The Threat of Retail Cannibalism

[LRguy21]

With 3 to 4 Mid to Major retail project either build, being built, or in the works in the Little Rock Area, do you think we face the threat of retail cannibalism?

[Architect]

With 3 to 4 Mid to Major retail project either build, being built, or in the works in the Little Rock Area, do you think we face the threat of retail cannibalism?

[bchris02]

Ultimately what we will see is one or two of these centers actually materialize on the planned scale and the others being downgraded, much like what has been seen at Shackleford Crossing and Pleasant Ridge. I think the Promenade and Park Avenue have a good shot. I am not sure about the Shoppes at North Hills, but from what we know that is going to be a different kind of shopping center so it might not be as much of an issue there.

[Architect]

Ultimately what we will see is one or two of these centers actually materialize on the planned scale and the others being downgraded, much like what has been seen at Shackleford Crossing and Pleasant Ridge. I think the Promenade and Park Avenue have a good shot. I am not sure about the Shoppes at North Hills, but from what we know that is going to be a different kind of shopping center so it might not be as much of an issue there.

[bchris02]

I think that in order for the Shoppes at North Hills to even be legitimate, its going to have to pull in the "third" location of some of the high-end Park Plaza/Promenade tenants, and it will have to beat out McCain Mall to boot (which may be easy plucking these days).

[LRguy21]

I far to young to really really remember the Summit mall. I just remember my heights friends parents going bonkers over it. blah this and blah that. Was it suppose to be huge? can anyone elaborate? Not so side track, but i just don

[bchris02]

I far to young to really really remember the Summit mall. I just remember my heights friends parents going bonkers over it. blah this and blah that. Was it suppose to be huge? can anyone elaborate? Not so side track, but i just don

[Architect]

Summit Mall was supposed to be a major regional mall, something like 1.3 million square feet if I remember correctly. It would have been a larger mall more like one you would find in Dallas. The argument against it was the fact it would cannibalize retail elsewhere in the metro, more specifically Midtown including Park Plaza. There were some other problems with traffic concerns, Simon not wanting to comply, etc that I don't really know.

I would like to see a renovation of McCain Mall. That mall has so much potential and could easily be one of the premier malls in the state.

[LRguy21]

Thanks. I remember it was going to be BIG. and that

[Architect]

Thanks. I remember it was going to be BIG. and that

[bchris02]

Somebody needs to sue Simon for neglecting McCain Mall before its too late. I think with a simple makeover, it could easily attract another anchor like Macy's into the M.M. Cohn spot as well as more higher-tier stores. Does anybody know how McCain fares as far as sales per square foot? I remember seeing that Park Plaza averages about $470 per square foot.

[LRguy21]

Architect, sorry about the generilation. that was a fault on my part. I jsut remember my freinds dad being really really against it. but i think it had to do more with personal ties.........etc.

anyways, What would LR be like today with The Summit. I asume that Macys would be here by now. possilby sacks? Nordstroms?

[bchris02]

Architect, sorry about the generilation. that was a fault on my part. I jsut remember my freinds dad being really really against it. but i think it had to do more with personal ties.........etc.

anyways, What would LR be like today with The Summit. I asume that Macys would be here by now. possilby sacks? Nordstroms?

[theman]

Summit Mall was supposed to be a major regional mall, something like 1.3 million square feet if I remember correctly. It would have been a larger mall more like one you would find in Dallas. The argument against it was the fact it would cannibalize retail elsewhere in the metro, more specifically Midtown including Park Plaza. There were some other problems with traffic concerns, Simon not wanting to comply, etc that I don't really know.

[Architect]

Nordstrom no. Saks, probably not. Macy's, definitely.

While I can see both sides of the issue, its sort of sad that instead of this:

we now get this:

But the Midtown district as a whole will be much better off.

[schwilj]

Nordstrom no. Saks, probably not. Macy's, definitely.

While I can see both sides of the issue, its sort of sad that instead of this:

we now get this:

But the Midtown district as a whole will be much better off.

[LRguy21]

Those pictures really make the whole project seem so sad. But hey, It will find its place. Who knows, maybe this Wal-Mart will draw others over there. But what type of crowd is the question? Anyways, S.C. will find its place. I bet the developer is pulling over time to bring in tenants. I hope he is. Its EMPTY now.

[bchris02]

Those pictures really make the whole project seem so sad. But hey, It will find its place. Who knows, maybe this Wal-Mart will draw others over there. But what type of crowd is the question? Anyways, S.C. will find its place. I bet the developer is pulling over time to bring in tenants. I hope he is. Its EMPTY now.

[Hyacinth]

SC is within a mile of the John Barrow/Parkview neighborhood. I drove through there recently and I don't mean to sound judgemental but if that's the demographic that will be shopping there then this center will not ever reach its full potential.

This center deserves so much more than Dollar General and TJ Maxx. These stores have their place just not in SC. IMO. Especially considering the SC aesthetic.

[LRguy21]

God i hope that SC doesn

[bchris02]

Well mid and upscale retailers don't have the objection to being in the same development with Target as they do Wal-Mart. Memorial City, which is probably the second best mall in Houston has Target as one of its anchors. Target doesn't attract the same demographic as does Wal-Mart.

[Architect]

As if the paper were reading our minds (or this post), there was an article in today's Democrat Gazette dealing specifically with the basis of this post (cannibalism), entitled "Retail Sites Busy Recruiting Tenants". Here's the link (I have a subscription - unsure if this is accessible to everyone):

http://www2.arkansasonline.com/news/2007/d...nants-20071212/

In essence, its saying that the market would have been cleaner and more conducive to tenants had ONE major development occurred as opposed to the resultant fragmentation - using Pinnacle Hills Promenade as a case study of the opposite scenario in this market.

[Stormcrow]

As if the paper were reading our minds (or this post), there was an article in today's Democrat Gazette dealing specifically with the basis of this post (cannibalism), entitled "Retail Sites Busy Recruiting Tenants". Here's the link (I have a subscription - unsure if this is accessible to everyone):

http://www2.arkansasonline.com/news/2007/d...nants-20071212/

In essence, its saying that the market would have been cleaner and more conducive to tenants had ONE major development occurred as opposed to the resultant fragmentation - using Pinnacle Hills Promenade as a case study of the opposite scenario in this market.

[Architect]

I can't access that one but I read this one in the NWA version of the ADG:

http://www.nwanews.com/adg/Business/210426/

I'm guessing it's the same article. Wonder if the author visits here, lol...

[theman]

A couple of points.

First. I thought it was kind of funny when the article said that Pleasant Ridge and the Promenade at Chenal were competing for the upscale retailers. Each has a few that I would consider upscale. Pleasant Ridge - Fresh Market, Bonefish and maybe Crew and Imagine. Promenade - J Crew, Apple and the IMAX. I guess their definition of upscale is different than mine.

Second. I agree with the article in that it would have been better to have one huge retail center instead of all of these smaller ones. With that said, I'm wondering where the Border's, Restoration Hardware, Coach, Nine West, DSW and many more retailers are. It was said that they didn't want to come to the market because there hadn't been any new developments. Well, we have plenty now to choose from now. Maybe Strode is going to be the white knight and save us by bringing in some of these retailers to Park Avenue.

Third. With all of these developments I'm hoping to see more restaurants as well. We have been seeing a lot local restaurants open in the past few months, and that's a good thing, but there are several chains that I would like to see in LR as well. It will be interesting to see which two restaurants will be at Midtowne and the others that will come into the Promenade Chenal.