Mid-Del ripe for development

[easternobserver]

Check out this op-ed from the Journal Record:


Lot Lines: Underserved areas remainMarch 27, 2009 Over the past several years, retail developers largely have focused their efforts on building shopping centers in Edmond and northwest areas of Oklahoma City. Developers certainly were justified in building in these areas because of their containing high average incomes; however, there is one area that remains largely underserved that developers might want to consider for future retail projects.

The Midwest City and Del City area has seen a substantial amount of new retail construction over the past five years, but demographics show there is a need for additional retail and more shopping centers easily could be supported.

The new developments were met with incredible success, such as the 750,000-square-foot Town Center development in Midwest City, which has a vacancy of less than 5 percent. Additionally, the handful of new small strip centers built had their spaces quickly filled with new tenants or existing tenants relocating from older shopping centers.

One of the best examples of the strength of retail spending in this area is the Wal-Mart Supercenter that opened in Del City in 2006. Sources close to Wal-Mart said this store not only is one of the top revenue producers in the state for the Bentonville, Ark.-based retailer, but one of the top stores in the entire nation. As a result, this serves as a prime example of the retail potential for developers in Del City.

The primary difference between the retail trade potential of this area compared to northwest Oklahoma City and Edmond is the type of retailers that are needed. While demographics in the northern sections of Oklahoma County show the potential for more high-end retailers, this is not the case in Midwest City and Del City. The need in this area is for more moderately priced stores and discount retailers, such as Kohl’s or Target.

Furthermore, this area has good leasing potential from existing tenants looking to relocate. There are a number of older shopping centers in both suburban cities with tenants who would like to upgrade their surroundings to a newer space if the location and price are right.

In addition to retailers, Midwest City and Del City are showing strong demand for casual dining restaurants. The restaurants that are part of the Town Center development continue to see steady crowds, especially the Old Chicago restaurant. Old Chicago has quickly become one of the most popular restaurants in Midwest City, with long waits expected on most days during prime lunch and dinner hours. Additionally, local retail experts have said that many fast-food chains such as Braum’s and McDonald’s have reported some of their top-producing locations being in Midwest City and Del City.

Finally, the greatest lure for developers to this area is Midwest City’s being home to the largest employer in the metro area, Tinker Air Force Base. The base has more than 26,000 workers, which is a number that developers cannot afford to ignore.



Darren Currin is the vice president and research director for OKC Property Research LLC, an independent research and consulting firm specializing in Oklahoma City commercial real estate. He may be reached at (405) 606-6050 or dcurrin@cox.net.



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P.O. Box 26370, Oklahoma City, OK, 73126-0370 | (405) 235-3100
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[Lauri101]

Talk about mixed feelings - kind of like the guy who was told by a fortuneteller - "your 16 year old daughter is pregnant, but she going to have a genius who will grow up and find a cure to cancer and world hunger"

Most of us who live in Mid-Del, I think, recognize the fact that we are underserved as a retail market. There's a double-edge, however, to increasing the retail presence in Mid-Del - traffic, lines and congestion.

Yes, of course I want more opportunities to spend my dollars locally - convenience, proximity and tax base. On the other hand, I'd hate to see traffic congestion of Memorial Road, NW Hwy or highly-served retail areas like Dallas, Houston, etc.

OK, a large bookstore would help me get over the pain!

[Luke]

Interesting.

That new development on Sooner & I-40 will probably fill some more gaps as well.

[Thunder]

Don't be surprised if Sears actually relocate.

One prime example was when mom asked the Homeland on 44th and Sunnylane if it was going to close. They said no. Some people on here was thinking it will still be there, because the place is so cheap to operate. Well, it looks like it is closed forever. They relocated to the Del City store.

So, yeah, don't really listen to anyone from Sears or any other places. They either don't know, still in consideration, or keeping it a secret.

[Luke]

Del City's movin' up!

[narrowexpanded]

It just seems like retailers dont have the desire to expand due to state of the economy. How many projects have been put on hold or cancelled all together? Imax? Outlet Mall? Ive been racking my brain trying to figure out what retailers will end up on Sooner and I-40...what anchor stores arent already in the area? The Midwest City shops have filled alot of holes, so...what? A bookstore like Barnes and Noble would be great, but how likely is that? And is it true that a Holiday Inn is going in there? Isnt there already a new Holiday Inn across the street from the Wal-Mart?
One other thing, if its true that the Wal-Mart in Del City is one of the top revenue producers, perhaps they could take some of that revenue to hire some more people to run registers so it doesnt take us 30+ minutes to check out because there are only 5 or 6 lines open at any given time.

