationwide Big River Breweries, Inc. trades as Big River Restaurant &
Brewery at nine locations in NC, SC and TN. The restaurants and brewpubs occupy spaces
of 10,000 sq.ft. in downtown store fronts and freestanding facilities. Growth
opportunities are sought in AL, AR, KY, LA, MD, MS, MO, TX and VA. Stuft Pizza Franchise Corp. trades as Stuft Pizza and Stuft
Pizza & Brewing at 28 locations in CA and OR. The restaurants, serving pizza,
pasta and microbrews, occupy spaces of 1,800 sq.ft. to 6,000 sq.ft. in a variety of real
estate settings. Plans call for 25 openings in the coming 18 months. Expansion will take
place in the Western region. Leases running 10 years, with a 10-year option, are typical
and the company is franchising. 99 Restaurant & Pub operates 50 locations in CT, ME, MA, NH and
RI. The casual restaurants occupy spaces of 6,000 sq.ft. in freestanding facilities.
Preferred anchors include home improvement centers, movie theaters and supermarkets. Plans
call for 15 openings in the coming 18 months. Expansion will take place in NY and New
England. Preferred demographics include a population of 60,000 within five miles earning
$45,000 as the average income. Leases running 20 years are typical and the company cites Applebee’s,
Chili’s and T.G.I.F. as competition. The Pizza Ranch Inc. trades as The Pizza Ranch at 86
locations in IA, MI, MN, NE, ND and SD. The restaurants, serving pizza and chicken, occupy
spaces of 4,000 sq.ft. in freestanding facilities. Plans call for 10 openings in the
coming 18 months. Expansion will take place in the Midwestern region. Preferred
demographics include a population of 10,000 within five miles earning $20,000 to $40,000
as the average income. Leases running one to five years are typical and the company is
franchising.
Restaurant Developers Corp. does business as Mr. Hero at 120
locations in IN, NY, OH, PA and VA. The quick-serve restaurants, offering submarine
sandwiches, pasta and salads, occupy spaces of 1,200 sq.ft. to 2,400 sq.ft. in
freestanding facilities, regional malls, specialty and strip centers. Plans call for 20
openings in the coming 18 months. Expansion will take place in IN, KY, MI, OH, PA, VA and
WV. Preferred demographics include a population of 25,000 within two miles earning $25,000
as the average income. Leases running five to ten years are typical. KKRE trades as El Torito at 95 locations in CA. The Mexican
restaurants occupy spaces of 7,000 sq.ft. in regional malls, power centers and
freestanding facilities. Plans call for seven openings in the coming 18 months. Expansion
will take place in the existing market. Preferred demographics include a population
100,000 within three miles earning $50,000 as the average income. Leases running 20 years
are typical. Zi Pani Breads Cafe operates 18 locations in OR and WA. The
bakeries occupy spaces of 2,000 sq.ft. to 2,500 sq.ft. in downtown store fronts, power,
specialty and strip centers. Plans call for two openings in the coming 18 months.
Expansions will take place in the existing markets. Leases running 10 years, with options,
are typical. Boat N Net trades as Boat N Net Drive-In at 10 locations in
TX. The seafood restaurants occupy spaces of 1,750 sq.ft. in freestanding facilities.
Plans call for eight openings in the coming 18 months. Expansions will take place in the
existing market. The company cites Long John Silvers as competition. Creative Foods Corp. does business as Burger King at 19
locations in NJ and NY. The fast food restaurants occupy spaces of 2,500 sq.ft. to 3,000
sq.ft. in downtown store fronts, freestanding facilities and regional malls. Preferred
anchors include Lord & Taylor and Target. Plans call for the opening of
four units in the coming 18 months. Expansion will take place in Queens and Long Island,
NY. Leases running 15 to 20 years are typical. Franco Inc. does business as Hardee’s at 29 locations
in GA and TN. The fast food restaurants occupy spaces of 3,600 sq.ft. in freestanding
facilities. Plans call for as many as three openings in the coming 18 months. Expansion
will take place in the existing markets. Preferred demographics include a population of
7,000 within five miles earning $20,000 as the average income. The company prefers to own
its locations.
