HOUSTON, TX – Melcher Crossing –

In 1943, Virginia Lee Burton published the now classic children’s book, The Little House.  A decade later LeRoy Melcher developed the plot of land at 4218 San Felipe Street in Houston, Texas as small strip center anchored by a U-tote’M convenience store.  What’s the connection?  The two properties, the little house and the little convenience center, share the same story; a sleepy, little parcel out on the edge of town that oh so many years later finds itself at the center of a busy, noisy urban neighborhood.  ‘The City’ grew up around the ‘Little House’.  Houston grew up around the little San Felipe Center.  The difference?  The ‘Little House’ was picked up put on a flat bed truck and moved.  San Felipe Center, now re-branded as Melcher Crossing, has been repositioned to serve the surrounding community.

Situated between Briar Oaks Lane at the St. Regis Hotel and E. Briar Hollow Lane in the River Oaks section of Houston, the 22,044-square-foot structure premiered in January 1956.  Originally built by legendary Houston businessman and philanthropist, LeRoy Melcher, for the 35th unit of the former U-Tote’M convenience store chain, it occupies a 1.07-acre parcel of land Melcher purchased in the 1940s.  Melcher acquired the U-Tote’M in 1950 and expanded the chain from ten stores to more than one thousand across thirteen states over the next two decades.  In 1983  U-Tote’M was acquired by Circle C and the stores were all rebranded.

An Overdue Update

The center has received a ground up makeover in order to resonate with the affluent River Oaks area that has grown up around it.  The art-deco inspired design has a white facade, pillars covered by shiny black tiles and simple, uniform signage on an aluminum rimmed overhang.  Trey Melcher, President of Melcher Investments and grandson of LeRoy Melcher, reported that the redevelopment cost for the project was approximately $300,000. 

The building had become a hodge-podge of dated appendages, but surprisingly, “The main driver behind the renovation,” Melcher said, “Was substantial damage sustained during Hurricane Ike.”  Sometimes it’s a good thing when your old mansard roof gets beat up by a force majeure – it forces an overdue upgrade.  After losing its identity, the center has reemerged with a remodel that returns to the simple lines of its past while sporting a sleek and sophisticated look that ties in with other area retail centers.

Loyalty and Progress with Tenant Relationships

Re-tenanting went smoothly. Vida, an adult only Tex-Mex Restaurant and Lounge has opened a new space in the Center.  The restaurant will open for lunch to service the local business people and will remain open till 2 AM.  The Railyard Neighborhood Bar, a finalist for the 2012 Nightclub and Bar Award is situated in the center as well.  It is a reinvention of the former Roll-N Saloon, one of Houston’s celebrated dive bars.  Both establishments are owned and operated by Melcher Investments.

Harry’s Shoe’s and Boots, celebrating 50 years of continuous operation in this location moved to a new space within the center.  The Postal Station, one of the oldest providers of mailbox services in Houston, which has operated in the center since 1977 renewed their lease as did Christy’s Liquor also a tenant here since the mid-1970’s.  

While remaining loyal to its long-term tenants, the center is now repositioned to receive a new class of tenants that resonate with the area as opportunities arise.  A new tenant, Real Thai Massage has committed to a five-year lease on a 1,372-square-foot wellness studio slated to debut in March.  While focusing on the healing properties of traditional Thai massage, proprietor Miranda Loetkhamfu will also offer treatments such as Swedish massage, hot stone, foot reflexology, sugar scrubs and ear candling.

“The center is now much better positioned to appeal to the area’s sophisticated clientele and the reaction has been positive from tenants, prospective tenants and visitors,” Said Melcher.  “The remodel also created an opportunity for us to create additional income with Vida, a new Tex Mex restaurant concept and The Railyard, both of which we operate.” 

There were many ‘nay-sayers’ to Melcher’s redevelopment plans.  Many of his critics couldn’t understand why he would maintain an under utilization of such a valuable site.  In Melcher’s words, “the property has sentimentality to my family – my grandfather built it – it was an opportunity to honor his legacy, while supporting the further gentrification of the surrounding area.”  So unlike Burton’s ‘Little House’, Melcher’s ‘Little Center’ stayed put and stands strong among the hi-rises around it.

 All Images are expandable.  Click on the image to view larger.  Additional images can be viewed in RR’s Facebook Gallery.

NATIONAL HARBOR, MD - 

National, regional and local economies were booming on the day in 2007 that the Peterson Cos, began construction of National Harbor, their 300 acre mixed use “community of tomorrow”, on the site of an abandoned quarry and ante-bellum plantation in Prince George’s County Maryland.  A year later the tides had turned and the “Great Recession” had begun changing development plans all over the nation.  National Harbor’s grand plan was among them.

The plan and design for the site was to convert it into a compact urban development with approximately 2,500 residential units, over 1 millions square feet of retail space, a half million square feet of office development as well as a destination hotel and convention center. The first phase of National Harbor included 320,000 square feet of retail/dining/entertainment, 2,500 residential units, 150,000 square feet of loft office, 250 timeshare/vacation units, a 200-room luxury hotel and an additional 400 traditional hotel rooms. So far, the project made a significant impact on the regional economy creating over 13,000 jobs.

DC Connections

Located along a 1.25-mile-long stretch of the Potomac River just south of the Woodrow Wilson Memorial Bridge, National Harbor offers stunning views of downtown Washington, D.C. and Old Town Alexandria.  A 15-minute drive from the heart of the nation’s capital, National Harbor is home to Gaylord Entertainment’s newest creation, Gaylord National, which boasts 1,500 luxurious hotel accommodations and a 400,000-square-foot convention center in addition to National Harbor’s first phase of development.

National Harbor offers an eclectic mix of architectural styles, a contemporary interpretation complementing the traditional Washington D.C. architectural ethos. Designed to evoke an atmosphere reminiscent of Georgetown, Annapolis and Baltimore’s Inner Harbor and inspired by classical broad European streets like Barcelona’s Las Ramblas, ‘the Avenue”, National Harbor’s main pedestrian/vehicular boulevard with a central island of kiosks, cafes and bustling pedestrian activity, opens onto a large open waterside plaza. Riverfront marina space features a section of beach and two 700-foot long piers with a canopied pavilion.  A metro stop is planned for National Harbor, as is a new water taxi service on the Potomac River.

Forging Ahead through Difficult Times

The seismic shifts in our economy seriously affected many components of the National Harbor development plan though primarily the residential and resort areas.  The retail component despite some setbacks has remained strong and on track.  Walt Petrie, chairman of Petrie Ross, also a real estate development firm said of the efforts undertaken by Milton V. Peterson, chairman of the Peterson Cos., “ he has done everything he could to see the project through the rocky economy” to completion.  “He’s forging ahead as best as he can,” Petrie continued.

Peterson’s ‘best efforts’ seem to be bearing fruit.  Despite Disney’s scrapped plans to open a 500-room resort hotel at the site the developers have signed a joint agreement with Tanger Outlets to open 80 discount stores in 388,000 square feet.  This outlet center will be the first such discount destination inside the Capital Beltway.  The Prince George’s County Planning Board approved the plan for the center last Thursday.  The cost of the outlet center will be approximately $100 million.  Final approval is expected this summer and the mall is expected to open by summer 2013

In addition, the developers continue to hammer away at individual leases signing 12,000 square feet of new restaurants and boutiques in the last few weeks.  Some of the newest additions are S.O.A.P (scented, organic artisan, pure) a refreshing apothecary of handmade bath and body products, BlinkBlanco a private-label clothing boutique, Angst, another clothing boutique concept by Rick Sarmiento and JonLei Atelier a bridal store.  Other recent additions include, the Dandelion Patch a Vienna Virginia based fine paper and stationary store, Periwinkle, a specialty clothing retailer that specializes in new and emerging designers and ChidogO’s, the ‘home away from home’ for Chicago style hot dog lovers.  Wolfgang Puck Catering and Redeye Grill are expected to sign on as well which would bring the retail vacancy rate under 15%.

