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Friday, July 25, 2008
Major Retail Coming to Columbia Heights
Columbia Heights is poised to become the shopping destination for the entire Washington, DC area. Hundreds of thousands of square feet of retail space are in the works including DC USA, a 500,000 sq. ft. retail complex that will include major retailers such as Target, Best Buy, Bed Bath and Beyond, and possibly Whole Foods Market! More exciting retailers are planning to open in the newly renovated Tivoli Square and other developments across Columbia Heights. Read more in the Retail News section.
As mentioned in the previous article, Michael Wilkinson of Windsor Consulting was given the opportunity to tour the DC USA retail complex this past Friday. During the tour, he had a chance to talk in depth with Drew Greenwald, president of Grid Properties (the lead developer for DC USA), about the latest retail developments at DC USA. Wilkinson was kind enough to share the information he gathered with us.
DC USA Retail Updates
Written by Michael Wilkinson
DC-USA, as most people in the neighborhood are aware, is nearing completion, with a number of the retailers even beginning to stock their shelves. Thirty interior photos here.
Target is holding a VIP reception on Tuesday, March 4th, and the city is hosting a ribbon cutting the following Saturday (the 8th), which is the retailer's "soft opening." That store officially opens to the public on Sunday the 9th. Other retailers will stagger their openings over the subsequent 6-8 weeks. Almost ready: Best Buy, Bed Bath & Beyond, Marshall's, Lane Bryant and Best Buy.
I had a lengthy conversation on Friday February 29th with GRID Properties president Drew Greenwald, and learned some very interesting things while walking through the space with him.
First and most exciting, the developer is in the late stages of negotiations with Ellwood Thompson's organic grocery. Absolutely true, and absolutely terrific. The issue hanging things up is the precise placement of the store. Both ET and another retailer are vying for overlapping pieces of the building directly behind the facade of the former post office, in the middle of the 1400 block of Irving Street. From what I understand from Greenwald, ET wants to be placed fully and directly behind the restored facade, but the other retailer needs a portion of the area for access to a second story level; ET would look like it was directly behind the old facade, but its actual space would be offset somewhat to the left or right (I didn't catch that detail). Greenwald noted that the steady support from the neighborhood had been instrumental in making the case to ET management. He also noted that, as a smaller retailer with only one store in Richmond, the Columbia Heights store represents a very significant change for them, and they have been slow and careful in going through the process of managing the big change. Additional neighborhood support and encouragement at this stage would be very helpful.
Also, on the heels of some recent reporting, Greenwald told me they are talking to REI, but that REI seems to be reluctant to see past its comfortable suburban market niche. He noted that the neighborhood letters of support to him and to CM Graham have been welcome, but that the pressure should be shifted to REI -- Greenwald is not the one who needs to be convinced. I think the impression he gets is that REI does not think urban shoppers would patronize an outdoors store like suburban shoppers do.
In addition, with about 80,000 SF of retail remaining to lease, GRID has released their initial retail broker and is seeking a new retail broker to finish the job. Specifically, they hope to shift the focus for the final push to higher-end retailers to balance the retail mix out. Greenwald noted that he's been surprised and disappointed at the resistance from two specific categories, outdoors and booksellers, mentioning REI, Barnes & Noble and Borders specifically as retailers he thought would fit in particularly well.
Also of interest: there are some important gaps along the high- profile 14th Street side of the development, representing an opportunity (if the upscale strategy works out) for the developer to change the face of 14th Street. Radio Shack, Lane Bryant, Children's Place, Payless Shoe Source, Mattress Discounters and Vitamin Shoppe are all working on their spaces. Greenwald thought adding some lifestyle retailers such as Banana Republic and Urban Outfitters, in addition to the bookstore and sporting goods/outdoors retailer, would really benefit the retail mix.
Two interesting and interconnected pieces: local retail and food options. It seems that most of the local retailers are food retailers, including a couple of locally-owned franchise businesses carrying national brand names: Quizno's, Maggie Moo's. There is also Desi's Chicken, a pretzel place and a sweet potato place. If my memory of our conversation serves me, the Quizno's franchisee has dropped out, and the original Maggie Moo's franchisee has sold the franchise to another business person, sending the lease back to the drawing board. Not surprising, but working with local retailers can be more challenging than working with large national chains. The planning cycle is much shorter. People's priorities change, financial situations sometimes don't materialize in time, etc.