Who’s Opening & Where Starbucks Coffee Company (206-447-1575) and the Johnson Development Corporation (former NBA star Earvin "Magic" Johnson is founder) recently opened a Starbucks Coffee store at 77 West 125th Street and Lenox Avenue in Harlem, NY. The store is the first of four new stores expected to open this year as part of the 50/50 joint venture agreement between Starbucks and JDC to develop Starbucks stores in inner city and urban locations nationwide. The other stores are planned for Atlanta, GA; Los Angeles, CA and Seattle, WA. Every Starbucks/JDC store features a special mural depicting Earvin "Magic" Johnson. Applebee’s Neighborhood Grill & Bar (913-967-4000) plans to open a 5,000 sq.ft. restaurant in Auburn, MA. Stop & Shop Supermarket Co. (617-380-8000) plans to open a 75,000 sq.ft. Super Stop & Shop supermarket at Quincy Center Plaza in Quincy, MA. Avado Brands, Inc. (706-342-4552), which recently completed its divestiture of its Applebee’s franchise, plans to spend $80 million to open 40 restaurants this year in its four divisions. Currently, the company operates 133 Don Pablo’s Mexican Kitchens, 52 Hops Restaurant-Bar-Breweries, 22 McCormick & Schmick’s and 18 Canyon Cafe restaurants. www.avado.com First Cash Financial Services, Inc. (817-460-3947) plans to enter the Mexican market with four stores by August. The company is anticipating opening "significant" additional stores in Mexico in the near future. Currently, the company operates 135 pawnshops and check cashing stores in 11 states. www.firstcash.com Wild Oats Markets Inc. (303-440-5220), which operates 77 natural foods supermarkets in 20 states, plans to open stores in Salt Lake City, UT; Hinsdale, IL; Fort Collins, CO; Albuquerque, NM; Las Vegas, NV; Madison, NJ; Phoenix, AZ; Tulsa, OK and West Hartford and Westport, CT this year; and stores in Cleveland and Cincinnati (2), OH; Kansas City and St. Louis (2), MO; Long Beach, CA; Nashville, TN; Reno, NV and Salt Lake City, UT during 2000. The company’s goal is to be operating more than 100 stores and be a $1 billion company by 2001. Last year, its sales were approximately $400 million. www.wildoats.com Frank’s Nursery & Crafts (313-366-8400) recently entered the Pittsburgh, PA market with stores in Monroeville and Robinson. The company plans to expand its store base in the market to seven or eight stores eventually. Old Navy Clothing Co. (650-952-4400) recently opened a store at Capital City Mall in Lower Allen Township, PA. It is the company’s first store in the Harrisburg, PA market. Stein Mart (904-346-1500) plans to open a 41,000 sq.ft. store at a former Hamrick’s space at Hamilton Village Shopping Center in Chattanooga, TN next month. The company added that it plans to continue expanding its store base by at least 20% per year and could grow to more than 550 stores. Paul Harris (317-293-3900), which opened 14 outlet stores last year to bring its outlet store total to 33 units in 15 states, is planning to open 10 outlet stores this year and another 12 next year. The stores average 5,200 sq.ft. and occasionally go as high as 10,000 sq.ft. In addition, the company operates 272 full-price stores in 29 states and is looking to open 30 stores this year and another 30 stores next year. The company plans to eventually be operating 100 to 150 outlet stores and 850 to 900 full price stores. McDonald’s Corp. (630-623-3000), which operates more than 25,000 restaurants in 115 countries plans to open 1,750 restaurants this year. www.mcdonalds.com Red Robin International (303-846-6000) recently signed two franchise agreements which will add 65 restaurants to its system. The agreements will also allow the company to enter eight new markets including Dallas/Fort Worth, Houston and San Antonio, TX; Minneapolis/St. Paul, MN; Cleveland, OH; St. Louis, MO and Tampa/St. Petersburg and Ft. Myers/Cape Coral, FL. Franchisee Le Carnessier L.C. will open 41 restaurants in the coming five years in the Midwestern states and FL while 2RT, L.C. will open 24 units in TX by the end of 2004. The deals are part of the company’s plan to grow at an annual rate of 20%. Currently, the company and its 18 franchisees operate 135 restaurants in 16 states and two Canadian provinces.
Buyers & Sellers SullivanHayes Brokerage Corporation has the listing to sell 3.3
acres of land in Littleton, CO. The site is located at the intersection of County Line and
Broadway and the asking price is $750,000. Prudential Commercial Services Realty has the listing to sell the
35,000 sq.ft. Country Village Shopping Center in Stafford Springs, CT. The asking price is
$1.6 million and financing is available. Werner & Associates has the listing to sell a freestanding
7,750 sq.ft. building in Vallejo, CA. The site is NNN leased to Hollywood Video. The
original lease has five years remaining and the tenant holds two five-year renewal
options. The lease has rent bumps of 7.5% every two and a half years. The next rent bump
occurs in August. The current NOI is $173,773. The asking price is $1.83 million. Divaris Real Estate, Inc. brokered the sale of a former Best
Products building in Virginia Beach, VA to Best Buy. Best Buy plans to redevelop the
property to accommodate a 45,000 sq.ft. store. The sale price was $5 million. The company
also brokered the sale of Amelon Square Shopping Center in Madison Heights, VA. The
139,380 sq.ft. project is anchored by Winn-Dixie Marketplace, Revco, Advance Auto, Tractor
Supply Company and Goodwill. The center was acquired by Madison Company LLC from
Nationwide Life Insurance Company for $5 million. NAI Eagle has the listing to sell a 9,534 sq.ft. freestanding
restaurant site fronting Dixie Highway in Cincinnati, OH. The asking price is $975,000.
The company has the listing to sell a 5,630 sq.ft. freestanding restaurant fronting Five
Mile Road in Cincinnati, OH. The site, which is currently in operation, is located across
from Beechmont Mall. The company has the listing to sell a 1,395 sq.ft. freestanding
former restaurant located at the intersection of Montgomery Road and Kennedy Avenue in
Cincinnati, OH. The asking price is $140,000. The company has the listing to sell a 1,390
sq.ft. freestanding former restaurant fronting Madison Road in Cincinnati, OH. The asking
price is $119,000. The company has the listing to sell 1.76 acres of land fronting Western
Row Road in Cincinnati, OH. The asking price is $150,000. The company also has the listing
to dispose of former Rite Aid stores in southwestern OH. The sites range in size from
6,700 sq.ft. to 10,500 sq.ft. Catron Real Estate has the listing to sell a 1.91 acre outparcel in
Prince Georges County, MD. The site, which has all utilities, is located across from Home
Depot and is near Ames Department Store and Staples. Mid-America Real Estate Corp.’s Investment Sales Group
represented The RREEF Funds in the sale of two shopping centers. The first was the sale of
the Howard Western Shopping Center in Chicago, IL. The 85,600 sq.ft. project is anchored
by Jewel Foods, Walgreens and Woolworth’s. The center was acquired by AMB. The second
was the sale of Plaza del Prado in Glenview, IL. The 129,112 sq.ft. project is anchored by
Jewel/Osco and was sold to TA Realty Advisors. The company represented Allegis Realty
Investors, LLC, as advisor and agent for the owner in the sale of Gateway Square Shopping
Center in Hinsdale, IL. The 40,150 sq.ft. project is tenanted by neighborhood and
specialty retailers. Inland Real Estate Acquisitions purchased the center. The company
represented AUSA Life Insurance Company in the sale of Main Street Plaza in Wheaton, IL.