Other food purveyors who will join the roster in 2012 are Nando’s Peri Peri, which specializes in flame-grilled chicken cooked in a secret, signature five-spice mixture with over 900 locations in 30 countries, Pinkberry, the L.A based frozen yogurt shop and Subway.

Boutique retailers regularly find success at National Harbor. “We are particularly pleased to partner with best-in-class entrepreneurs who are growing or expanding their businesses in the region,” said Marc Menick, vice president of leasing at The Peterson Cos.  “These unique retailers will complement National Harbor’s unique environment and provide a truly exceptional product mix for our residents and visitors.”

Despite hurdles the Peterson Company has persevered through hard times to see its vision for National Harbor come to life.  Steven Peterson, President of the Peterson Cos., wrote in his blog, “At the Peterson Cos.’ retail properties, customers come to our centers for the shopping of course, but they also come for the experience—to hear the local school choir and strolling Dickens Carolers, to take a horse and carriage ride or yes even to see Santa waterskiing on the Potomac.”  They seem to understand their customer, which has helped them to navigate through these tough times.

Click Site Plan to view Retail and Dining Directory

All images are expandable.  Click on the image to view larger.  Additional images can be viewed in RR’s Facebook Gallery.

————————————————————————————————————————————————

The Peterson Companies (www.petersoncos.com) developer of National Harbor, has an extensive history of successful development and acquisition of properties in office, retail, residential, and land development since its founding in 1970.

DDG (www.ddg-usa.com) is an internationally renowned, industry leader, delivering innovative and award-winning planning, architecture, graphics, interiors, and design solutions to commercial developments in cities, towns, and suburbs around the world.  DDG is the master architect and master planner for National Harbor.

ATLANTA, GA – Merchants Walk Center –

The redevelopment of retail property has become increasingly challenging over the past few years as the nation’s economy and particularly the real estate industry continues to suffer from the extended downturn.  Planning, thoughtfulness and a connection to the community and its needs are what separate the projects that succeed from those that don’t.  The best prospect for success, according to Ann Wexler of Databank, a commercial real estate information service inAtlanta, “lies with those centers in more affluent established areas, as that population is going to recover faster than a low income area.”

The redevelopment of Merchant’s Walk Center located in East Cobb County in suburban Atlanta is a case in point.  The 33 year old center was purchased in early 2000 for $23 million by Edens & Avant a national shopping center owner/operator.  The center included obsolete tenancies, unsuccessful second story retail space and a public library.

Construction for the redevelopment began August 1, 2009 and was completed July 2011. The redevelopment, which cost approximately $27 million resulted in an expanded and improved 360,000 square foot center.  The timeline for the construction was due to phasing therefore ensuring that existing tenants operated with as little interruption as possible.

Bold Moves: Additions, Expansions, Relocations

“In redeveloping Merchant’s Walk, we wanted to return the center to its origin as a central gathering place for the community,” said Lyle Darnall, Managing Director, Edens & Avant.

A major component of the redevelopment is the addition of Whole Foods Market as a grocer anchor. The 45,000 sq. ft. Merchant’s Walk location is Whole Food Market’s eighth store inGeorgiaand was a highly anticipated addition to East Cobb. “Merchant’s Walk is a terrific location for the South region’s growing map of stores,” said Scott Allshouse, regional president for Whole Foods Market. “The East Cobb community is ready for a new grocery option and a new place to celebrate good food and healthy eating.”  The new Whole Foods is located where the Media Play store was situated.

Another major component of the redevelopment included the expansion of Georgia Theatre Company’s Merchant’s Walk Stadium Cinemas to ensure it was a more cohesive and central component of the entire center.

In a pivotal move for the redevelopment, Edens & Avant assisted in relocating the Public Library by purchasing their property providing them the capital to move to a new 16,800 square foot location in the nearby Parkaire Landing Shopping Center.  In addition to optimizing the site plan and paving the way for a synergistic retail line up, the relocation gave the East Cobb community a brand new library and more than doubled its size.

Synergistic, Community-Focused Tenant Mix

“Along with the addition of Whole Foods and the cinema renovations, we’ve specifically created a retail mix that is truly reflective of the sophisticated nature of the local community,” said Darnall. “Shoppers will also notice new architectural design features that include enhanced landscaping, spaces for outdoor dining and a more pedestrian friendly environment. Now that the redevelopment is complete, Merchant’s Walk is once again serving as an extension of the surrounding neighborhoods and a place where shoppers can relax with their families and friends.”

For their part Edens & Avant president Jodie McLean stated that, “Merchant’s Walk is a vital part of our Southeast portfolio and a model for smart growth and community-focused, sustainable development.”McLeanalso said that having Whole Foods Market as an anchor grocer symbolizes Edens & Avant’s continued commitment to improving the food that local communities consume.

In addition to Whole Foods, Edens & Avant has leased space to the following new tenants: Cook’s Warehouse, Chipotle Mexican Grill, Pinkberry, ULTA Beauty, Mirko Pasta, Marlow’s Tavern, Fabrik and Gigi’s Cupcakes. And in perhaps one of its most cutting edge moves,Edensalso recruited Chef Doug Turbush to open Seed Kitchen and Bar his new farm-to-table restaurant.  The new tenancy clearly reflects planning, thought and dedication to the community.

Many existing tenants have chosen to stay on during the renovations.  They include Kohl’s, OfficeMax, PetSmart, Hallmark, Stein Mart, Georgia Theatre Company, WellsFargoand Old Navy. Old Navy introduced their latest design prototype with the renovation of their Merchant’s Walk store. It is one of the first nationwide locations to roll out the new design prototype with renovations completed May of this year.

Social Media Saves Trees, Gets Community Buy-In

Edens & Avant is on the forefront of social media marketing, actively setting trends in the shopping center industry.  In this instance they found that they actually had a valuable feedback loop that helped steer the redevelopment and protect the interests of the local community.  “From a public relations perspective, social media is already paying off with valuable community feedback,” said Robbie Robertson, Communications Director for Edens & Avant. “In promoting the redevelopment, local residents were able to message through the Merchant’s Walk Facebook page about saving several crepe myrtles trees that were slated for removal. After receiving lively feedback about the issue, we responded to community concerns by safely transporting the trees to a new area of the property. It’s just one example of how social media has helped Edens & Avant reach out in new ways and create added value for retailers and the communities we serve.”

The community is pleased with the redevelopment and the industry has taken notice.  Suzanne Ruth Young, a retail broker at Arcane Properties, leased this project for the original developer in the mid 1980’s and said this about the center’s history and evolution: “In many ways, the project was ahead of its time.  It was a “lifestyle” center before the advent of lifestyle centers.  The East Cobb area was actually known as “Merchants Walk” due to the significance of the center as the heart of the community.  But the center has had many challenges and renditions over the past several years.  With the current redevelopment of the center, it is finally in its best form ever.  Edens & Avant has done an outstanding job of recreating Merchants Walk not only by making the project aesthetically appealing and well designed, but by not compromising on the quality of the tenant mix.”

“As a retail real estate company, we put community at the forefront of all of our business decisions and are very mindful of the role we play in the food that communities eat,” saidMcLean. “Whether it’s choosing to do business with an organic grocer anchor like Whole Foods Market or helping launch a locally-sourced, chef driven restaurant like Seed Kitchen & Bar, we feel confident that Merchant’s Walk will contribute to the health and wellness of the local community.”

Download a PDF Booklet describing the Merchant’s Walk Redevelopment.

———————————————————————————————————————————————————–

Edens & Avant (www.edensandavant.com) develops, owns and operates neighborhood shopping centers in primary markets throughout the East Coast.  Focusing on innovative development and redevelopment together with key acquisitions in urban areas, the company has built an institutional-quality portfolio of 126 retail centers.  Edens & Avant has Regional Headquarters in Boston, New York, Washington DC, Atlanta, Columbia, SC and Miami.