[easternobserver]

There is a Holiday Inn about to begin construction at I-40 and Sooner Road. It is different from the Holiday Inn Express across from Wal-Mart -- it is to be a full service hotel (pool, restaurant, banquet facilities, etc.).

[scootinger]

Doesn't Midwest City (at very least) have enough shopping centers as it is, especially with the new "Town Center" development along I-40, as well as other new retail developments? I would hope that developers would find something to do with existing buildings (i.e. old big-box stores at Reno & Midwest Blvd, or Heritage Park Mall) before building more sprawl. I'm not even a resident of the area, but sadly it doesn't seem like anyone is caring...especially since the owners of HP never even tried to make good on their plans to do something with the mall.

[Thunder]

Doesn't Midwest City (at very least) have enough shopping centers as it is, especially with the new "Town Center" development along I-40, as well as other new retail developments? I would hope that developers would find something to do with existing buildings (i.e. old big-box stores at Reno & Midwest Blvd, or Heritage Park Mall) before building more sprawl. I'm not even a resident of the area, but sadly it doesn't seem like anyone is caring...especially since the owners of HP never even tried to make good on their plans to do something with the mall.

I think that MWC is doing fine with the way they're working on bringing more businesses to the areas. With that, it generate higher tax revenues, and with that, it can help them for better plannings on existing old buildings.

[okcustu]

the renovation on the shopping center @ 15th and Midwest looks so much better

[oneforone]

Don't be surprised if Sears actually relocate.

One prime example was when mom asked the Homeland on 44th and Sunnylane if it was going to close. They said no. Some people on here was thinking it will still be there, because the place is so cheap to operate. Well, it looks like it is closed forever. They relocated to the Del City store.

So, yeah, don't really listen to anyone from Sears or any other places. They either don't know, still in consideration, or keeping it a secret.

My wife works at the HP Sears and there are no plans to relocate. The company loves that store (and most of their stores for that matter) because their paid for in full. The only expense is maintence, utilites and payroll. Her boss told me the other day they are one of the top revnue stores for the company.

Most of their customers are creatures of habit and come to Sears because it is like the neighborhood grocery store. Unlike the other big box stores the customers know the faces of the employees and the employees are willing to help them find the items they want. Unlike Best Buy or Wal-Mart, the sales people have to know their products before they can start selling.

[mireaux]

Wal-Mart in Del City is one of the top revenue producers, perhaps they could take some of that revenue to hire some more people to run registers so it doesnt take us 30+ minutes to check out because there are only 5 or 6 lines open at any given time.

howdya think they keep the prices so low? LOL

[soonerfaithful]

the renovation on the shopping center @ 15th and Midwest looks so much better

I really like how the buildings look around 15th and Key. I can't recall the Journal Record building ever looking better. Now to do something with the old Henry Hudson's. Yet most importantly let's get some tenants in those stores.

[Watson410]

I really like how the buildings look around 15th and Key. I can't recall the Journal Record building ever looking better. Now to do something with the old Henry Hudson's. Yet most importantly let's get some tenants in those stores.

I heard 7-11 bought that corner lot and planned on building there... Has anybody else heard anything like that?

[bombermwc]

Yeah, 7-11 bought up the lot and will be moving in once all the tenants are vacated and they can start construction. That's why Hudson's moved.

[mireaux]

I really like how the buildings look around 15th and Key. I can't recall the Journal Record building ever looking better. Now to do something with the old Henry Hudson's. Yet most importantly let's get some tenants in those stores.

or the even older Multimedia/Cox cable building right next to it. By the way, thats one huge Locke supply store that was the former Food4Less (or Buy4Less?..i get them confused)

[kay]

Where did Hudson's move?

[pbsawin]

Douglas Blvd just south of SE 15th St. Next to the Rib Crib.

[bombermwc]

They own the entire lot/building mireuax. If you think about it, that's almost the exact size of the newer 7/11 buildings...with the couple of shops to lease out on the side.

Hudson's is in the old Interurban on Douglas. Since they moved, their business has increased a lot too. Looks like something will finally make it in that building. It helps that it's probably the nicest Hudson's around now...if not one of the nicest bars in town.