The 118,617 sq.ft. project was acquired by RMS Properties. The company also represented
Spatz Centers, Inc. in the sale of Kmart Plaza East in Fort Wayne, IN. The 96,680 sq.ft.
project was acquired by Boulevard Fort Wayne, LLC. Charles E. Smith Retail Services has the listing to sell 15 acres
of land in Prince William County, VA. The site is located on the north side of Route 234
and has 2,000 feet of frontage along Route 234. All utilities are available and the asking
price is $5.9 million. Penn Mortgage Corp. is in the market to acquire shopping centers
nationwide. Preferred projects should be priced between $750,000 and $5 million. The Ainbinder Company recently sold a 32,000 sq.ft. Barnes &
Noble store in Champaign, IL to One Liberty Properties. Ainbinder purchased the property,
which is a part of Market View Shopping Center, in 1997. Co-tenants at the center include
T.J. Maxx, Toys ‘R Us and MC Sports. Continental Real Estate Companies represented AMB Property Group in
the sale of Shoppes at Lago Mar in Kendall, FL. The 83,000 sq.ft. project is anchored by
Publix Supermarket. Tri-Land Properties, Inc. is in the market to acquire underutilized
retail properties having GLAs of at least 75,000 sq.ft. in major metropolitan markets in
the Mid-Atlantic, Midwestern and Southeastern markets.
New Construction Developers Diversified Realty recently broke ground on The
Family Center at Meridian in Meridian, ID. The $62 million, 700,000 sq.ft. project,
being developed at the intersection of U.S. Route 55 and Fairview Avenue, will be anchored
by a 109,783 sq.ft. ShopKo store, a 26,000 sq.ft. Office Depot, a 25,192
sq.ft. Old Navy Clothing Co. and a 15,000 sq.ft. Sheplers. Joining the
retailers will be a 7,210 sq.ft. Texas Roadhouse restaurant, a 7,200 sq.ft. Applebee’s
Neighborhood Grill & Bar restaurant and a 3,770 sq.ft. Carl’s Jr.
restaurant. Parking for 4,155 vehicles will be provided at the 70.3 acre complex. A Summer
2000 opening is planned. The company recently broke ground on Riverdale Village in
Coon Rapids, MN. The $76 million, 950,000 sq.ft. project will be anchored by Kohl’s,
Jo Ann Etc. and Linens ‘N Things. A 2000 opening is planned. The company
plans to break ground this year on Deer Park Town Center in Deer Park, IL. The $66
million, 500,000 sq.ft. project, which is being jointly developed with Poag McEwen,
is expected to open during Fall 2000. The redevelopment of a former enclosed mall in Long
Beach, CA is expected to begin this year. Long Beach City Center, a 390,000 sq.ft.
project, will be redevelopment into a mixed-use project anchored by Wal*Mart. The
$42 million project will also contain office space and a hotel. A Fall 2000 opening is
planned. The company, with joint development partner Wilmorite, Inc., plan to break
ground this year on Connecticut Commons in Plainville, CT. The $42 million, 500,000
sq.ft. project will be anchored by Lowe’s Home Improvement, Kmart, Loew’s
Theaters and A.C. Moore. A 2000 opening is planned. The company plans to
develop Wilshire Center Marketplace at the corner of Wilshire Boulevard and Vermont
Avenue on Los Angeles, CA. The 23.5 acre site will be used for a one million sq.ft.
entertainment and power center. Total investment will be approximately $120 million and a
2001 opening is planned. The company plans to break ground in 2000 on a 500,000 sq.ft.
shopping center located at the intersection of I-480 and Routes 82 and 91 in Twinsburg,
OH. A 2001 opening is planned. The company also plans to break ground this year on a
350,000 sq.ft. shopping center in Jefferson County, MO. The $16 million project, which is
being jointly developed with The Sansone Group, will be anchored by Home Depot
and Target. A 2000 opening is planned. Regency Realty Corp. recently broke ground on a 34,300 sq.ft.