LOS ANGELES, CA – District La Brea –

La Brea, an adaptive re-use redevelopment project on La Brea between 1st and 2nd Streets features eleven buildings under transformation to a complementary mix of retail, dining and creative offices. Each building in the redevelopment will undergo extensive upgrades while preserving the historic and intrinsic value of their original construction. The area already hosts an eclectic mix of showrooms, galleries and retailers with long histories on La Brea Avenue, including American Rag, Undefeated, Union and Stussy. Just down the street are La Brea Bakery, and Pinks Hot Dogs. Building on this heritage, the La Brea redevelopment seeks to emerge as a fashion and shopping destination with fashion forward retailers, creative office space, and unique dining concepts.

Madison Marquette acquired the property in 2008 and the total redevelopment cost is projected at $50 million. La Brea is scheduled to be completed in 2012, with Phase I now complete and Phase II being completed in the fall of 2011.

Layers of History

La Brea’s transformation into a “creative collective” is more than a re-use of old buildings. It is the further evolution of these buildings and the district surrounding them. The site of an Edsel Automobile dealership in the 1950’s, the property was later headquarters to one of LA’s premier printing shops, Continental Graphics Corporation which often completed work for Boeing. Each of the eleven buildings at the site has unique characteristic including wood truss ceilings, exposed brick and steel beams which will be highlighted in the project. The Continental Graphics executive office suite is like something straight out of Mad Men. It will be retained in the redevelopment in all its wood paneled, retro glory.

The 11 building project spans the entire block on the west side of La Brea with the exception of 3 buildings under separate ownership. It is being redeveloped by Madison Marquette and designed Studio One Eleven of Long Beach, CA. Tom Gilmore, VP of Real Estate, Madison Marquette commented on the choice of architect: “La Brea is an adaptive re-use of former light industrial and commercial buildings, and we felt Studio One Eleven was able to utilize existing base building facades to create interesting and efficient retail storefronts. Their strategy was to clean up existing facades and to create or expand existing openings to accommodate retail and dining uses. I think they have done a tremendous job with the buildings so far completed.” Individual tenant branding and design will be layered onto the brick, wood and concrete of the base buildings via storefront and interior improvements. Ground floor retail spaces will range in size from 600 ft to 9,000 ft and upper level office spaces range in size from 4,900 ft to 10,000 ft. The plan maintains a consistent street-level retail edge along La Brea running between 1st and 2nd Streets.

No One-Size-Fits-All

If you’re looking for a plain vanilla shell for a conservative national concept, you won’t find it here. These are not the deals you do relying solely on a site plan, these are unique spaces that each tell their own story and are looking for a concept that resonates. Building storefronts will be enhanced with expanded or newly cut openings within existing facades. Interiors will feature sandblasted brick walls and wood ceilings, polished and sealed concrete floors. Existing and authentic light-industrial accents found in many of the buildings will be maintained and re-used including freight elevator doors, sliding cargo doors, industrial light fixtures, etc. The streetscape along One La Brea will be enhanced to help further distinguish the block and to compliment the new improvements within the buildings.

“The 11 buildings along La Brea each had unique structures, rooflines and interior spaces, befitting the fact that they were individually built over a long period of time,” said Alan Pullman, Senior Principal at Studio One Eleven. “It was hard to discern their unique qualities since each had been less than sympathetically remodeled to create a bland, corporate facility that had low suspended ceilings and lacked any storefront openings to the street. Once we opened up the spaces and removed ceilings and walls, it was a revelation to see the variety of spaces and structures that were hidden. Opening up the buildings and creating new large storefront windows allowed us to appreciate the type of appealing environment that could be created by reusing the buildings.”

The most unique building in the project is a space with a 9,000 square foot dome ceiling with no supporting columns. The diamond patterned wood truss ceilings and exposed brick walls appear ready to embrace an Anthropologie, Urban Outfitters or any other concept that leverages authenticity to separate themselves from the herd. As part of the first phase, one of the spaces has been built out for a creative office use by creating seven unique workstations with 4’ partitions and an open conference room, lounge area and kitchen. The space shows off the original steel beams, exposed brick, concrete flooring with natural skylight and industrial light fixtures to brighten the space. The space also contains a unique fire door highlighting the historical aspects of the buildings.

“Our intentions, as well as that of our client’s, were to create a collection of rehabilitated storefront buildings to house a mix of retail, dining and creative office spaces that complement the eclectic La Brea district,” Pullman continued. “Our design highlighted each building’s unique characteristics, such as wood truss ceilings, exposed brick walls and steel beams. Facades were designed to be modern and understated in order to allow each merchant to showcase the real characteristics of their brand through large storefront windows. In all of our material choices and details we expressed a preference of authenticity over fluff, being mindful that if we did too much we could overwhelm the buildings and take away the ability of each tenant to chart their own path.”

Mixing Uses to Relieve Parking

One of the biggest challenge for the developing project is parking. This is not atypical in West LA where nearly every shopping center or retail district deals with some parking constraints. Although the project includes a three level parking structure on one end of the block and surface lot on the other, converting office space to retail and dining uses has challenged the developers to meet local parking requirements. This was partially addressed with a valet drop-off service but the developer’s real challenge will be to balance the tenant mix with the right combination of retail, restaurant and office space so that the various uses have peak parking times that are staggered and complementary. In this instance you can see that the “mixed-use” direction of this project is not a marketing tactic or spewn from a trend-treading governmental body, but arises naturally out of the site’s configuration and constraints.

Curated Leasing

In today’s still difficult leasing environment Madison Marquette has developed a broad based marketing program to locate and entice prospective tenants. They will target emerging local concepts and national retailers who above all are clear about their own brands and their customers and understand the best way to communicate with them. By extension marketing for La Brea requires the same focused effort with messaging in a vernacular that appeals to those that identify with the Gen Y demographic.

“La Brea will feature a mix of retail, dining and creative office space,” said Brandton Leitze (title). “We are carefully curating the La Brea experience to build on the history of both the site and the neighborhood. We are inviting an eclectic mix of emerging regional and local retail and dining brands to put down roots.” To that end, Madison Marquette recently announced that What Goes Around Comes Around will be taking 3,300 square feet and opening this month.

La Brea is a welcome addition to the emerging “brand experience” movement in retail. No longer able to compete with online retailers on price and convenience, brick and mortar retailers are beginning to shift from the physical to experiential. These stores function to showcase the brand and deliver a sensory experience in a bespoke environment that can’t be found online or in a box.

————————————————————————————————————————————————-

Click images to view larger.  Visit the RetailRemix Facebook Gallery for more photos of La Brea.

————————————————————————————————————————————————-

Madison Marquette (www.madisonmarquette.com) is a Washington, D.C.-based investor, developer and operator of retail and retail mixed-use real estate throughout the United States. The company specializes in creating unique retail destinations that respond best to consumer preferences. With regional offices in Seattle, Los Angeles, San Francisco, San Diego, Fort Lauderdale, Philadelphia, New York and Charlotte. Madison Marquette seeks investment opportunities in growing markets. The company maintains a sophisticated in-house operating capability and oversees 20 million square feet of retail real estate. This diverse national portfolio includes many properties that Madison Marquette manages and leases on behalf of third-party owners.

Studio One Eleven (www.studio-111.com) is a division of Perkowitz+Ruth Architects dedicated to creating more vibrant communities through an integrated practice of architecture, landscape and urban design. Rigorous design criteria guides all work, from urban design strategies operating at scales ranging from the block to the city, to architectural projects located on urban infill sites. Founded on the belief that the purpose of architecture is the making of more livable and sustainable cities, each project is viewed as an opportunity to physically enhance the urban context that it sustains.

