Development/Redevelopment

Recovery is a relative term when applied to retail real estate. It’s taken a couple of years of determined optimism, but most in the industry have now reconciled themselves to the realities of the new world order. A world where capital is cautiously invested and most retailers, even those that are opening new stores, have flattened growth rates. Gone are the days of expansive, unrestrained development — replaced instead by measured, deliberate decisions and a renewed focus on redevelopment, relocation and re-evaluation of portfolios.

On the banks of the Missouri River, in the northwest corner of the greater St. Louis metropolitan area, historic St. Charles is home to more than 65,000 people. At the gateway to this fast-growing area, a “mini-city” is emerging: The Streets of St. Charles, developed by Cullinan Properties of Peoria, Ill., will deliver an enticing 1 million-sq.-ft. mixed-use community.

MINNEAPOLIS — Best Buy on Saturday revealed the locations of the 50 stores that it is closing this year, including seven in California, six in Illinois and six in the company’s home state of Minnesota. The chain has already closed two locations: one in Missouri and one in Arizona.

Most of the remaining 48 stores will close by May 12, with three stores scheduled to close this summer.

To be truly fashion-forward, a closet must be refreshed periodically. This is equally true for premiere, class “A” regional malls that pride themselves on offering the hottest apparel and most fashionable retail the industry has to offer. If wardrobe success depends on what’s hanging in your closet, shopping centers hang their success on merchandising savvy and tenant mix.

Lowe’s has announced an agreement to sell $500 million of 1.625% notes due 2017, $750 million of 3.12% notes due 2022 and $750 million of 4.65% notes due 2042. Estimated net proceeds from this offering will be approximately $1.982 billion, after deducting offering expenses and underwriters' discounts.

There’s no doubt that Canada is very much on the minds of U.S. retailers these days. As our cover story points out, Canada is attractive for a number of reasons, from its growing population to its resilient economy. But there is plenty of expansion going on here at home too. The extent of the activity is detailed in the “Spring 2012 Retailer and Restaurant Expansion Guide” from ChainLinks Retail Advisors. The comprehensive report, which details the current expansion plans for more than 2,500 U.S.

While there still is not enough new shopping center construction to warrant a “Fastest-Growing Developers” ranking system — as Chain Store Age provided for 20 consecutive years, from 1989 to 2008 — progress continues to be made.

Relocating a business and a family from Memphis, Tenn., to St. Petersburg, Fla., is a short distance in miles, but for The Sembler Co., which celebrates its 50th anniversary this year, the journey has been much longer.

“We have developed 350 projects, including 125 or 130 shopping centers,” said Mel Sembler, recently named chairman emeritus. “It’s been an interesting career.”