expansion of the 115,000 sq.ft. James Center in Tacoma, WA. The new space will be
occupied by a Hollywood Video store, a Kids Country Day Care center and a
pharmacy. The center is anchored by a Fred Meyer Marketplace. Regency acquired the
center last month for $12.5 million. Westcor Partners and Circus Circus Enterprises Inc. recently
broke ground on a 1.2 million sq.ft., three-level shopping center that will connect the Luxor
and Mandalay Bay casinos in Las Vegas, NV. The project will be anchored by a
210,000 sq.ft. Nordstrom department store, the first in NV. A retail bridge will
connect the two casino hotels and parking for 5,000 vehicles will be provided. The project
is expected to open during 2001. Westcor plans to break ground during Summer 2000 on La
Encantada in Pima County, AZ, just outside of Tucson. The 420,000 sq.ft. outdoor
shopping center will be anchored by two specialty department stores and contain 75 upscale
boutiques and restaurants. The project will be developed on a hillside and will contain
two levels. A Fall 2001 opening is planned. Vestar Development Co. plans to break ground during the first
quarter of 2000 on Desert Ridge Marketplace in Phoenix, AZ. The $100 million, one
million sq.ft. project, which will be developed at the intersection of Loop 101 Freeway
and Tatum Boulevard, will feature six themed shopping districts that will combine power
center-style tenants with a grocery store and lifestyle and entertainment retailers. The
lifestyle-entertainment district will be located in the center of the project and will be
anchored by a movie theater. Stores will stretch along an outdoor walkway. Shaded outdoor
walkways will extend like spokes from the lifestyle-entertainment district to the
center’s other shopping districts which will include a neighborhood district anchored
by a supermarket, drug store, bank and fast food restaurant; a home design district with
home accessories and furniture stores; a home improvement district anchored by a home
improvement store, pet superstore, office supply store and an electronics retailer; a
fashion district with apparel, linen and party supply stores and a restaurant district. A
Summer 2001 opening is planned.
Lead Sheet The Cato Corp. Apparel The 560-unit chain operates locations in AL, AR, DE, FL, GA, IL, IN, KS, KY, LA, MD, MS, MO, NC, OH, OK, SC, TN, VA and WV. The stores, selling fashion apparel and accessories at discounted price-points, occupy spaces of 3,200 sq.ft. to 5,000 sq.ft. in power and strip centers. Plans call for 75 openings in the coming 18 months. Expansion will take place in the existing markets. Leases running five years, with three options of five years each, are typical. Hyman Family LP dba Susie’s Deals, Susie’s Deals Everything $5,
Susie’s Factory Direct Apparel The 56-unit chain operates locations in AZ, CA and NV. The family apparel stores occupy spaces of 3,500 sq.ft. to 6,000 sq.ft. in power and strip centers. Preferred anchors include Kmart, Marshalls, T.J. Maxx, Target, Wal*Mart, drug stores and supermarkets. Plans call for 12 openings in the coming 18 months. Expansion will take place in AZ, CA, NV and NM. Preferred demographics include a population of 100,000 within three miles earning at least $25,000 as the average income. Paul Harris Stores, Inc. Apparel The 317-unit chain operates locations in the Eastern, Midwestern and Southern regions. The women’s apparel stores occupy spaces of 4,500 sq.ft. to 6,500 sq.ft. in downtown store fronts, regional malls, outlet, power and strip centers. Plans call for 25 openings in the coming 18 months. Expansion will take place in the existing markets. Leases running 10 years, with options, are typical. Stamor Corp. Apparel The 33-unit chain operates locations in AL, GA, MD, NC, SC and VA. The stores, selling young men’s ready-to-wear, occupy spaces of 3,000 sq.ft. in regional malls. Plans call for 10 openings in the coming 18 months. Expansion will take place in the existing markets. Leases running seven years are typical and the company prefers a vanilla shell. Hancock Fabrics, Inc. Arts/Crafts/Fabrics The 500-unit chain operates locations nationwide. The fabric stores occupy spaces of at least 13,000 sq.ft. in freestanding facilities, power and strip centers. Preferred co-tenants include discount stores, drug stores and supermarkets. Plans call for 40 openings in the coming 18 months. Expansion will take place nationwide. Preferred demographics include a population of 60,000 within three miles earning $25,000 as the average income. Leases running 10 years, with options, are typical. Book Emporium Inc. Books The 15-unit chain operates locations in IL and IA. The stores, selling books, magazines, gifts, candy and Hallmark cards, occupy spaces of 5,000 sq.ft. in strip centers. Plans call for one opening in the coming 18 months. Expansion will take place in central IL. Leases running five to ten years are typical. Li’l Saints Foods Inc. Convenience Store The seven-unit chain operates locations in southern FL. The convenience stores occupy spaces of 2,300 sq.ft. in freestanding facilities. Plans call for two openings in the coming 18 months. Expansion will take place in the existing market. Preferred demographics include a population of 1,000 within two miles earning $15,000 as the average income. Leases running 10 years are typical and the company, which prefers a vanilla shell, cites 7-11 and Cumberland Farms as competition. 99 Cents Only Stores Discount The 69-unit chain operates locations in CA. The stores, selling general merchandise at discount price-points, occupy spaces of 15,000 sq.ft. to 25,000 sq.ft. in freestanding facilities, power centers and regional malls. Preferred anchors include Costco, Home Depot and Wal*Mart. Plans call for 21 openings in the coming 18 months. Expansion will take place in NV. Preferred demographics include a population of 30,000 within one mile earning $30,000 as the median household income. Leases running five to ten years are typical. ShopKo Stores Inc. Discount The 167-unit chain operates locations in CA, CO, ID, IL, IN, IA, KS, KY, MI, MN, MO, MT, NE, NV, OR, SD, WA and WI. The discount stores occupy spaces of 74,000 sq.ft. to 93,000 sq.ft. in regional malls and strip centers. Preferred co-anchors include home improvement retailers and supermarkets. Plans call for as many as 25 openings in the coming 18 months. Expansion will take place in the existing markets as well as in AZ, NM, ND, OK and WY. Preferred demographics include a population of 25,000 within five miles earning $40,000 as the average income. Longs Drug Stores California Inc. Drug Stores The 381-unit chain operates locations in