Retailer News

ENTERTAINMENT RETAILER MAKES U.S. DEBUT
For its first U.S. location, family entertainment center Round One has leased 59,000 square feet at Puente Hills Mall in City of Industry, Calif. The entertainment retailer, founded in Japan, specializes in bowling, gaming and karaoke.

BOOST MOBILE TO OPEN FIRST WASHINGTON STORE
Cellular retailer Boost Mobile has leased 1,500 square feet of space at Regency Centers’ Southcenter Plaza, a 170,181-square-foot center in Tukwila, Wash. The location marks the retailer’s first Washington store. 

KITCHEN COLLECTION EXPANDING IN CAFARO MALLS
Chillicothe, Ohio-based retailer Kitchen Collection is expanding with locations in Cafaro Co.’s Frenchtown Square Mall in Clarksville, Tenn.; Kentucky Oaks Mall in Paducah, Ky.; and Kennedy Mall in Dubuque, Iowa. Each store will occupy between 2,400 and 4,300 square feet.

OLLIE’S BARGAIN OUTLET OPENS MULTIPLE LOCATIONS
Discount retailer Ollie’s Bargain Outlet has opened two locations in North Carolina. One 40,000-square-foot store opened in the Tiffany Square Shopping Center in Rocky Mount, N.C.; and another 40,000-square-foot location opened in Valley Corners Shopping Center in Hickory, N.C. The retailer, represented by The Shopping Center Group, plans to open six to eight locations in 2010.

PETCO OPENS 1,000TH STORE
Petco has opened its 1,000th store at Powell Street Plaza, a 169,419-square-foot shopping center in Emeryville, Calif. In addition to its milestone store, Petco has also opened two locations in northeast Ohio.

Management Corner

CBRE NAMES MAUREEN EHRENBERG AS GLOBAL FACILITIES MANAGEMENT LEADER
Los Angeles-based CB Richard Ellis Group, Inc. (CBRE) has named Maureen Ehrenberg as the head of Global Facilities Management for the company’s Global Corporate Services (GCS) group. GCS provides transaction, facilities and project management and strategic consulting services to major occupiers around the world. Prior to her promotion, Ehrenberg recently had joined the company as senior managing director in its strategic consulting division.

FIMIANI DEVELOPMENT NAMED RECEIVER OF MIXED-USE BUILDING IN FLORIDA
Boca Raton, Fla.-based Fimiani Development has been named as receiver for a 22,668-square-foot, mixed-use office and retail building in Fort Lauderdale, Fla. In addition to acquiring and redeveloping retail and commercial real estate properties, Fimiani’s services also include third-party leasing and management assignments of retail centers.

400 CBRE PROFESSIONALS ACHIEVE LEED ACCREDITATION
Four hundred of CB Richard Ellis Group, Inc.’s client services professionals have received the LEED® AP (Leadership in Energy and Environmental Design Accredited Professional) designation through the Green Building Certification Institution (GBCI). The individuals represent nearly every service CBRE offers, including project management, asset management, asset services, brokerage, development, facilities management, technical services, global corporate services, research and valuation. (In related news, CBRE was recently ranked among Newsweek’s top 50 greenest companies in America.) CB Richard Ellis manages more than 2 billion square feet of properties worldwide.

August/September 2009

MANAGEMENT CORNER

CB RICHARD ELLIS ADDS SENIOR MANAGEMENT DEPTH
Los Angeles-based CB Richard Ellis Group, Inc. has hired Maureen Ehrenberg to join its Global Corporate Services (GCS) organization as a senior consultant. The appointment adds senior management depth to CBRE’s Global Corporate Services business, which provides transaction, facilities and project management and strategic consulting services for major occupiers around the world. Previously, Ehrenberg led the Global Client Services business for Grubb & Ellis.

VETERAN RETAIL MANAGER JOINS LACKMAN COMMERCIAL GROUP
Jeffrey Pearson, a veteran retail operations manager, has joined Scottsdale, Ariz.-based Lackman Commercial Group as a real estate agent. He is a 27-year veteran of retail management, having held regional management positions with Ross Dress For Less, OfficeMax and Herman’s World of Sporting Goods.