PARIS, FRANCE – 2 Opera, PNB Paribas -

From the looks of it you might be in the opening scenes of a high concept thriller or a sci-fi movie directed by James Cameron but in reality you’re standing at the entrance to the new ‘State-of-the-Art’ PNB Paribas Branch at 2 Opera in Paris. Apparently the French believe that even banking should be a pleasurable experience.

Using its new Paris location as an experimental prototype to test a range of innovations and technologies, BNP Paribas, France’s largest bank by assets. In an attempt to differentiate itself from its rivals and to better integrate technology while responding to customer needs BNP Paribas undertook this innovation led strategy to improve the customer’s banking experience.

Situated at 2, Place de l’Opéra, steps from the Paris Opera, this new branch concept took 15 months to complete, including 9 months of construction, and involved extensive customer input. PNB Paribas undertook an in-depth survey of it’s users to determine what they wanted to see in a new and improved 21st Century banking environment. The bank’s clients said they wanted a user friendly branch atmosphere with a choice between real human contact when they need assistance and self-service options based on innovative technologies. The architect, Fabrice Ausset of Zoevox used this feedback to develop a striking branch concept.

The resulting building covers 6,200 square feet (1,900 square meters), distributed on two floors, of which 4,000 square feet are open to the public. The new Paris branch is expected to serve 25,000 BNP Paribas clients, more than half of them from countries other than France. The branch has 50 staff on hand each day, with some 20 specially trained to look after than bank’s international clientele.

Light Show Outside, Bespoke Colors and Furnishings Inside

The branch’s exterior is a sight to behold. Two massive LED walls flank the entrance to create a spectacular light sculpture rivaling any major retailer’s street display. From the entrance to the upstairs meeting rooms, every environment has been handcrafted. The interior is a riot of hues, what one reviewer called a “wacky funhouse of colors, shapes, textures and forms.” Overall Zoevox developed design including furniture, carpeting and color schemes. It is a surreal combination blending the styling of an upscale salon with that of a comfy European home. Throw in some contemporary tech and a dash of eccentric creativity, and the result is a visually stunning and sensory experience.

That’s not to say the property didn’t present challenges in development. In particular the building presented acoustic issues. With a cupola of over 30 feet high the atrium presented a very strong echo and resonance. In order to eliminate this, the architects along with an acoustics studies company came up with various solutions. The lounge is covered with a tridimensional layer whose large honeycombed structure breaks down sound reverberation. Vegetal walls also help control echo and soundproof tiled fake ceilings further the acoustic treatment system. Finally a device, which radiates sound showers is used in the playground and info-business areas to counter noise from the many video screens in the venue.

Infusing Technology

In the lounge area, clients and non-clients can relax, surf the internet using their own smartphones or via the iPads provided. In the banking area, they can discover the banks services and product range and perform different types of simulations on the interactive screens using the applications provided. Visitors can also access economic and financial information and check the main stock market prices via televised programs in French or English in the financial information area.

Advisers and experts are on hand at all times to help customers use the new technology. Apple technology was chosen for the iPad and applications, Sony for the tactile tables and Orange for Wi-Fi.

“Innovation is an important means of differentiation in the banking industry,” said a representative of the bank. “As such, it is central to BNP Paribas’ strategy. This unique branch model will help to develop a new approach to banking relationships and pilot the use of new technologies in the branch.”

Ten Living Areas of 2 Opera

The Concept Store features ten distinct areas that conspire to articulate the bank’s basic values of commitment, approachability, learning, responsiveness and innovation. Below are some of the highlights:

Reception Area – On both sides of the entrance hall, the particularly unusual vegetal design of the ATMs set the spirit of the self service area (cash withdrawals, change, cash deposits etc.) In the lock chamber towards the welcome area, two screens inserted into the walls and placed behind mirrors broadcast information in a most poetic way. The welcome desk of 2 Opera is a long central table around which advisors are at the disposal of clients and prospects for guidance and directions.

On the left-hand side is the exhibition area bordered by red walls, and on the right-hand side lays the monumental staircase leading to the management’s offices.

Banking Boutique – Financial products are exposed on color touch screens integrated into nine totems. Each bright-colored folded metal sheet totem provides information and tools for a specific banking topic catering to all needs and lifestyles. Users are be able to experience product range and services and perform simulations using the iPad applications provided here.

Financial Info Area – The area enables the client to develop a self-sufficient and pro-active approach. Close to the large collaborative lounge table, the Financial Info Area welcomes clients interested in stock-market activity. A sculpted Corian Marotte sandblasted glass wall presents screens that flow information in both French and English, as well as the full stock market activity. iPads are also at the custommer’s disposal so that stock transactions may be made directly on the bank’s website. The glass walls overlooking the lounge and the banking boutique are adorned by white and silver graphic designs suggesting a stock market environment.

Daily Banking Area – At the back of the lounge, the everyday banking area welcomes clients looking for simple operations such as checkbook and card withdrawals. It has two large U-shaped counters of 4 meters in length each, designed by Zoevox. The welcome counter faces the lounge. A celadon Corian bank hangs over the white aluminium sheet, which boasts a hexagonal pattern on its front and a mirror like buffered stainless steel reveal on in its lower part. Its facade is decorated with mirror-like buffered stainless-steel stems. There is no queuing, clients wait while sipping coffee or working on the iPads at their disposal. A web corner is located behind the every day banking counters.

Advisory Rooms – The advisory and meeting rooms are at the back of the lounge and on the left hand side, behind the everyday banking area. Eight rooms allow for meeting advisors with more privacy. Zoevox has conceived various ergonomics fitted to various situation and needs; facing each other around a desk, sitting in armchairs next to a coffee table, or around another touch-screen table. The see-through walls of the different lounges open onto a view of the main lounge. Privacy is nonetheless preserved thanks to a variety of graphic designs-typography, vegetal patterns on plastic vinyl and set on the glass. The meeting room is equipped with a sound insulating curtain so it can be divided, which allows for two simultaneous meetings. Behind the plant wall, a monumental staircase leads to the lounges reserved for international clients.

Non-Banking and Exhibition Area – A multipurpose area for training sessions, conferences or events hosting clients and/or BNP employees. It has two 52’’ screens and, as a première at 2 Opera, a touch- screen Sony table (35’’ multi-touch screen) where customers can make specific financial simulations for their savings, and enables more comfortable and smoother ergonomics, in contrast with the usual ‘adviser-behind-his-desk-and-opposite-his-client’ pattern. A unique and exciting addition to a retail banking environment this module enables PNB Paribas to interface with its customers on corporate responsibility activities. The very first exhibition featured was “One Laptop per Child” (OLPC). The OLPC program provides school students in developing countries with vital learning tools.

Lounge – in the center of the space, under a dome ofglass cobblestones that rises over 33 feet is the lounge. In order to create a friendlier space with a more human scale and to solve acoustic problems, a tri-dimensional ‘sheet’ with large honeycombed aluminum cells and noise-proof coating spreads 4 meters from the ground over the welcome area. In the welcome area, the celadon Corian-shelved desk conceived by Zoevox presents another poetic digital creation: its front side is a built-in stainless steel mirror, which gives the feeling it floats on its surface.

Play Area – An area where children can have fun, draw on a tiled wall or watch children’s TV programs. This space is furnished with a Zoevox table and a round sofa by Paola Lenti, and bound by a wavy wall covered with slate paint that can be drawn on.

————————————————————————————————————————————————-

Click images to view larger.  Visit the RetailRemix Facebook Gallery for more photos of 2 Opera.

————————————————————————————————————————————————-

BNP Paribas (www.bnpparibas.com) is one of the 6 strongest banks in the world and the number one bank in the Eurozone by deposits. Through its three main divisions – Retail Banking, Investment Solutions and Corporate & Investment Banking – with operations in over 80 countries and 200,000 staff, 160,000 of them in Europe, BNP Paribas is a leading European financial provider with global scope. The Group’s retail banking network is grounded in four ‘domestic’ markets – Belgium, France, Italy and Luxembourg. BNP Paribas is also growing its integrated model in the Europe Mediterranean region and has a sizeable branch network in the United States.

