Laserfiche WebLink
Landlords/Developers Also Get Innovative <br /> The lack of new construction is also driving owners to invest in existing properties through <br /> renovation and/or adding retail pad sites. An example is Burnsville Market where Cub Foods is <br /> being razed and relocated on the site and new junior-box pads are being added. In other cases, <br /> developers are snagging sites where they can add a small-shop building and fill it with a coffee <br /> shop, quick-serve restaurant, cell phone company, etc., which drive the highest rates. <br /> Grocery Shakeup Continues <br /> Grocery is retail's hottest category, and a battle continues as more grocer concepts compete in <br /> a very crowded market. Newer arrivals Hy-Vee and Fresh Thyme Farmers Market are aggressively <br /> expanding and have entered a market that traditionally has been dominated by Cub Foods, <br /> Target and Walmart. They also face competition from warehouse clubs Sam's Club and Costco. <br /> In addition, Aldi, Jerry's Foods, Whole Foods Market, Trader Joe's, Lunds & Byerly's, and <br /> Kowalski's Markets are active. Newcomers Lucky's Market, 365 By Whole Foods and Meijer's are <br /> scouting locations. Food co-ops such as Eastside, Linden Hills and The Wedge are exploring <br /> mergers to stay competitive. <br /> New Coffee Players 'Percolating' in the Market <br /> New coffee competition is coming as Dunkin' Donuts and Tim Hortons announced they are <br /> opening Twin Cities locations. They will compete for prime sites with established coffee shops <br /> Caribou Coffee, Starbucks and Dunn Bros. <br /> Other Hot Concepts <br /> In addition to grocer and coffee,additional growth categories include quick-serve restaurants like <br /> Piada Italian Street Food, Five Guys Burgers and Fries, Naf Naf Grill, Chick-fil-A and Shake Shack; <br /> value and off-price retailers like T.J. Maxx and Marshalls; retail health clinics like MeclExpress; <br /> banks; fitness concepts; and daycare centers. <br /> Next Big Development Is Still Missing <br /> Large retail projects are underway in Eagan and Woodbury. However, once this round of <br /> development is complete, there are no large retail projects on the horizon. While there may be <br /> many factors,the cost of land, labor and materials is high, making development challenging.Also, <br /> there may not be enough new suburban housing development yet to justify large-scale new <br /> construction. In addition, the market may have been a bit overbuilt in the last boom and <br /> developers may be a little gun shy. <br /> 40 <br />