CBL TO MANAGE MIDWAY MALL IN TEXAS
Chattanooga, Tenn.-based CBL & Associates Properties, Inc. has been awarded the management contract for Midway Mall, a 471,000-square-foot regional mall in Sherman, Texas. CBL has assumed management, leasing and marketing for the mall. CBL currently owns, holds interests in or manages 161 properties, including 89 regional malls/open-air centers totaling 86.8 million square feet — including 2.7 million square feet of non-owned shopping centers managed for third parties.

NAI GLOBAL SELECTS FIDELIS COMMERCIAL REAL ESTATE SERVICES TO EXPAND COVERAGE IN TEXAS
Princeton, N.J.-based NAI Global, one of the leading commercial real estate services providers worldwide, will expand its coverage in southeastern Texas with the signing of Fidelis Commercial Real Estate Services; the firm will now operate as NAI Fidelis. Based in Beaumont, Texas, and serving the Texas counties of Hardin, Jasper, Jefferson, Newton, Orange and Tyler, NAI Fidelis is a full-service commercial real estate brokerage. The firm specializes in leasing, consulting, property management and valuation services.

CASTO TO MANAGE TWO RICHMOND, VIRGINIA, AREA RETAIL CENTERS
CASTO, a leading real estate organization, has formed a new partnership with institutional investors advised by J.P. Morgan Asset Management. With the assignment, CASTO will provide property management and leasing services to two Ukrops-anchored retail properties in the Richmond, Va., area: Harbour Pointe Village, a 123,000-square-foot shopping center located in Midlothian, Va.; and Stony Point Shopping Center, a 78,000-square-foot center in Richmond.

June/July 2009

Retailer News

WALGREENS INCREASES APRIL SALES BY 11.1%
Walgreens has increased its April sales by 11.1%. Between April 2008 and 2009, there has been nearly a $5.4 million increase in sales. Walgreens opened 51 stores during April, including four relocations, acquired one store and closed one. By the end of April, there were 7,282 locations.

ICSC NAMES FOUR WINNERS OF 2009 “HOT RETAILER” AWARD
The International Council of Shopping Centers, Inc. (ICSC) has named the winners of the 2009 “Hot Retailer” awards. The winners include the Blue Jeans Bar, Edward Beiner – Purveyor of Fine Eyewear, Fashionlogy and OrangeCup. The award recognizes innovative retail concepts that are appearing in shopping centers worldwide.

FILENE’S BASEMENT ENTERS AGREEMENT WITH CROWN AQUISITIONS
Filene’s Basement has reorganized under the Chapter 11 Bankruptcy Code. The agreement is that Crown Acquisitions will purchase 17 of the 25 existing stores. Crown plans to operate the stores under the Filene’s Basement name and maintain the chain’s value merchandising model. The remaining eight Filene’s Basement stores and other assets will be solicited.

BASKIN-ROBBINS PLANS 45 NEW STORES IN ST. LOUIS REGION
Canton, Mass.-based Baskin-Robbins, the world’s largest chain of ice cream specialty shops, has opened up the St. Louis region for franchise sales, with more than 45 new stores projected throughout the area. Currently, the company operates more than 6,000 stores in 35 countries and opened more than 600 stores globally in 2008. Baskin-Robbins is now seeking exceptional franchisee candidates in St. Louis to be part of an unprecedented growth campaign designed to increase its U.S. presence.

ANCHOR BLUE TO CLOSE 46 UNDERPERFORMING STORES
Anchor Blue, a specialty retailer of casual apparel and accessories for teens and young adults, plans to close 46 underperforming stores as part of its overall restructuring plan. Currently there are 177 stores across 12 states. Gordon Brothers Group, a global advisory, restructuring and investment firm, is running the store closing sale on Anchor Blue’s behalf.