CA, CO, HI, NV, OR and WA. The drug stores occupy spaces of 12,000 sq.ft. to 25,000 sq.ft. in freestanding facilities, regional malls, power and strip centers. Preferred anchors include supermarkets. Growth opportunities are sought in the existing markets. Leases running 25 years are typical and the company cites Rite Aid and Walgreens as competition. USA Drug & Beauty Market Drug Stores The 91-unit chain operates locations in AR, MS, MO, TN and WI. The drug stores occupy spaces of 15,000 sq.ft. in freestanding facilities and strip centers. Preferred anchors include supermarkets. Plans call for three openings in the coming 18 months. Expansion will take place in AR, MS, MO or TN. Preferred demographics include a population of 20,000 within three miles earning $30,000 as the average income. Leases running 18 years are typical and the company, which is franchising, cites CVS, Eckerd, Rite Aid and Walgreens as competition. Score Learning Corporation Education The 45-unit chain operates locations in CA, CO, CT, IL, MD, MA, NJ, NY and VA. The educational centers occupy spaces of 1,200 sq.ft. to 1,700 sq.ft. in downtown store fronts and strip centers. Preferred anchors include movie theaters, supermarkets, pizza parlors, ice cream stores and video stores. Plans call for as many as 65 openings in the coming 18 months. Expansion will take place in the existing markets as well as in TX and WA. Preferred demographics include a population of 75,000 within three miles earning $65,000 as the average income. Leases running five years are typical and the company cites Sylvan as competition. Cartoon Cuts Hair Salon The 14-unit chain operates locations in FL, GA, MD, PA and VA. The children’s hair salons occupy spaces of 1,000 sq.ft. in power centers and regional malls. Preferred co-tenants include Stride Rite. Plans call for as many as four openings in the coming 18 months. Expansion will take place in FL, MD, PA and VA. Preferred demographics include a population of 100,000 within five miles earning at least $30,000 as the average income. Leases running five to ten years are typical. Sport Clips, Inc. Hair Salon The 27-unit chain operates locations in NY and TX. The sports-themed hair salons occupy spaces of 1,000 sq.ft. to 1,600 sq.ft. in strip centers. Preferred anchors include supermarkets. Plans call for 40 openings in the coming 18 months. Expansion will take place in Phoenix, AZ; Denver, CO; Las Vegas, NV and Salt Lake City, UT. Preferred demographics include a population of 50,000 within three miles earning $40,000 as the average income. Leases running five years, with a five-year option, are typical and the company, which is franchising and prefers a vanilla shell, cites Great Clips and Super Cuts as competition. The TJX Corporation Home Furnishings The 21-unit chain operates locations in CT, FL, IL, KY, MA, NH, OH and WI. The stores, selling bedding, bath products, home decor items, housewares, gifts and seasonal merchandise, occupy spaces of 25,000 sq.ft. in power and strip centers. Plans call for as many as 12 openings in the coming 18 months. Expansion will take place in metropolitan markets in the Mid-Atlantic, Northeastern and Southeastern regions. J.P. Crystal, Inc. Housewares The five-unit chain operates locations in FL. The stores, selling gifts and collectibles, occupy spaces of 1,500 sq.ft. to 2,000 sq.ft. in regional malls, power and specialty centers. Preferred anchors include department stores. 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. Sharon Luggage Ltd. Luggage The 16-unit chain operates locations in NC and SC. The luggage stores occupy spaces of 3,000 sq.ft. to 7,000 sq.ft. in freestanding facilities, regional malls and specialty centers. Preferred anchors include Belk, Dillard’s, Abercrombie & Fitch and Restoration Hardware. Plans call for as many as three openings in the coming 18 months. Expansion will take place in NC. Leases running five years are typical. Sam Ash Music Corp. Music The 19-unit chain operates locations in CA, CT, FL, NJ, NY, OH and PA. The stores, selling musical instruments, sound systems and recording equipment, occupy spaces of 20,000 sq.ft. to 25,000 sq.ft. in freestanding facilities and power centers. Plans call for 10 openings in the coming 18 months. Expansion will take place in CA, FL, IL, MA, NJ and PA. Party America Inc. Party Supplies The 28-unit chain operates locations in CA, CO and UT. The party supply stores occupy spaces of 8,000 sq.ft. to 10,000 sq.ft. in specialty and strip centers. Plans call for as many as 25 openings in the coming 18 months. Expansion will take place in CA. Preferred demographics include a population of 200,000 within five miles earning $50,000 as the average income. Leases running five years are typical and the company prefers a vanilla shell. Gryder Group Inc. Shoes The 12-unit chain operates locations in AL, LA and MS. The shoe stores occupy spaces of 1,200 sq.ft. in regional malls and value centers. Preferred anchors include Dillard’s and Wal*Mart. Plans call for two openings in the coming 18 months. Expansion will take place in AL, FL, LA or MS. Preferred demographics include a population of 20,000 within 10 miles earning $35,000 as the average income. Leases running eight years are typical and the company prefers a vanilla shell. J.R.B. Enterprises Inc. Specialty The 26-unit chain operates locations in FL. The stores, selling silk plants, trees and floral arrangements, occupy spaces of 1,500 sq.ft. to 1,800 sq.ft. in regional malls, outlet, power and specialty centers. Preferred anchors include Home Depot and furniture stores. Plans call for two openings in the coming 18 months. Expansion will take place in northern FL. Leases running three years are typical. Omega Sports Inc. Sporting Goods The 10-unit chain operates locations in NC. The sporting goods stores occupy spaces of 5,000 sq.ft. to 8,000 sq.ft. in strip centers. Preferred anchors include Best Buy, Old Navy, T.J. Maxx, Target, Wal*Mart and Zany Brainy. Plans call for three openings in the coming 18 months. Expansion will take place in NC and SC. Preferred demographics include a population of 75,000 within three miles earning $50,000 as the average income. Leases running five years, with three options running five years each, are typical. Noodle Kidoodle Toys The 43-unit chain operates locations in FL, IL, MA, MI, NJ, NY and TX. The stores, selling educational toys and related merchandise, occupy spaces of 8,000 sq.ft. in freestanding facilities and end caps of strip centers. Plans call for the opening of four units in the coming 18 months. Expansion will take place in secondary markets of MI and northwestern secondary markets of OH.