Zoevox (www.zoevox.com) is an interior design and architecture agency specializing in temporary installments (stands, exhibitions, events) and in retail build out and equipement supply (stores, POS, corners). Zoevox is based in Paris and was founded in 1993 by the architects Fabrice Ausset and Eric Bougaud. Since then, more than 1500 projects have been undertaken, ranging from architecture, interior design, scenography, to product design and graphic design.

Just two years after opening, the Washington Nationals,owned by Lerner Enterprises, the largest private real estate developer in the Greater Washington DC Metropolitan area, successfully undertook a renovation of the PNC Diamond Club which serves the fans and season ticket holders in the section immediately behind home plate.  The result is a sleek new high-energy setting featuring a contemporary design aesthetic.

According to Frank Gambino, VP for Facilities for the Washington Nationals, the club was designed prior to Lerner’s acquisition of the team and had certain functional constraints.  One of the main goals of the renovation was to address these constraints.

An Offseason Remedy

The primary objective was to significantly upgrade the overall appearance of the space.  The original design featured an old-fashioned baseball theme.  The ownership wanted a more upscale, modern look to attract and maintain membership. The renovation of the club included a new façade and entry to welcome members to an urban upscale dining and lounge environment. The new entry creates a sense of arrival and the layout also features a second set of double doors, relieving congestion.  At the exterior concourse, modern interpretations of pennants feature Hall of Famers Buck Leonard, Josh Gibson and Walter Johnson. Also featured are Frank Howard and Ryan Zimmerman.

Perkowitz + Ruth Architects, a national architecture firm based in Long Beach, Calif with offices in Washington D. C. was brought in to redesign the club.  They began work on the project in late October 2009 just after the end of the MLB season and completed it in March 2010 in time for opening day.  “They put out a tremendous effort to get this done in a very short time,” said Gambino.  “Their dedication to the project really stood out in my mind.  They worked nights, weekends and right through the holidays.”  The total cost of the renovation was $2.5 million.

Major functional improvements were also required for the kitchen, bar and dining room set-up.  The new bar area features both aesthetic and functional changes.  The addition of a ‘back bar’ relieves some functional issues and also provides for a nice presentation of liquor and glasses.  “It gives it much more of a bar feel,” said Gambino.  “And we clad the bar in a kind of reflective red mosaic glass which is really eye catching.”

As part of the redesign the buffet was relocated to improve the dining experience of the members.  By moving it closer to the kitchen restocking of the buffet was made easier resulting in an overall better dining experience.

A Great Experience All Around

The change most mentioned and appreciated by the fans is the décor.  Moving from the old-timey ‘baseball look’ to the current more sophisticated, up-scale look is more in line with the experience the membership is seeking.  Seventeen Sony HDTV’s, have been added as well enabling members to watch the game as they dine.  Members may also sit outside on the terrace and watch the game from there.

“The new PNC Diamond Club’s design is a celebration of DC’s baseball heritage, a nostalgic interpretation of our history,” said Joseph Serruya, Associate Principal in charge of P+R’s Eastern Region.  “We have created a casual, natty sports venue where baseball enthusiasts can participate as fans, yet relax and be catered to in a clubby atmosphere.  The contemporary design offers enhanced ballpark views, maximizes the flow to club seating and creates a high-energy and sleek setting, thus increasing the desirability of the venue to members and potential members,” Serruya added.

In addition to the dramatic upgrade introduced this time last year, the PNC Diamond Club is also opening the 2011 season with a new “all-inclusive” format providing food, draft-beer, house wine and soda.  Neither of these upgrades has resulted in a price increase for the fans, instead they fit in to a broader initiative of optimizing the overall value and game day experience throughout the stadium.

The Nationals open the 2011 season next Thursday afternoon, March 31st, against the Atlanta Braves.  We certainly hope they win, but either way, we can be sure that the fans will be enjoying the game in style.

Images are expandable.  Click on the image to view larger.  Additional images can be viewed in RR’s Facebook Gallery.

———————————————————————————————————————————————

Perkowitz+Ruth Architects (www.prarchitects.com) provides national and international clients with high-quality design and construction administration services. The firm features focused studios with expertise in single-tenant retail, town centers, mixed use environments, housing, entertainment and hospitality destinations; as well as office and civic developments, urban design and planning. Our professionals value the importance of sustainable practices to preserve natural resources and reduce operational costs for our clients, and foster a relationship of cooperation among owner, architect and contractor. Founded in 1979, the firm features offices in Long Beach, CA.; Washington DC; Portland, OR.; Phoenix, AZ.; Rogers, AR.; and Shanghai, China.

Lerner Enterprises (www.lernerenterprises.com), led by Theodore Lerner, owns the Washington Nationals. Founded in 1952, Lerner is the largest private real estate developer in the Washington, D.C. Greater Metropolitan Area and is well known for its involvement in high-profile and award winning projects such as Tysons II, Washington Square, Dulles Town Center and White Flint.

In 2008 Padre Staples Mall in Corpus Christi, Texas was in trouble.  Built in the 1970’s it was tired and obsolete and loosing market share to competitors both locally and in Houston and San Antonio.  The size of the failing center had additional impact on the local economy and tax base.  Trademark Property Company, the Fort Worth based retail and mixed-use developer stepped in determined to not only save the mall but turn it into something special.

In partnership with Institutional Mall Investors, an institutional investment entity jointly owned by CalPERS and an affiliate of Miller Capital Advisory they purchased the 1,017,700 square foot super-regional mall in July 2008.  They immediately stopped the modest renovation program put in place by the former owners and committed to a $50 million transformation.  The City of Corpus Christi, recognizing the importance of the property and project to the local economy, passed a $19 million tax increment financing agreement to assist with the redevelopment.  And so in June 2010 La Palmera was reborn, beginning its new life as a cutting edge shopping and leisure destination and local economic development machine.

“We took a distressed 1970s mall and have literally transformed it into something spectacular,” said La Palmera General Manager Fred Walters. “We’ve added a great mix of new tenants and dining options and numerous amenities such as free Wi-Fi, expanded Concierge service, valet parking, and community programs, all of which greatly improve the guest experience.”

The First LEED Certified Mall

Perhaps the most significant step taken in this redevelopment plan was to make La Palmera the nation’s first LEED certified mall. La Palmera’s LEED-Silver certification is the third highest level in the LEED rating system. This means that, in addition to aesthetic changes, the redevelopment design plans are meant to reduce the mall’s impact on the environment through improved water and energy efficiency, and higher indoor air quality for shoppers and tenants. The commitment to greener building practices reflects the purpose of Trademark Property Company: to be extraordinary stewards, enhance communities and enrich lives.

“We spent a great deal of time planning to make sure we were pursuing the right LEED initiatives.  Those efforts allowed us to utilize much of the existing building and upgrade equipment which improved energy efficiency and reduced our footprint on the environment.” said Chris Harden, Trademark’s Director of Design & Construction. “The greatest challenge we faced during the LEED process was controlling the cost and ensuring proper documentation.” Although the company did spend more money on LEED consulting and fees, approximately $250,000, they did not end up spending more on construction costs. “We know it may cost us a little extra up front to implement ‘green’ standards within our projects, but in the long run, it is worth the effort and the right thing to do,” said Trademark Chairman – CEO Terry Montesi. “We are actively working to implement similar efforts in our entire portfolio and are proud to lead the way for this type of redevelopment.”