EDDIE BAUER FILES FOR CHAPTER 11 BANKRUPTCY PROTECTION
Eddie Bauer Holdings, Inc. has voluntarily initiated proceedings under Chapter 11 of the U.S. Bankruptcy Code in the U.S. Bankruptcy Court in Delaware. The company has entered into an asset purchase agreement with an affiliate of CCMP Capital Advisors, LLC to buy the company’s assets through a bankruptcy process, subject to auction and approval, for $202 million in cash. CCMP Capital, a global private equity firm with experience in the retail and consumer sectors, has agreed to keep the majority of the stores open and retain the majority of the employees; support company motions to maintain critical vendor relationships and payments; and support company motions to honor gift cards and the company’s loyalty reward program.

DUNKIN’ DONUTS FRANCHISEE TO OPEN 12 NEW STORES IN OHIO
Canton, Mass.-based Dunkin’ Donuts, the largest coffee and baked goods chain in the world, has signed a multi-unit store development agreement with Giant Oil, Inc. for the development of 12 restaurants in Dayton, Ohio. The franchisee’s plans call for one unit to open in 2011 and the balance within the next 5 years. Headquartered in the Tampa Bay, Fla., area, Giant Oil has a diversified background in the retail industry, in management, ownership and convenience store operations. Dunkin’ Donuts has more than 8,800 restaurants in 31 countries worldwide; in 2008 its global sales were $5.5 billion.

FIRST “P.S. FROM AEROPOSTALE” STORE OPENS
Aeropostale, Inc., a mall-based specialty retailer of casual and active apparel for young women and men, has opened its first “P.S. from Aeropostale” store in the Palisades Mall in West Nyack, N.Y. The company plans to open nine additional stores, primarily in the New York metropolitan area, during fiscal 2009, as well as an e-commerce site at www.ps4u.com. The new P.S. from Aeropostale brand offers merchandise for girls and boys ages seven to 12. The company currently operates 881 Aeropostale stores in 49 states and Puerto Rico, 34 Aeropostale stores in Canada, and one P.S. from Aeropostale store in New York.

ABERCROMBIE & FITCH TO CLOSE RUEHL OPERATIONS
Abercrombie & Fitch and its board of directors have agreed to close its 29 RUEHL branded stores and related direct-to-consumer operations. The company expects the closure to be substantially complete by the end of the current fiscal year. The company estimates the net cash outflow associated by the RUEHL closings, prior to associated tax benefits, will be approximately $75 million. Currently, the company operates 350 Abercrombie & Fitch stores, 210 abercrombie stores, 507 Hollister Co. stores, 29 RUEHL stores and 16 Gilly Hicks stores in the U.S.

NORDSTROM RACK TO OPEN AT BUCKHEAD STATION IN ATLANTA
Seattle-based Nordstrom, Inc., a leading fashion specialty retailer, plans to open a 38,000-square-foot Nordstrom Rack, a unit of the company’s off-price retail division, at Buckhead Station shopping center in Atlanta in spring 2010. This will be the retailer’s second Nordstrom Rack in the greater Atlanta area.

Management Corner

CROWLEY & BOYCE RETAIL PROPERTY ADVISORS UNDERWAY
Linda Crowley, SCLS, and Carie Boyce have come together to form a new partnership called Crowley & Boyce Retail Property Advisors, designed to enhance the value of operating retail properties, as well as provide market, demographic and tenant operations analysis, repositioning and tenant retention strategies. Prior to forming Crowley & Boyce, Crowley was the president of Urban Street Advisors. Boyce held positions with Wherehouse Entertainment, Bristol Farms and Gelson’s Market prior to forming the group.

CBRE NAMED WORLD’S FASTEST GROWING RETAIL PROPERTY MANAGER
According to Chain Store Age, CB Richard Ellis Inc. (CBRE) is the world’s fastest growing retail property manager. CBRE has added 18.7 million square feet of global retail property management assignments in 2008, which is 35% more than the next-highest-ranked provider. CBRE completed more than $23.5 billion in retail transactions worldwide for its clients.

NEW HIRE FOR RCG VENTURES
In May, Brad Garner joined Atlanta-based RCG Ventures as vice president of operations. He has more than 15 years of commercial real estate experience based in the areas of property investment, development and management. Garner has held previous positions with BVT Equity Holdings, Equity One and Regency Centers.

