High End Urban Retail Development Challenges: Case Study from Queens NY

http://retailtrafficmag.com/design/a...ail_lifestyle/

I came across this article about a high-end "retail life center" development that is struggling in Queens. It got me thinking about about the challenges that similar developments would be faced with in our beloved Detroit. We all hope for such developments in the city, but are the hurdles just too high for this to occur? The primary issue cited in the article is the improper selection of tenants when compared to the socio-economic status of the surrounding neighborhood. Other, equally relevant, issues are cited as well, such as poor access to freeways and the presence of other competition close by.

Couple the pure economics with the recent high-profile crimes downtown, and it seems paints a poor picture. Thoughts?

The last paragraph is where we have to start. As I have said many times we need to have basic stuff before we can have fancy stuff. You can't support a Von Maur if your market does not support a Family Dollar.

Much of Detroit does have great freeway access, but that irrelevant for providing the services that Detroiters need and deserve. You don't need to have freeway access for a Walgreens. For an Ikea? sure.

I've always felt this way about Detroit. I never could figure out how places like Marc England De Mode and Zaccaro's could have ever expected to survive when they surrounded by wig shops, beauty supply, and liquor stores. I'm surprised the Woodhouse day spa is still open. This is a meat and potato town regardless of the strides midtown has made. Makes me wonder if a wild whole foods could survive if they came here.

Whole Foods probably wouldn't survive. A well run neighborhood co-op offering similar goods at lower prices might [[and would be complimentary to Eastern Market style shopping).

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Originally Posted by 7miledog

http://retailtrafficmag.com/design/a...ail_lifestyle/
The primary issue cited in the article is the improper selection of tenants when compared to the socio-economic status of the surrounding neighborhood. Other, equally relevant, issues are cited as well, such as poor access to freeways and the presence of other competition close by.

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This center [[Shops at Atlas Park) has been a poor performer because of a weird, isolated location. It likely has almost nothing to do with surrounding demographics, because there's lots of higher end retail just to the north, in Forest Hills [[J Crew, Banana Republic, Sephora, etc.).

This complex is surrounded on two sides by cemeteries and has very limited transit access [[just one bus line). The "neighborhood" consists of cemeteries and warehouses.

In contrast, Forest Hills has subway, suburban rail, a million bus lines, and is walkable to heavy residential density. That's the difference.

Re. Detroit, I don't think lifestyle centers are really the right mix of stores, regardless of location. Detroit would probably be best suited for big-box retailing in the outer neighborhoods, and a mix of street-level independents and chains in the core neighborhoods.

Quote:

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Originally Posted by Bham1982

Re. Detroit, I don't think lifestyle centers are really the right mix of stores, regardless of location. Detroit would probably be best suited for big-box retailing in the outer neighborhoods, and a mix of street-level independents and chains in the core neighborhoods.

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I agree with this statement.