Comments
Any PET supply stores considered? Written by PET Lover on 2008-03-04 20:46:13I would also love a bookstore (a place for solitude) and REI, Banana Republic / Old Navy / Gap and I am disappointed to hear that they are not considering a space and relying on older demographic data to make decisions. I read in the Post this morning that "From 2000 to 2005, home buyers' median income rose from $76,000 to $103,000, according to the Urban Institute" in CH (see article here: http://www.washingtonpost.com/wp-dyn/content/article/2008/03/03/AR2008030303278.html) Imagine what the current data is!
Has anyone considered a place for pet supplies, boarding, grooming? There are A LOT of people with dogs and cats in Columbia Heights... I have a dog and we meet dozens of new people a week... but the only place to get supplies in down on 14th and T Street. Too far to haul dog food back!
The original plans have Petco listed but I would prefer not to have such a huge space dedicated to that store... the quality is not there. A small, locally-owned pet supply store would do nicely. Don't confuse my request for a place that sells animals. That would be disgusting! Always adopt a pet!
The Post article was well-written. I think Jim Graham hit the point right on with his comment... "This was a neighborhood where we had tried to get McDonald's, and they said they wouldn't consider it. Today, we'd rather not have McDonald's." AMEN!!!
Written by james on 2008-03-05 13:14:03it really would be a shame if all the good retail spaces disappear without a bookstorein the mix. of course, Border's and Barnes and Nobel's are great stores, but if they are not interested maybe there could be a way to lure Krammerbooks or Politics and Prose (or some other smaller or local store) into the area. one of these smaller retailers could do really well in this neighborhood if there is no Border's or Barnes and Nobel's. ALSO... did there used to be a US Post Office on Irving Street. It seems like the central part of Columbia Heigths would be a great spot for a Post Office. The one on Georgia Avenue is the worst i've been to in DC - i always go to Conn. Ave or Adam's Morgan when i need to go to the Post Office.
Written by Newton St on 2008-03-05 18:15:56Yes, there use to be a post office. It's hard to explain, but the post office use to be right in front of where the homeless shelter is (the one like a minute away from the Columbia Heights station). They tore it down about a decade or so ago, if not more.
Best Buy Written by 11th Street on 2008-03-06 08:43:47Any news on the opening date for Best Buy?
I'd love a book store too. What about a discount chain like Books A Million? (I like small independents myself, but I honestly feel something like BAM would be more successful in this development.)
Written by Tmoney on 2008-03-06 09:17:32I would say no to a banana republic and urban outfitters. There is an urban outfitters at Chinatown which is plenty close and people outside the neighborhood would go by it first and last anyways getting to DCUSA by metro.
Similar situation with a banana republic, as there is one by metro center. An Old navy or gap I wouldn't be that excited about but other people might really want them.
I agree that a bookstore would be a great fit and should continue to be pursued. REI would be neat as well.
I also would love to have the post office or at least some sort of small satellite office located in there, though i think a satellite office would get swamped as almost everyone would probably use it over the current one.
Ideas I would like to float: Maybe something like a Gamestop/EBgames as a good small store retailer for leftover space.
A Petstore would be good
A Fabric/Craftstore/Scrapbooking store?
And of course the more restaurants the better especially when increasing diversity of options, from basic fast food to fine dining.
Best Buy Opens End of March Written by
on 2008-03-06 09:26:58We were told that Best Buy will open at the end of this month. We posted some photos showing the progress at Best Buy: DC USA Opens Its Doors
Written by kmurray on 2008-03-06 11:20:18I think it'd be good to see a kitchen/cooking store like Sur La Table or Williams-Sonoma as well. While Target and Bed Bath & Beyond do offer some things in this category, not everything is of the same quality. Even better would be if they could offer cooking classes that of their stores do, especially in the case of Sur La Table.
Written by GforGood on 2008-03-06 20:51:56Williams and Sonoma in DC USA? Hardly realistic.
A post office would be great, actually. Not sure if there any in shopping centers usually, though.
Written by Tmoney on 2008-03-07 10:37:41I had one other thought, If the mall cannot attract a bookstore what about having the DC public library open something inside?
Written by Park Roader on 2008-03-07 10:40:57The Washington ICSC (Internation Council of Shopping Centers) convention is next week. I would imagine this will be a great thing for the remaining space at DC USA. The reps from the retailers will be able to tour the building and get a true feel for the neighborhood. Let's keep our fingers crossed for the best!