Exclusives Colliers Keenan Inc. (803-254-2300) has been named the exclusive leasing and managing agent for Rosewood Shopping Center in Columbia, SC. The 55,000 sq.ft. project is anchored by Kimbrells Furniture and First Citizens Bank. The company has been named the exclusive leasing and managing agent for Independence Center in Florence, SC. The 60,000 sq.ft. project is anchored by a Bi-Lo supermarket. The company has been named the exclusive leasing and managing agent for The Crossings Shopping Center in Columbia, SC. The 41,000 sq.ft. project is anchored by Food Lion, Tripp’s Fine Cleaners and Bobby’s House of Pizza. The company has also been named the exclusive leasing and managing agent for North Pointe Shopping Center in Columbia, SC. The 61,000 sq.ft. project is anchored by Publix, Schiano’s Italian Eatery, Lauren’s Hallmark and Mail Boxes Etc. Metro Commercial Real Estate, Inc. (609-866-1900) has been named the exclusive leasing agent for Town & Country Shopping Center in West Chester, PA by Jaymate Associates. The 150,000 sq.ft. project is anchored by ShopRite, Office Depot and Video Update. A 6,300 sq.ft. space remains available for lease. Friedland Realty, Inc. (914-968-8500) has been appointed the exclusive leasing agent for Brunswick Bowling Alley in Yonkers, NY. The site contains a 40,000 sq.ft. freestanding building on three acres of land. It is the first time in 30 years that the property is available and although ownership would prefer a single tenant, they are considering dividing the space for the appropriate tenants. Macerich Management Company (310-394-6000) has been awarded the leasing and management contract for Arden Fair Mall in Sacramento, CA. The 1.07 million sq.ft. project is anchored by Nordstrom, Macy’s, J.C. Penney and Sears and has 165 specialty stores. CB Richard Ellis represents Phillips Petroleum Co. in its expansion of its Kicks 66 convenience stores and gas stations in the Phoenix and Tucson, AZ metropolitan markets. The company is seeking shopping center pad sites and freeway locations running 62,500 sq.ft. at signalized intersections with good visibility. The Kicks 66 markets occupy approximately 3,500 sq.ft. The company will consider both purchases and ground leases. Mortbitzer Group, Inc. (407-539-1000) has been retained by the owners of County Line Plaza in Miramar, FL to develop an additional 18,000 sq.ft. The project is anchored by a Winn-Dixie Marketplace. The Greenberg Group, Inc. (516-295-0406) has been named the exclusive leasing agent for 1468 Northern Boulevard in Manhasset, NY. The 18,000 sq.ft. project has 9,000 sq.ft. available for lease and is anchored by Waterworks, Lord & Taylor and Nubest Salon are neighboring retailers. Grubb & Ellis Company (847-753-7512) has been selected by MetLife as its exclusive real estate partner for transaction management and lease administration for all of MetLife’s facilities nationwide. Under this arrangement, Grubb & Ellis will provide a full range of real estate services for MetLife, including acquisitions, dispositions, leasing, market research and consulting.