May 2009

Retailer News

BEST BUY TO OPEN NEW STORES IN CHINA WITH WINCOR NIXDORF TECHNOLOGY
Consumer electronics retailer Best Buy has adopted Wincor Nixdorf’s “New Store Opening” solution to support its business in China. Wincor Nixdorf, a Germany-based provider of IT solutions and services to retailers and retail banks, was awarded the contract to open six new Best Buy stores in China as part of the retailer’s strategic expansion program. Wincor Nixdorf completed the project in 4 months to ensure Best Buy’s stores were operational in time for the respective official store openings and will continue to provide ongoing support services. Best Buy has more than 1,000 stores worldwide.

EQUINOX FITNESS CONTINUES TO EXPAND
Despite the continuing economic downturn, Equinox Fitness Clubs has been expanding in 2009. Already it has opened a new club on New York City’s Upper East Side; completely redeveloped and reopened its original flagship, its 76th Street club on the Upper West Side; and is set to open its second Boston location this spring and its first Dallas location in Highland Park. Equinox Fitness also plans to open new Pure Yoga locations including a flagship studio in Los Angeles and additional Pure Yoga studios in New York City and Southern California. Equinox Fitness originally joined forces with Asia’s top yoga studio in 2008 when it launched Pure Yoga’s first U.S. location in New York City. Equinox Fitness currently has more than 45 locations nationwide.

CONSTRUCTION UNDERWAY ON FIRST FLIP FLOP SHOPS IN NEVADA
Schiller Park, Ill.-based Englewood Construction plans to finish construction on the first Flip Flop Shops in the state of Nevada this month. The Atlanta-based retailer is the first retail chain dedicated to flip flops. The new store will occupy 723 square feet of first floor space in Mandalay Place, the upscale shopping center attached to the Mandalay Bay Hotel & Casino in Las Vegas. As members of the U.S. Green Building Council, Englewood Construction and Flip Flop Shops will include environmentally friendly features in the Mandalay Place store, such as natural cork flooring and low-e lighting. Englewood also plans to reduce cost and energy by purchasing as much local construction materials as possible. The firm also plans to use local Las Vegas vendors and subcontractors on the job. In addition to being the first Flip Flop Shops in Las Vegas, the Mandalay Place store is also one of the first three franchised Flip Flop Shops in the world; the other two are in Guam and Vancouver, B.C. Serving as architect for the store was Scottsdale, Ariz.-based FM Group, Inc.

AEROPOSTALE EXPANDS INTERNATIONALLY
Aeropostale, Inc., a mall-based specialty retailer of casual and active apparel for young women and men, has opened its first international store outside North America. The new store is located in Dubai, United Arab Emirates (UAE), at the Oasis Centre Mall. Aeropostale selected Apparel Group, LLC as its licensee to open and operate its mall-based stores in the Middle East. Aeropostale and Apparel Group expect to open more than 20 stores in the region, including flagship locations at premier malls in UAE, Kuwait, Bahrain and Qatar, over the next few years. “This region has become a major shopping destination with some of the best known malls in the world,” says Julian Geiger, chairman and CEO of Aeropostale. Currently, Aeropostale operates 874 stores in the U.S. and Puerto Rico, and 29 stores in Canada. Apparel Group, LLC is a fashion and footwear retailer with over 500 stores and more than 50 international brands.

Y-3 OPENS FIRST WEST COAST LOCATION
Y-3, a collaboration between Japanese fashion designer Yohji Yamamoto and sports retailer Adidas, has opened its first West Coast location in Fashion Island in Orange County, Calif. Fashion Island is an open-air retail center with more than 200 specialty shops, department stores and a variety of restaurants. Y-3 Fashion Island will offer Y-3’s women’s and men’s collections, along with footwear and accessories.