New and Improved

Trademark also took the approach that La Palmera would be more than a shopping destination. Renovation highlights include a 600-seat food court with a palm court dining patio and 4,500-gallon feature aquarium, one-of-a-kind ocean-themed children’s play area, revamped Center Court featuring a coffee bar and 20-foot-diameter fountain.  A new outdoor main entrance featuring new stores and restaurants, interactive pop jet fountains, valet service, and a new community room to further enhance the property.  The incorporation of expanded natural lighting, as well as new tile, carpet and furniture upgrades in public seating areas throughout the mall completes the new environment.

“We maintained our commitment to this project, even when economic events would seemingly dictate otherwise,” said Montesi. “There’s virtually nothing being built right now, which has helped La Palmera garner national attention. This project, however, is an example of one that was needed and has a pulse on the community. We’re giving the area exactly what they wanted.”

Capturing Tourist Traffic

The Corpus Christi Convention and Visitors Bureau is also counting on La Palmera to be a significant magnet for tourism.  “The Corpus Christi Convention and Visitors Bureau welcomes La Palmera and appreciates their support in our new campaign targeting the Rio Grande Valley and northern Mexico,” said Corpus Christi Convention and Visitors Bureau CEO Keith Arnold.  “The response has been positive and powerful and a tribute to the potential the shopping center brings to our area and our 7.2 million annual visitors.”

The State of Texas continues to grow as a U.S. shopping destination with $2.3 billion in sales annually from Mexican Nationals. La Palmera now provides the first Tax Refund Visitor Center in the Coastal Bend region. The venture, in partnership with TaxFree Shopping, Ltd., caters to the international visitors coming to the Corpus Christi area processing paperwork for them to receive their purchases tax-free.

“We are blessed Trademark has invested in our city,” said Corpus Christi Mayor Joe Adame. “They have been a great partner in delivering on their promises. Their work at La Palmera is having a very positive impact on our community. It is a real community showplace that is the buzz of the region.”

Anchor Remodels and New Tenant Infusion

Out-of-the-box thinking didn’t end with environmental and conceptual innovations.  Trademark immediately renegotiated leases with the Center’s anchor tenants resulting in expansion of Macy’s and remodeling of Dillard’s.  JCPenney added a ‘Sephora Inside’ as well.  Occupancy has gone from 78% to 92% resulting in 33 new leases as well as 38 renewals. “We worked diligently to provide just the right mix of new tenants,” said Walters. “Specialty shops such as Zumiez, Vans, Charming Charlie and the Aveda Institute Corpus Christi; upscale lines such as Coach, and Rolex being added to Reeds Jewelers; plus a variety of new food court and snack options as well as popular sit-down restaurants such as Grimaldi’s Pizzeria and P. F. Chang’s.

The mall’s new tenants, including Grimaldi’s Pizzeria, P.F. Chang’s and Ulta, have added an estimated 477 new jobs with more than 216 of those full-time along with over 1,000 construction related jobs during the redevelopment.

Dillard’s Chief Executive Officer, William Dillard, II, added, “We are truly happy with the dramatic transformation at La Palmera and we are excited to be a part of it. Trademark’s visionary achievement at La Palmera is mall revitalization done right. This premier development provides South Texas residents and visitors a unique experience in shopping, dining and entertainment.”

Trademark’s Montesi says the company will capitalize on their La Palmera success as they work to revitalize other distressed mall properties.  “We will draw upon this project as we look at other mall re-positioning in the future as we believe redevelopment will be quite active in this cycle given the current supply-demand dynamics.” “We have been able to create an environment that is more than a mall: it is a leisure destination. You can shop, certainly, but you can also just come for a night out, meet a friend for coffee, bring the kids to play or take advantage of the many programs and events that we are providing for the community.”

Images are expandable.  Click on the image to view larger.  Additional images can be viewed in RR’s Facebook Gallery.

————————————————————————————————————————————————————–

Trademark Property Company (www.trademarkproperty.com) is an operator, investor and developer of regional malls, outdoor retail and mixed-use properties. Since 1991, Trademark has invested in or developed over 10 million square feet of retail and mixed-use assets worth over $1 billion. Based in Fort Worth, Texas, Trademark’s experienced team currently operates more than 5 million square feet.

To date, Trademark has created several successful retail and mixed-use developments from the ground up, including Dallas-Fort Worth area properties Watters Creek (Allen, Texas) and Alliance Town Center (Fort Worth, Texas), Market Street – The Woodlands (The Woodlands, Texas) and Market Street Flowood (Flowood, Mississippi), but La Palmera was its first regional mall redevelopment.  (www.lapalmera.com)

SEATTLE, WA – CAPITOL HILL – Melrose Market

Already a Mecca for the ‘Food-Savvy’, Seattle has no shortage of world-class restaurants, markets and micro-destinations for some of the best locally based, sustainable fare in the nation.  With the recent opening of Melrose Market the city has yet another venue designed to serve and attract local residents and tourists alike.

The brainchild of developers Scott Shapiro of Eagle Rock Ventures and Liz Dunn of Dunn & Hobbes, Melrose Market opened in January 2010 and instantly made waves.  The original buildings, two automotive warehouses, were built in 1919 and 1926 respectively.  The existing structures featured concrete columns, huge old-growth Douglas Fir beams, exposed 2×6 on end for ceilings, concrete floors and red brick walls.  “They looked great and were built solid,” said Shapiro.  Both levels provided excellent ceiling heights and lots of light all featured in an interesting triangular shaped space.  The 21,000 square foot project was acquired for $3,000,000 in 2005 and completed at a total development cost of approximately $7,500,000.

Adapting to Reuse

The redevelopment plan posed challenges on both the architectural and leasing fronts. “All developments are an iterative process but particularly historic rehabs,” said Shapiro.  “Part of that is based on things you find in the permitting, due diligence, and pre-development process. Whenever you renovate an existing building, you find things you didn’t expect – rotten wood, building built different than shown on original plans, etc.  The biggest balance is trying to update the buildings to meet today’s code (energy, ADA, seismic, fire/life safety, etc.) yet still retain the original character of the building such as the exposed walls and ceilings, original single-pane windows, etc.”

Graham Baba Architects was assigned the task of converting this classic auto row structure in the densely populated Capitol Hill neighborhood into a modern, urban market.  GBA described the ultimate goals of the project as: “historic preservation; utilization of sustainable, repurposed materials; returning transparency of original building to bring in natural light as well as engage and interact with the streetscape and pedestrian traffic.”

To accomplish this, the auto row style of the original buildings was embraced and reinforced by maintaining the building’s exterior design while combining exposed brick, wood, and steel for the interior.   Materials recycled from both original and off-site structures were employed. The largest space in the project was converted to a lively interior market place – small tenant stalls were designed to make efficient use of the space.  Original transparency was recreated via large exterior windows to bring in light and activate the streetscape from within and without.  Pedestrians are engaged by the design of the building’s interior corridor so as to move them through market as a natural continuation of exterior sidewalk flow.  To enliven the streetscape, planters march along the facade adding greenery to the formerly tough industrial sidewalk. Working with a bike-friendly city program, a large on-street bike rack encourages alternative transportation methods. Sidewalk cafes provide additional seating for the market and restaurants while increasing the local neighborhood on-street activity.

Market-Driven Creativity

“Other considerations were based on meeting the needs of our future tenants,” Shapiro continued.  “For the heart of what is now Melrose Market, we originally thought we’d try to get one big tenant but there were few tenants that could put a concept into that large of a space and afford it.  It became much easier to lease smaller spaces as there are more tenants that are interested in and can pay for that.”  With that concept in mind Shapiro and Dunn approached potential tenants with whom they were not only familiar but also patronized as customers themselves.

