Q&A: Bedrock's SVP of leasing talks bringing retail brands to downtown Detroit
Detroit – and especially its downtown – has come a long way since the city filed for bankruptcy in 2013.
Anchored by three major league sports arenas and several large concert and event venues, downtown Detroit has undergone immense changes over the past decade. Visitors along Woodward Avenue and the surrounding areas will now find major retailers such as Apple, Nike, H&M and more alongside local eateries and national restaurant brands like Chipotle, Cava and others.
Notably, newly-elected Mayor Mary Sheffield created a new government role, director of retail attraction, over the summer in an effort to spur national retail growth in the city and "bring more businesses to Detroit’s neighborhood commercial corridors."
One of the major players behind downtown Detroit’s revitalization is Bedrock. Founded in 2011, the real estate firm owns more than 140 retail, residential and office properties between Detroit and Cleveland, spanning more than 21 million square feet.
Its key mixed-use retail projects in downtown Detroit include Hudson’s Detroit (located on the grounds of the former J.L. Hudson Department store), and the Development at Cadillac Square project, which is currently under construction.
To learn more about the strategy behind bringing major retailers to the downtown area, Chain Store Age spoke with Jennifer Skiba, Bedrock's senior VP of leasing.
How is Bedrock attempting to set downtown Detroit apart from other cities’ downtowns?
What sets downtown Detroit apart is that we start with place, not retailers. We're placemakers first, thinking about how downtown feels, how people move through it, and what gives them a reason to spend time here.
Bedrock has had the opportunity to help shape downtown Detroit's resurgence by restoring historic buildings, activating public spaces, and curating a mix of retail, restaurants, entertainment and hospitality that builds on the city's rich history while creating new reasons to visit downtown.
The Belt and Parker's Alley [two pedestrian alley districts] bare great examples of that approach. They aren't traditional retail projects. They encourage people to explore and discover something unexpected.
Detroit is also a city you have to experience for yourself. You can read about it, but until you've walked Woodward Avenue, explored The Belt, admired the architecture, and spent time downtown, it's hard to fully appreciate what's happening here. I invite people to come see it for themselves. Detroit will exceed your expectations.
What are some of downtown's strengths and weaknesses from a retail attraction standpoint?
What makes downtown Detroit unique is that many of our retailers operate in historic buildings with incredible architecture, history and character. It allows brands to create an experience that's distinctively Detroit rather than something that could exist anywhere.
Downtown has also evolved into a much more diverse retail environment. Alongside national brands, you'll find local businesses, restaurants, entertainment, hospitality and cultural attractions, all contributing to the energy and vibrancy of the city.
[READ MORE: Q&A: Inside mixed-use development Arbor South’s retail leasing strategy]
Over the last decade, we've welcomed more national retailers to Woodward Avenue than in the previous 50 years. That's proof that great retail follows great placemaking.
One of the biggest opportunities is continuing to broaden the range of retail offerings available downtown. As the residential population grows, there's increasing demand for everyday conveniences and services that help create a well-rounded urban environment.
Apple, Alo, Tecovas, Savage X Fenty and others are among the more premium retail tenants who have arrived on Woodward Avenue in recent years. What is the company's philosophy behind which tenants it wants to bring to a property?
Our philosophy is rooted in city building. We're not looking at individual storefronts in isolation. With significant ownership throughout the urban core, we have the opportunity to think about how retail, restaurants, hospitality, entertainment and public spaces all work together.
We also have the benefit of patient capital and leadership that believes in investing in Detroit for the long term. That allows us to make decisions based on what will strengthen downtown over decades, not just the next transaction.
As a result, we're looking for tenants that contribute to the character, energy and long-term success of downtown Detroit. Sometimes that's a global brand. Sometimes it's a local entrepreneur. More often, it's the right mix of both.
The retailers choosing Detroit today want to be part of something special. We're not buying brands. These are brands that see the momentum, appreciate the authenticity of the city, and want to be part of its next chapter.
Detroit is well-known for its diverse and thriving food scene. How does Bedrock determine which food and beverage tenants will garner the most attention from consumers?
Food has a unique way of bringing people together. The best restaurants become destinations in their own right. They create energy, activate the surrounding neighborhood, and give people a reason to gather and connect.
Downtown has benefited from an incredible group of local restaurateurs who embraced the city and helped build the dining scene we enjoy today. Their success continues to attract new concepts and investment.
When evaluating opportunities, we're looking for concepts that complement what's already here and give people another reason to gather, stay a little longer, and come back often.
Cosm recently opened its immersive entertainment venue downtown. Why was Cosm selected to anchor the Development at Cadillac Square project, and how important is having a venue like that in a city with many concert venues and sports arenas nearby?
Detroit is a sports town, which made Cosm a natural fit. We have incredibly passionate fans, all four major professional sports teams playing downtown, and soon a new soccer stadium joining the mix.
As one of the first concepts of its kind in the country, Cosm brings something completely new to Detroit's sports and entertainment landscape. One minute you're sitting in downtown Detroit, and the next you feel like you've been transported to the game.
This is another example of innovative companies choosing Detroit. When concepts that could go anywhere decide to invest here, it's a strong vote of confidence in the city and where it's headed.
How will the Cadillac Square property differ from the Hudson's Detroit site from a retail tenant perspective?
Each development has its own identity and role to play, and the retail mix is tailored to support that vision. Before we think about tenants, we think about the place itself, what it should represent, who it should attract, and the role it should play within downtown.
Hudson's Detroit is a true mixed-use destination, bringing together office, hospitality, residential, events, dining and retail.
Cadillac Square has a stronger focus on entertainment, with Cosm serving as the anchor. As one of the first concepts of its kind in the country, it brings something entirely new to Detroit's sports and entertainment landscape.
And we're just getting started. If you're excited about what's happening in downtown Detroit today, wait until you see what's next on the East Riverfront.