PAYLESS SHOESOURCE ENTERS MIDDLE EAST
Payless ShoeSource, the largest specialty family footwear retailer in the Western Hemisphere, has opened its first stores in the Middle East. In partnership with its franchisee, M.H. Alshaya Co., the leading retailer in the region, Payless ShoeSource opened at The Avenues mall in Kuwait as well as the Sahara Mall in Riyadh, Saudi Arabia. Through the franchise arrangement, Payless provides Alshaya with retail operations and merchandising expertise. Alshaya provides retail location strategy, construction, logistics and store staffing. Currently, Payless has more than 4,500 stores chain-wide. Payless ShoeSource, Inc. is a unit of Collective Brands, Inc. M.H. Alshaya Co. is an international franchise operator for over 50 of the world’s most recognized retail brands, including Payless ShoeSource, Express, Starbucks, H&M, The Body Shop and Foot Locker. M.H. Alshaya Co. is the retail business of Alshaya Group, which was founded in Kuwait in 1890.

GOTTSCHALKS COMPLETES BANKRUPTCY ACTION
After completing the court-supervised auction for its business, Gottschalks Inc. has agreed to the proposed liquidation of certain of its assets by a joint venture comprised of SB Capital Group, LLC; Tiger Capital Group, LLC; Great American Group, LLC; and Hudson Capital Partners, LLC. As proposed, the joint venture would be appointed by the company to conduct the sale of merchandise located at the company’s retail stores and distribution centers and to dispose of some of the company’s furnishings, trade fixtures and equipment. If approved by the Bankruptcy Court for the District of Delaware, the proposed liquidation is expected to conclude by mid-July 2009. Gottschalks is a regional department store chain, currently operating 55 department stores and three specialty apparel stores in six western states.

APRICOT LANE LOOKS FOR FIRST GEORGIA LOCATION
Apricot Lane, the specialty retailer of women’s fashion and accessories, is currently looking for franchise locations for its first ever Georgia boutique. As a franchise, each location will offer the typical lines of clothing, accessories, gifts and home décor, as well as other items based on local market needs and trends.

MUVICO SELLS FOUR THEATERS AS PART OF RESTRUCTURING PLAN
As part of a restructuring plan, Fort Lauderdale, Fla.-based Muvico Theaters has sold four theaters to Plano, Texas-based Cinemark USA for an undisclosed amount. The cinemas include Muvico Palace 20 in Boca Raton, Fla.; Muvico Boynton 14 in Boynton Beach, Fla.; Muvico Paradise 24 in Davie, Fla.; and Muvico Egyptian in Hanover, Md. Cinemark will rebrand the properties. Using the capital from the sale and Amaturo’s investment, Muvico will upgrade its existing 10 facilities, adding amenities such as interactive gaming and dining options. The company will also soon start constructing new properties in Fredericksburg, Va., and Coconut Grove, Fla.

SAVE-A-LOT OPENS THREE NEW ORLEANS LOCATIONS
Save-A-Lot has opened three new stores in New Orleans as part of its continuing commitment to help revitalize the city. The new stores join four existing Save-A-Lot food stores that were rebuilt or renovated after Hurricane Katrina. Approximately 100 employees have been hired at the new stores, with Save-A-Lot contributing a combined investment of $6 million.

MICROSOFT TO OPEN RETAIL STORES
By Jon Ross

Microsoft is working on a plan to develop its own retail stores to create a personalized computer-buying experience worldwide. The company has hired David Porter, who most recently worked at DreamWorks Animation, as corporate vice president of retail stores. Porter will lead Microsoft’s retail stores team and will be in charge of creating a strategy for Microsoft-branded stores.
     “Our target is a small number of high-profile experience stores in a few major cities around the world,” a Microsoft spokesperson says. The spokesperson went on to say that the new stores will “show and demonstrate Microsoft’s key consumer products in a deeper and more meaningful way, making it more simple and easy for consumers to purchase PCs and devices that truly meet their needs.”
     No details have been released about the size or location of the stores, but Porter will most certainly draw from his more than 25 years of retail experience when creating Microsoft’s new retail game plan.
     “We are extremely pleased about brining on David Porter to lead our retail stores strategy,” the spokesperson says. “He is one of the most talented and driven executives in this industry. With his experience and record of success in the industry, he is uniquely qualified to create a better end-to-end experience for our customers.”