The result is an amazing mix of local food purveyors including Sitka & Spruce, one of Seattle’s most well know restaurants and the home of well known chef Matt Dillon, which moved here from its previous location; Rain Shadow Meats, the sustainable butchery operated by Russ Flint, famous for his artisanal sausages made on premises; Calf & Kid, an artisanal cheese shop featuring some of the best local goat cheeses; Marigold & Mint, an organic fresh flower shop; and Still Liquor, a bar located in the basement with a decidedly ‘speak-easy’ atmosphere.  As reported in the Seattle Times, “the buzz around Melrose Market is pretty impressive.  It seemed to have started spring of last year and just kept going on and on.  Foodies and bloggers can’t stop talking about it.”

A Place to Call Their Own

Shapiro and Dunn saw a unique opportunity with this property.  Both had experience developing similar properties in the now trendy 12^th Street area and recognized that while Pikes Place Market gets all the press and the kudos from out-of-towners for its produce stands and food stores, the crowds and limited parking options generally keep residents away.

Home cooks and tourists alike now head to Rain Shadow Meats whether for a prepared Poulet or one to bring home to cook themselves. “To have a butcher in the neighborhood that you can trust is phenomenal,” said Joanna Funke, a Seattle architect, who had bought steaks there on a recent afternoon. “We’ve really enjoyed the sausages here because we know what’s going into them. My husband is German, so he’s very particular about sausages.”

Shapiro and Dunn are more than pleased with the success of the project. “Since there was little development going on in Seattle or in the U.S. in general – and our project was much more interesting than most – we received a lot of great press, both local and national,” said Shapiro.  “This great press helped us to succeed. As we don’t receive percentage rents, we don’t see our tenants’ sales.  But, almost without exception, every time I see one of our tenants they seem happy and our project is full with people so those are good signs.”

Both Seattle in general and the neighborhood in particular have shown an overwhelmingly favorable response.  Residents and vendors are excited for the project and what it has done to further improve their corner of the world.

Images are expandable.  Click on the image to view larger.  Additional images can be viewed in RR’s Facebook Gallery.

————————————————————————————————————————————————————–

Eagle Rock Ventures LLC (ERV) (www.eaglerockventures.com) is a real estate investment and development firm that focuses on value-added opportunities in the western United States and particularly the Puget Sound region.  Founded in 2000 and based in Seattle, ERV makes strategic investments in assets where our expertise and relationships will generate superior returns for our investors.

Dunn & Hobbes LLC (www.dunnandhobbes.com) believes that high-density low-rise mixed-use neighborhoods, otherwise known as “urban villages”, are the heart and soul of great cities. Our company was founded in 1997 with the goal of furthering this concept in Seattle, with particular focus to date on the Pike-Pine neighborhood.

Graham Baba Architects (GBA) (www.grahambaba.com) specializes in complicated, budget-driven projects and has combined experience of over a hundred years!  GBA often works on adaptive re-use projects that celebrate the life and texture of the existing building while repurposing the space for our clients needs today.

All photos courtesy of Graham Baba Architects.

CULVER CITY, CA – Sprouts Farmer’s Market Circuit City Conversion -

Sprouts Farmer’s Market, the Arizona-based grocer and one of the fastest growing retail chains in the nation, recently completed and opened what they described as their “Flagship Sustainable Store” in Culver City, California.  The project has been awarded LEED Silver Certification (Leadership in Energy Efficient Design) and will be the model for all new Sprout’s projects going forward.  Sprout’s has 54 stores in four states and is currently in an aggressive expansion program, which began in 2008, to get to 200 stores by 2014.

Sprouts’ new store is a 32,800 square foot building that was converted from a vacant boxCircuit City box.  It was renovated by Sprouts at a cost of $2.1 million of which approximately $300,000 is attributable to the cost of LEED certification.  The building is located within a shopping center that contains an Office Depot, Chase Bank and a Shakey’s Pizza, however the Sprouts building is owned separately.

The project scope included minor exterior and site modifications.  The majority of work revolved around removing and rebuilding the interior of the existing space as well as providing an updated facelift on the front façade of the building.  Most of the existing building structure was left in place in order to maximize reuse of materials and limit construction debris and waste.

Circuit City Debranding

Perhaps the most interesting challenge faced by Sprouts in the repositioning of this property was what to do about the Circuit City “Plug” as a design element at the front entrance of the property.  You know, the famous red-tiled, electrical-plug-shaped tower that was one of Circuit City’s trademarks and is now one of the only remnants of their existence.  Sprout’s explored removing the tower element but cost was an issue.  During the design phase of the project Jerry Stutler, Sprouts’ V.P of Construction and Facility Engineering, was driving through a farming area in Colorado with one of his architects on another project.  They saw a large number of grain silos there.  On their return to Phoenix Jerry worked with their architects at Nadel to develop various concepts including turning the large red tower element into something that looked like a grain silo, an image in keeping with the brand’s connection to farm fresh product.

“The Circuit City ‘Plug’ was the most interesting feature to deal with”, said Rick Redpath, Managing Principal at Nadel Architects.   “Since the plug was a dominant feature on the building and drew people to the entry, we decided to work it.” Not only did the concept work it saved money on the retrofitting of the property.  Redpath continued, “We added corrugated metal to the body of it and a hipped metal roof to help create the silo look.”

The Grocer Goes Green, Naturally

“Sprouts’ mission to provide the best in natural and organic foods ‘naturally’ leads them to being a good steward of the environment around them with their stores”, says Redpath. “Sprouts chose their Culver City store as the target for their first LEED store and they achieved LEED Silver Certification.”  The building uses significantly less energy compared to conventional supermarkets.  Based on criteria set by the United States Green Building Council, energy use for lighting is reduced by 25%, HVAC systems by 18% and refrigeration systems by 14%.  Items that contribute to energy efficiency include the reflective roof, skylights for day-lighting, innovative refrigeration systems and lighting fixtures and controls, LED (Light Emitting Diode) case lighting, equipment monitors, and energy recovery systems.  Night Screens save energy by capturing the cold air inside the refrigerated cases at night.  All of these measures result in less harmful emissions into the environment, less dependence on fossil fuels, and lower operating costs.

On the site, native draught-tolerant landscaping and a weather-smart irrigation meter reduces potable water use.  There is a major public transportation hub across the street providing shoppers access to the market.  Bike racks encourage alternative transportation reducing emissions.  Reserved carpool and hybrid car spaces are adjacent to the ADA parking spaces close to the store entrance.  Outdoor benches encourage people to eat their lunch where they shop and promote community connectivity.  “We also added a large trellis feature adjacent to the silo entry that served a dual purpose of shading the shopping cart storage area as well as providing a nice shaded outdoor seating area for Sprouts customers” added Redpath.

Signs are posted throughout the store’s interior to explain the energy saving measures and practices that support its LEED status.  Signage describes everyday recycling of cardboard, paper, glass, plastics and metals, sustainable wood fixtures responsibly harvested from forests certified by the Forest Stewardship Council (FSC), electronic monitoring of refrigeration, lighting, air-conditioning and heating equipment, water-conserving faucets, fixtures and sensors, carbon dioxide sensors and high grade air filters helping improve indoor air quality.  The existing concrete slab was cleaned, polished and stained for use as a beautiful low maintenance floor finish.   “The biggest challenge in building LEED certified buildings,” said Stutler, “is determining what will give you the points necessary to achieve the LEED certification and yet not blow your budget totally out of the water.  We are delighted to have been able to achieve that balance with this project.”

Serving Culver City

Sprout’s chose the location because Culver City, located between Santa Monica and Downtown Los Angeles, was in real need of a neighborhood grocery store.  Sprouts Farmers Market secured this location at the corner of at Sepulveda & Slauson and filled that need in the community.  “It was a unique combination of factors,” said Stutler. “Huge retail traffic area, good demographics and no market in the trade area like us.”

Culver City, the home of the project, had a veryaggressive Sustainability Plan as well, that included transportation, building, alternative energy, community education, government operations, air quality, water conservation, and preserving natural resources. By attaining LEED Silver Certification for this project, Sprouts Farmers Market also helped Culver City achieve their sustainability goals.

