IKEA

[Will]

Starting a new topic since this particular retailer tends to derail several different conversation threads. This could be edited and migrated if a definitive announcement is made.

This article out of Memphis this week sheds some light about what kind of a parcel and price IKEA might possibly look for in Nashville, given what they paid in Memphis/Cordova. The gist of the article is that IKEA and the property assessor are quibbling over whether the parcel should have been reassessed in 2015 based on IKEA's recent purchase price, which was ~5x the previous appraised value: http://www.commercialappeal.com/business/real-estate/Ikea-Memphis-waits-on-tax-issue-328063651.html

The takeaway for IKEA fans in Nashville is that IKEA paid $5.6M for a parcel of 35 acres: $160,000/acre. Perhaps someone with CRE experience could comment on where such a parcel and price could be had in Nashville (if they really need that much space). Those numbers would seem at first glance to preclude a standalone store anywhere near downtown, given the trend in land prices in the CBD and environs. 

 

[SEsideguy]

IKEA Comes up in Grand Rapids wish list a lot, even though there's one in Detroit 140 mi away. What they've done in Canada is open up small pick-up stores with minimal items but free pick up on Internet ordered items. Sounds OK if you don't want to do a day trip to Memphis.