In spite of the less-than-optimistic national retail trends, leasing and development continues an upswing along the north Powers Boulevard corridor.
“Retail has slowed, but there’s always interest in good locations from strong tenants,” said Patrick Kerscher of Southwestern Commercial Properties.
The Plaza at Stetson Hills shopping center, for example, will break ground before the end of the year, with tenant move-ins expected by July. Nearly 100,000 potential customers live within a three-mile radius of the 25,000-square-foot neighborhood center at the southeast corner of Stetson Hills and Powers boulevards.
Brokers Kerscher, John Egan, Robert Aertker and Greg Kaufman report occupancy at about 70 percent.
John P. Nelson Associates is the architect. A general contractor has not yet been selected for the project.
Among the newest leases signed are a daycare center and an insurance office.
Children of America, represented by Christian Gile of the Cameron Butcher Co., leased 11,500 square feet. Kerscher represented the owner. State Farm Insurance, represented by Bob Nolette of Front Range Commercial, will lease 800 square feet in the center.
“We’re also in final discussions with a couple of restaurants which should do well based on our demographics,” Kerscher said.
Tuesday Morning, Inc. has leased 11,942 square feet in the Erindale Center at 5677 N. Academy Blvd.
The store will move from 4380 Austin Bluffs Parkway in January.
Greg Kaufman of Southwestern Commercial Properties represented the owner, North Academy Home Center LLC, and Sam Zaitz of The Staubach Co. represented the tenant.
The McCarthy Chiropractic Center has leased 3,126 square feet in the Erindale Center at 5777 N. Academy Blvd.
Patrick Kerscher of Southwestern Commercial Properties represented the owner, and Marty Johnson of C.B. Richard Ellis represented the tenant.
The Monart Drawing Studio, a children’s art program, has leased 1,928 square feet of space in the Research Plaza retail center at 5490 Powers Center Point.
Alex Dumas of the Olive Real Estate Group represented the tenant and Patrick Kerscher represented the developer.
Industrial leasing totaled 759,966 square feet through the third quarter of 2008, on pace with 2007, according to Turner Commercial Research.
But Mike Helwege of Bach Real Estate Partners said net absorption this year remains in negative territory by 84,452 square feet.
“Tenants and buyers will find value opportunities throughout the city,” he said, adding that owners will hone aggressive sales and leasing programs to keep buildings filled
On a similar note, Steve Bach of Bach Real Estate Partners sees challenges ahead for office landlords.
“Landlords and tenants should be negotiating ‘win-win’ deals which take into account owner financial constraints, especially given credit market restrictions and rising tenant finish costs,” he said.
Cary Bruteig, quoted in the October 24 CSBJ, is a partner in Apartment Insights, not Sperry Van Ness.
The former Gas Operations building will become home in February 2009 to five Olympic national governing bodies, but will not include USA Tennis.
Becky Hurley covers real estate for the Colorado Springs Business Journal.