Sprouts’ overall vision for this store was to create a Flagship Sustainable Store and it intends to carry these specifications forward onto all future projects.  While all of their future stores may not be submitted for LEED certification, each store will be designed with the requirements in mind so that they could be LEED certifiable.  “Sprouts has always looked at sustainability in our design and engineering as an important component in project development,” said Stutler.  “With this store we’ve decided to make it part of our mission.”

———————————————————————————————————————————————————–

Sprouts Farmers Market (sproutsfarmersmarket.com) is one of the fastest growing retailers in the U.S., and was founded in 2002 in Arizona.  Headquartered in Phoenix, Sprouts has 3,900 employees and 54 stores in Arizona, California, Texas and Colorado.  The store’s concept of “Healthy Living For Less” features natural, bulk and organic foods, as well as alternative choices for those with certain food sensitivities, a large selection of vitamins, supplements, natural body care products, and consumer education about health and wellness.

Nadel Architects (www.nadelarc.com) was founded in 1973 and has become widely recognized as a well respected architectural firm and has been consistently ranked amongst the top 50 architectural firms in the United States. Our depth of experience coupled with our passion for innovation and design, enable us to offer cost-effective solutions for a wide-range of project types. Nadel is committed to providing strategic planning and consulting services to help our clients respond to their business needs even during the most challenging economic times.

Nadel’s Retail division is an independent, client-focused design group with more than 35 years of experience in retail and shopping center development. Nadel Retail has worked with major tenants and retail developers, and has completed more than 1500 projects located throughout the Western United States.

Falls Church, VA – Willston Centre II -

Regency Centers knew the intrinsic value of what they had when they acquired Willston Center II in Falls Church, Virginia in 2005.  Careful management of the center and a complete understanding of its strengths and weaknesses led Regency to a three-prong approach tailored for the successful repositioning of the center.  Regency combined its trademark Greengenuity program with a keen sensitivity to tenant needs and a unique understanding of the visual impact of tenant signage to successfully complete their repositioning at a time when property management and development faces unique hurdles.

Greengenuity - A Trademark Program and Approach

Regency Centers chose to participate in the Department of Energy’s Solid State Lighting Technology Demonstration GATEWAY program as the centerpiece of the redevelopment of Willston Centre II.  According to Mark Peternell, Regency Centers’ Vice President of Sustainability, Willston Centre II will serve as a test site to determine the viability of expanding LED parking lot lights at some of their other 398 grocery anchored and community shopping centers nationwide. “We are honored to be among industry leaders working with the DOE and national laboratories to advance the development and market adoption of promising energy-efficient technologies.” DOE GATEWAY Demonstrations showcase high-performance LED products and provide real-world experience and data on product performance and cost effectiveness.

Furthermore Peternell continued, “The primary aim of Regency’s involvement in the DOE’s GATEWAY project and Commercial Building Energy Alliance is reducing the energy costs, greenhouse gas emissions, and on-going maintenance costs.   We also expect our efforts to showcase this promising energy-efficient technology in order to encourage use, and ultimately drive down costs.  Plus, it’s the right thing to do and will provide a measurable benefit to our retailers in the form of lower electricity bills and CAM savings.”

The DOE predicts that LED parking lot lights will reduce parking lot energy needs by more than 50 percent, and maintenance costs by more than 80 percent compared to traditional parking lot lights.  LED lights are projected for replacement after 50,000 hours (11.5 years), while traditional High Intensity Discharge (HID) lights must be replaced every two to three years. The LED fixtures use a patented optics system providing more even distribution and uniformity, eliminating “hot spots” and the perception of darkness that often exists with high wattage HID fixtures.  Unlike HID fixtures which take several minutes to power-on, LED fixtures provide cold start capability and therefore can be programmed to trigger on/off/dimmed with motion sensors and other control devises.

Regency Centers formally announced its plans to incorporate sustainable elements into its new developments, operating properties and corporate operations in 2007. Since then, the company has started a variety of programs designed to mitigate its impact on the environment. In addition to participating in this DOE initiative, Regency Centers has installed smart irrigation controllers at ninety shopping centers nationwide, LEED certified and LEED registered eleven shopping centers under construction and been selected by the U.S. Green Building Council (USGBC) to author their Green Retail Guide.  Regency’s corporate greengenuity™ initiative includes a commitment to LEED certify a minimum of 60 percent of development starts in 2010.

Even though Willston Centre II includes this highly efficient lighting system, Regency concluded that the scope of this repositioning project did not lend itself to LEED certification.  However, the project was selected by the Department of Energy due to its proximity to Washington, D.C. which will allow lawmakers to visibly see the project in action.

Sensitivity to Tenant Needs and Concerns

Its efforts to set the repositioning of Willston Centre II apart didn’t end with Regency’s greengenuity program.  Built in 1986 and acquired by Regency in 2005, Willston Centre II is a 127,449 square foot Safeway anchored neighborhood shopping center outside the nation’s capital. Regency worked closely with Safeway on its redevelopment plan since acquisition clearly recognizing the property’s inherent long-term value.  The renovation of the center was completed in mid-September 2010 with an expanded and renovated Safeway.  The original 42,491 square foot store was demolished in January and replaced with the current 50,131 square foot store. Regency’s overall cost for the shopping center repositioning project was $10 million.

“Safeway has been tremendous to work with,” said Project Manager Nathan Bell.  “Both Regency and Safeway acknowledged that the affluent customer base warranted a significant upgrade in the center’s appearance.  Partnering with Safeway was integral to the project’s success since they were responsible for their design, entitlement and construction costs.”

In addition to the Safeway expansion, Regency renovated the center with a new exterior façade, upgraded architectural components, new signage and the aforementioned lighting and parking lot improvements.  The colonnades and cedar shake roof were replaced with stone archways founded upon limestone water tables reminiscent of Old Virginia.  A trellis system replaced awnings providing a more dramatic inviting look to customers.

The expansion necessitated relocating several side shop tenants within the center.  Since the center remained open during the renovation, property management, leasing and marketing developed a communications plan for tenants and customers.  We felt it was important to educate our merchants before the rumor mill started to grind,” explained property manager John Zuk.  “Usually in these scenarios, tenants hear that the anchor is closing which creates unnecessary anxiety.”

With that in mind Regency hosted a tenant brunch to showcase the changes and improvements.  To assist tenants in handling customer concerns Regency provided an educational “take away” piece about the project that tenants could pass on to their customer base.

Understanding Visual Impact

In addition to the priority given to improving the “green”performance and the level of tenant sensitivity and involvement Regency paid particular attention to tenant signage.  Signage was developed with the realization that the true purpose of the building front was to support the tenant’s signage and brand.  Senior Leasing Agent Brian Greene added, “It was great to be part of the design discussions from the beginning as we never allowed the structure to overcome the needs of out existing and prospective tenants.”

Six weeks after the re-opening of Safeway the center is 94% occupied, an overall occupancy level that would be considered excellent in the best economy and   Safeway is currently exceeding sales projections.  “We couldn’t be more proud of Willston Centre II and its new premier position in the marketplace,” said Alan Roth, Senior Marketing Officer.  “This redevelopment is the culmination of a five year plan drawing on the expertise of all team members.”

Images are expandable.  Click on the image to view larger.  Additional images can be viewed in RR’s Facebook Gallery.

————————— ————————— ————————— ————————— ————————— —————— Regency Centers (www.regencycenters.com) is the leading national owner, operator, and developer of grocery-anchored and community shopping centers with 399 centers, totaling 53.1 million square feet.  Regency formally announced its plans to incorporate sustainable elements into its new developments, operating properties and corporate operations in 2007. The company’s greengenuity™ program serves as a corporate initiative to mitigate development impact on the environment. Operating as a fully integrated real estate company, Regency is a qualified real estate investment trust that is self-administered and self-managed.