What area is your expertise?
The CBRE Retail team represents landlords and brokers in central Indiana.
What trends do you see presently in retail development in your area?
Increase in Mixed-Use Developments
Development of Lifestyle Center and/or redevelopment, which includes a lifestyle center-like addition
What type of retail product is doing well in your area?
Grocery anchored centers; Town Centers/Lifestyle Centers and Malls
What retailers are new to your area?
Squeeze; Moochie & Co; Garden Ridge; Harlem Furniture; Fogo de Chao: Embarq; Taste of Tango; Ridemakerz; Stir Crazy; Adobo Grill; Golfsmith; Jared Jewelers; Marmi; Strasburg Children; Z’s Oyster Grill; Granite City Brewery; Grand Traverse City Pie Company and BJ’s Brewhouse
Who are the active retail developers in your area?
Kite Realty; Mann Properties; Welbourne Development; Pine Tree; Buckingham
Please name one or two significant retail developments in your area. What impact will these projects have on the market?
Redevelopment of Glendale Town Center: Kite Realty has re-developed this mid-town retail enclosed mall to become a Target and Macy’s anchored, power center (with a town feel). B-shop buildings have been added to surround the existing Macy’s — new retailers include Squeeze, Lenscrafters, AT&T and Catherine’s. Target will open in late July. Panera Bread opened a new restaurant at the site, with a drive-thru.
Where is the majority of development taking place? Why is this area doing well?
The majority of the development in central Indiana is happening to the far North (Fishers/Noblesville) and far South (Greenwood/Bargersville). These areas continue to do well as they are densely populated with growing population numbers; Household incomes are above average and families dominate the neighborhoods.
What area do you expect to be the next big retail development market? Why?
I suspect that with the new highway interchange along Interstate 74/Brownsburg this area will experience a “boom”. Additionally, the SR 135 corridor is poised for expansion and developers have purchased/optioned most of the available raw ground.
Please describe the retail leasing activity in your area.
Activity has definitely slowed but retailers are still in the market, looking for space. Hardest hit retailers –home improvement and furniture have all but halted their new market entry. New concepts continue to identify Indianapolis as a solid, steady market for their food and apparel concepts.
Please give a measure of retail vacancy rates and a measure of available sublease space.
What types of retailers should look into your market in the coming year? What type of retail is needed?
Restaurants will continue to enter the central Indiana market as Hoosiers continue to spend “food away from home” dollars.
Submitted by Donna Hovey, vice president, Retail Sales and Leasing with the Indianapolis office of CB Richard Ellis. Posted Online 5-29-08.
Donna Hovey