Lease Signings Dorset International Realty, Inc. (914-925-0700) leased 1,373 sq.ft. to Motherhood Maternity at Plaza Del Sol in Puerto Rico and 1,988 sq.ft. to Motherhood Maternity at Plaza Carolina in Puerto Rico. Investment Management Associates (305-661-0110) leased 2,000 sq.ft. to Dollar Explosion and 5,470 sq.ft. to Lady of America at Sunset West Shopping Center in Coral Gables, FL. Goldman Retail Associates (310-235-0444) leased 3,000 sq.ft. to La Birria in Huntington Park, CA; 3,300 sq.ft. to The Skillet in Lancaster, CA and 19,000 sq.ft. to 99 Cents Only Stores in Los Angeles, CA. Welco Realty, Inc. (914-576-7500) leased 35,000 sq.ft. to P.C. Richard & Son at Bay Plaza Shopping Center in the Bronx, NY; 41,000 sq.ft. to Bob’s Stores in Brick Township, NJ; 35,000 sq.ft. to Bed Bath & Beyond in Brick Township, NJ; 24,000 sq.ft. to Seaman’s Furniture in Jersey City, NJ; 15,000 sq.ft. to Modell’s Sporting Goods and 10,000 sq.ft. to Dress Barn at Kmart Shopping Center in Kearny, NJ; 10,000 sq.ft. to Mandee in Queens, NY; 15,000 sq.ft. to Guitar Center in Paramus, NJ and 10,000 sq.ft. to Rainbow Apparel in Irvington, NJ. CCR McCaffery Developments (312-944-3777) leased 4,500 sq.ft. to Starbucks at The Streets of Woodfield in Schaumburg, IL. Robert K. Futterman & Associates (212-599-3700) leased 25,000 sq.ft. to Equinox Fitness Clubs at 1633 Broadway in Manhattan, NY and 27,000 sq.ft. to Equinox Fitness Clubs at 521 Fifth Avenue in Manhattan, NY. Childs Realty Group (847-870-8585) leased 1,500 sq.ft. to Quiznos Classic Subs and 1,500 sq.ft. to Oreck Vacuum Cleaners at Woodfield Corners in Schaumburg, IL; 3,800 sq.ft. to Mystique Learning Center at Village Commons in Gurnee, IL; 3,818 sq.ft. to American Mattress in Chicago, IL and 2,525 sq.ft. to Tacos El Norte at Boardwalk Plaza in Palatine, IL. The Shopco Group (817-731-0856) leased 5,070 sq.ft. to Finish Line, 1,775 sq.ft. to Ritz Camera, 3,469 sq.ft. to Carlton Cards, 1,000 sq.ft. to Sunglass Hut/Watch Station, 4,750 sq.ft. to Whitehall Jewelers and 598 sq.ft. to Flamer’s Hamburgers at Ridgmar in Fort Worth, TX. Koniver Stern Group (305-532-6100) leased 7,200 sq.ft. to TGI Friday’s at University Shopping Center in Coral Gables, FL; 15,000 sq.ft. to Williams-Sonoma and 15,000 sq.ft. to The Pottery Barn in Miami Beach, FL; 10,000 sq.ft. to Senor Frogs in Miami Beach, FL; 7,000 sq.ft. to TGI Friday’s in South Beach, FL; 900 sq.ft. to Starbucks in Miami, FL and 1,170 sq.ft. to Starbucks in Orlando, FL. R.W. Robideaux & Company (509-838-7970) leased 2,074 sq.ft. to Bag’n Baggage, 2,400 sq.ft. to Bath & Body Works, 370 sq.ft. to Godiva Chocolatier and 8,232 sq.ft. to Abercrombie & Fitch at River Park Square in Spokane, WA. Transmark Company (303-771-5012) leased a pad site to McDonald’s at Woodmen Plaza in Colorado Springs, CO.
Mergers & Acquisitions Avado Brands, Inc. (706-342-4552) recently completed the divestiture of its Applebee’s Division with the closing of the final contract for the sale of 23 restaurants in the Washington, D.C. market. With 16 individual transactions over a 16-month period, the company realized net proceeds of approximately $400 million. The divestiture will allow Avado Brands to concentrate its efforts on its four restaurant concepts: Don Pablo’s Mexican Kitchens, Hops Restaurant-Bar-Breweries, McCormick & Schmick’s and Canyon Cafe. www.avado.com Tanner’s Restaurant Group, Inc. (770-248-2298) recently entered into an agreement to acquire the assets of Crabby Bob’s Seafood Grill from Pacific Ocean Restaurants, Inc. Crabby Bob’s is an award-winning restaurant concept that offers fresh seafood, crabs, oysters and a full service bar. The company operates two units in Southern CA that average more than $2.2 million in annual sales per store. Three more restaurants are under development in Southern CA and one in Woodstock, GA. Terms of deal provide for the payment of cash or cash and stock in exchange for the assets of Crabby Bob’s and the assumption of certain liabilities. Tanner’s intends to provide capital to finance the expansion of Crabby Bob’s. Aaron Rents, Inc. (404-231-0011) recently acquired three franchised Aaron’s Rental Purchase stores in SC from franchisee Aaron’s Furniture of Charleston. The company plans to open as many as 20 company-owned stores and at least 30 franchised stores during the remainder of this year. Currently, the company operates and franchises 445 stores in 36 states. ShopKo Stores, Inc. (920-497-2211) recently made a tender offer to buy Pamida Holdings Corp., a 147-unit, NE-based chain of general merchandise stores in the Midwest, North Central and Rocky Mountain states. Under terms of the deal, which values Pamida at $375 million, ShopKo is offering $11.50 per share to Pamida shareholders and will assume $265 million in debt and capitalized lease obligations. Pamida posted sales of $672 million last year. ShopKo said that will continue to operate the Pamida stores under their current name. ShopKo currently operates 158 stores in 19 Midwestern, Western Mountain and Pacific Northwestern states. ShopKo expects to pay for the acquisition with cash on hand, and to refinance Pamida’s debt with a combination of proceeds from its upcoming initial public offering of its ProVantage division and new ShopKo debt and equity offerings. The deal is expected to close next month. www.shopko.com Bankruptcy News Chernin’s Shoes Inc. (708-229-2711) recently filed for Chapter 11 protection after it failed to work out an out-of-court restructuring plan with its major creditors. Earlier this year, the company closed two stores in Detroit, MI and six stores in the Chicago, IL market. Currently, the company operates eight full-service stores and four outlet stores in Chicago and