HOUSTON — Locally based developer Gulf Coast Commercial Group is underway on construction of Block 14 at Garden Oaks, an 18,000-square-foot retail project the Garden Oaks neighborhood of Houston. The project is being developed on a 1.7-acre site just north of Loop 610 and is expected to be complete in July. Tenants that have already signed leases include McAlister’s Deli and Salata.
MICHIGAN — Michigan Gov. Gretchen Whitmer has signed a new executive order rescinding her stay-home order and moving the entire state to Phase IV of the “MI Safe Start Plan” in response to COVID-19. The governor’s order will enable retailers to reopen June 4 and restaurants to reopen June 8 at 50 percent capacity. Day camps for children will be permitted to open June 8. Effective immediately, groups of 100 or less will be allowed to gather outdoors with social distancing. Office work and housecleaning services can resume. Gyms and fitness centers may conduct outdoor classes, practices and games with social distancing. Michiganders must continue to wear face coverings when in enclosed public spaces and should continue to work from home whenever possible.
AFFTON, MO. — Hanley Investment Group Real Estate Advisors has arranged the $1.7 million sale of a single-tenant property net leased to 7-Eleven in Affton, which is about 10 miles south from downtown St. Louis. Built in 1989, the 2,845-square-foot property is located at 703 Union Road. Jeremy McChesney of Hanley represented the seller, Hermosa Beach, Calif.-based Equitas Investments. A Los Angeles-based private investor purchased the asset.
As COVID-19 disrupts the American economy, healthcare system and way of life, retailers and restaurants — the commercial real estate users whose very profitability and essence thrive on social congregation — have already been pegged as immediate casualties of war. According to data from the U.S. Department of Commerce, total U.S. retail sales fell by 16.4 percent between April and March, well above the projected drop of 12.3 percent. And specifically within the Lone Star State, the Texas Restaurant Association issued a statement in mid-April warning that as much as 40 percent of the state’s restaurants could remain permanently closed as a result of the pandemic. The month of May has seen Texas emerge as a national trendsetter for reopening retail and restaurant businesses. Texas Gov. Greg Abbott granted restaurants and malls permission to begin reopening on May 1, followed by gyms, bars and bowling alleys during the week of May 18 to 22. All establishments were required to reopen at limited occupancies. But even prior to the pandemic, landlord and tenants in brick-and-mortar retail were already engaged in a vicious battle against e-commerce. The introduction of COVID-19 has not changed physical retailers’ need to be aggressive, but it has …
The impact of COVID-19 has forced retailers, restaurants and service providers in the Northeast to improve their digital channels and adapt social distancing policies to continue serving customers. With retailers struggling to pay rent, landlords could find mutual benefit in reaching a compromise with existing tenants before temporary closures become permanent. Unfortunately, for many small businesses the virus has activated a Darwinian battle of the fittest among retailers with primarily physical channels. Meanwhile, e-commerce giants like Amazon are thriving in market conditions tailored to their already digital-focused business plans. Grocery stores and pharmacies have also found themselves to be arguably the most essential of services during the outbreak, as many have struggled to keep fresh food, toilet paper and other supplies on their shelves. But even after medical professionals and politicians give the “all clear” to reopen the economy completely, it is still unclear when consumers will feel comfortable returning to their favorite stores and restaurants. Northeast Real Estate Business recently caught up with three real estate professionals to gain their insights into how the virus has impacted their local markets. Below are edited responses from Ronald Dickerman, president and founder of Madison International Realty, which provides equity capital to …
MINNEAPOLIS — Minnesota-based discount retailer Target has temporarily closed six stores in four states in response to protests that turned violent over the weekend. The looting and destruction of commercial property took place in the days following the death of George Floyd, an unarmed black man who died May 25 following an encounter with Minneapolis police during which an officer kneeled on his neck for several minutes. On Sunday, several other retailers, including CVS, Apple and Walmart also announced temporary closures or adjusted hours in major cities where rioting had taken place. None of these retailers specified which stores would be closed and for how long, only saying that the measures had been taken to protect customers and employees. Other cities imposed weekend curfews, and the City of Philadelphia ordered all retailers to close entirely on Sunday. The National Retail Federation (NRF), a trade association representing the industry, issued a statement on Monday imploring Americans to cease defacing and plundering retail properties in the name of general welfare. “Of primary concern to our retailers is the safety of their teams, the communities they serve and the emotional and physical well-being of their African American colleagues and customers,” said Matthew Shay, …
CHICAGO — Boutique fitness concept Studio Three has signed a 10,000-square-foot lease at 333 N. Green, a new office building in Chicago’s Fulton Market. Studio Three, which offers cycling, yoga and interval classes, is slated to open in the first quarter of 2021. The Chicago-based business currently operates two studios in Lincoln Park and River North. Sterling Bay owns the 555,000-square-foot 333 N. Green, which opened in December and is now 87 percent leased. Sterling Bay plans to move its corporate headquarters to the 19-story building this summer.
MIAMI GARDENS, FLA. — With sports absent from Americans’ daily lives due to the COVID-19 outbreak, Hard Rock Stadium in Miami Gardens has pivoted to offer a drive-in movie theater. The 65,000-seat stadium is home to the NFL’s Miami Dolphins and college football’s University of Miami Hurricanes. The field will be able to hold up to 230 cars and the open-air theater will host small groups. Events throughout Dolphins’ team history, family-friendly movies and even commencement ceremonies will be shown. Food and beverages can be purchased through an online system and delivered to cars. Those wanting to participate can click here to put their names on an email list for when tickets become available.
DAVISON, MICH. — Domino’s Pizza has leased 3,000 square feet at Davison Village Shopping Center in Davison, about 10 miles east of Flint. Domino’s will occupy space that was formerly home to YaYa’s Chicken. The property, which is anchored by The Salvation Army, is located on State Road. Michael Murphy and Tjader Gerdom of Gerdom Realty & Investment represented Domino’s in the lease transaction.
ORLANDO, FLA. — Walt Disney World Resorts has submitted a proposal to the Orange County Economic Recovery Task Force to begin reopening the Orlando parks July 11. Pending approval, Magic Kingdom and Animal Kingdom will open July 11 and Hollywood Studios and Epcot will reopen July 15. In an effort to limit large gatherings, parades and nighttime fireworks shows will still be indefinitely unavailable. Additionally, “high-touch” experiences, such as makeovers, playgrounds and character meet-and-greets, will also be temporarily unavailable, though characters will still be in the parks. To limit capacity, Disney will pause new ticket sales so it can focus on guests with existing tickets and reservations. Each guest must register in advance for park entry. A timeline for a vote from Orange County was not disclosed. Furthermore, Walt Disney CEO Bob Chapek said in an interview with ABC News that the company is in daily talks with the NBA to try to get the sports league to finish out its season at the Orlando sports park.