its suburbs. Loehmann’s Inc. (718-409-2000) recently filed for Chapter 11 protection after it failed to make a $5.5 million interest payment. The company has no immediate plans to close any of its 69 stores. In 1996, the company borrowed $100 million to launch an aggressive expansion campaign, adding stores in dozens of states and in high-rent areas. It also added menswear and giftware to its stores. However, sales from the new ventures were not high enough for the company to pay back the money it borrowed and the company has lost money every year for four straight years. Weathervane Retail Corp. (203-224-6029) recently received $5.5 million of new capital from GB Equity Partners which will help the company pursue its growth strategy and emerge from Chapter 11 protection. Weathervane also has shifted its merchandise focus to the female teen and college-age retail market. The 51-unit chain, with locations mainly in the Northeastern region, plans to refurbish 30 stores and open 30 stores in the coming three years. The company’s new retail strategy calls for the opening of 3,000 sq.ft. stores in top-tier mall locations. The chain’s previous focus targeted women ages 25 to 45. The Penn Traffic Company (315-457-9460) recently received U.S. Bankruptcy Court approval of its reorganization. Under the plan, Penn Traffic’s major creditors will forgive $1.1 billion of the company’s $1.7 billion debt in return for control of the company, which has lost more than $324 million since 1994, including $103.9 million last year. Not only are creditors forgiving nearly two-thirds of the company’s debt, they also will loan the company $100 million, which will be used for an aggressive store building and remodeling campaign. In exchange, Penn Traffic will issue 19 million shares of new stock to creditors. Additionally, it will consolidate its old stock, leaving current shareholders with just one share of new stock for every 100 shares of old stock they own. The company currently operates 216 supermarkets in NY, OH, PA and WV that trade as P&C Foods, Big Bear, Big Bear Plus, Bi-Lo Foods and Quality Markets.
Closings MJDesigns (972-304-2200) plans to close its remaining 15 arts and crafts stores in TX by August. Earlier this year, the company sold its 16 stores in the Washington, D.C. market to Michaels Stores, its biggest competitor. MJDesigns filed for bankruptcy in February and with the exception of the Washington, D.C. stores, has failed to find a buyer for the chain. Wild Oats Markets Inc. (303-440-5220) recently closed its experimental Farm to Market store in Tempe, AZ because it was unsuccessful. The company tested the Farm to Market concept in two locations (the other being Buffalo Grove, IL) and it failed in both places. Fleming Companies Inc. (405-840-7200) recently closed its a Thompson Food Basket store in Peoria, IL and is planning to close its other store in Peoria. No date has been announced for the second store to close. The company is closing the two stores because they are unable to expand the stores. Later this month, the company is planning to open a 50,000 sq.ft. store at a former Kroger location at North Point Shopping Center. The store will operate under the Festival name.
Space Place Arizona Tucson- Sunrise Place Shopping Center has a 103,025
sq.ft. anchor position available for lease as well as in-line spaces of 4,400 sq.ft.,
2,980 sq.ft., 2,100 sq.ft., 680 sq.ft. and 600 sq.ft. available for lease. Demographics
include a three-mile population of 105,911 earning $44,860 as the average household
income. Florida West Palm Beach- Shops at Palm Coast is anchored by Winn-Dixie
Marketplace, Beall’s Outlet, Wild Oats Market and Tuesday Morning. The
210,000 sq.ft. project has in-line spaces from 2,000 sq.ft. up to 16,000 sq.ft., as well
as a 55,700 sq.ft. outparcel available for lease. Demographics include a three-mile
population of 78,978 earning $49,981 as the average household income. Illinois Downers Grove- Downers Plaza Shopping Center is anchored
by Office Depot, Walgreen’s, Factory Card Outlet and Golf Mart. The
85,000 sq.ft. project has spaces from 590 sq.ft. to 7,600 sq.ft. available for lease. In Gurnee-
Village Commons has up to 110,000 sq.ft. available for lease. Demographics include
a three-mile population of 81,044 earning $55,101 as the median household income.
Retailers in the area include Jewel-Osco, Ethan Allen, Office Depot and Sears
Hardware. In Roselle- Regal Mall is anchored by CarQuest Auto
Parts. The project has spaces from 2,700 sq.ft. to 9,000 sq.ft. available for lease. Michigan Farmington- Farmington Center is anchored by Damman
Hardware and Shoe Carnival. The 97,129 sq.ft. project has a 20,625 sq.ft. space
available for lease. Demographics include a three-mile population of 74,193 earning
$77,653 as the average household income. In Grand Haven- South Shore
Plaza is anchored by Quality Mattress and Fashion Bug. The 87,430 sq.ft.
project has spaces of 1,200 sq.ft. and 52,531 sq.ft. available for lease. Demographics
include a three-mile population of 25,197 earning $59,225 as the average household income.
In Muskegon- Beltline Plaza is anchored by Plumb’s Food,
Jo-Ann Fabrics and Crafts and Dollars & Deals. The 71,235 sq.ft.
project has a 7,720 sq.ft. space available for lease. Demographics include a three-mile
population of 50,872 earning $29,290 as the average household income. New Jersey Deptford- Deptford Plaza Shopping Center is anchored by Pathmark,
Raymour & Flanigan Furniture, Family Dollar and Fashion Bug. The 225,000
sq.ft. project has spaces of 2,000 sq.ft., 3,000 sq.ft., 4,000 sq.ft., 6,000 sq.ft. and
10,000 sq.ft. available for lease. Demographics include a three-mile population of 84,569
earning $45,706 as the average income. |