Centre proposal duplicates stores
But that's not necessarily bad, says one expert
By Greg Pearson STAFF WRITER

Proposed tenants for Westchester Commons at the Watkins Centre mirror many of the big box retailers currently located near Chesterfield Towne Center (above). Some believe that could hurt business at the mall.

Many of the stores probably going to Westchester Commons at the Watkins Centre also have locations near Chesterfield Towne Center, causing concern that the mall area stores could close when their leases expire.

According to a merchandising plan circulated by the developer to attract retail stores, the "proposed tenants" are headlined by Target, Consolidated Theatres and Boscov's department store. Target is a block from Chesterfield Towne Center; Consolidated is not at the mall, but is at Commonwealth Centre off Hull Street Road; and Boscov's would be new to the Richmond market.

Other proposed tenants at Westchester and located near the mall include Best Buy, Michaels, RoomStore and Linens-n-Things. Westchester Commons, in the northwest quadrant of routes 60/288, is the retail component of the Watkins Centre and is 4.5 miles west of the mall.

Stein Mart and Office Max are proposed tenants at Westchester. They both have locations about two miles east of the mall on Route 60 and at Commonwealth Centre, which is an eight-mile drive on Route 288 from the Watkins Centre.

Other proposed tenants for Westchester that would be new to Chesterfield could include Borders and World Market, which currently have locations in western Henrico County; Petco, which is opening a location in Henrico; and Ross Dress for Less, which has a store at Willow Lawn and is opening another location at Swift Creek Village on Hull Street Road.

Eastern Mountain Sports is also on the proposed list. It's a smaller version of Dick's Sporting Goods and is reportedly opening a location in Henrico, but now has only one Virginia store in Arlington. Other proposed tenants include Josie's, which would also be new to the Richmond market, and Red Robin, which is similar to TGIFridays. Two banks-Wachovia and Bank of America- would potentially occupy out parcels along Watkins Centre Parkway just off Route 60.

Boscov's is a department store chain headquartered in Pennsylvania that avoids major markets and targets middle income consumers. Late last month, it opened three stores in the Baltimore suburbs, bringing its store total to 49. It only has one store in Virginia-at Piedmont Mall in Danville, the company's most southern location. Usually, Boscov's stores have two floors with about 180,000 square feet and are known for being highly promotional with sales, according to real estate sources.

"Boscov's has been rumored to be coming to the market a number of times," said Brian Glass, senior vice president of retail for Grubb & EllisHarrison & Bates.

One of those upset with the potential tenant mix at Westchester Commons is Jay Lafler, vice president of Commercial Properties Management and former mall manager at Cloverleaf Mall. During the Watkins rezoning case, he supported "market unique" stores.

"Why would someone in the West End come over here for any of these stores?" questioned Lafler. "We're going to have all the major [big box] retailers in the market at Westchester or nearby."

"There are no meaningful retailers who would draw folks from outside of the county to shop," agreed Midlothian Planning Commissioner Dan Gecker. "The retail at the Watkins Centre is duplicative of what we already have in the county."

Cary Euwer, who is overseeing Westchester, said no store announcements will be made until closer to groundbreaking, sometime after the first of the year. Negotiations with prospective tenants are ongoing, he added, and right now, his company is focused on completing all the necessary permits for building.

"We'll have unique tenants to the Richmond market to attract shoppers from other jurisdictions," Euwer promised. "The attraction will be the mix of tenants [plus] our main street, entertainment and cinema."

Chesterfield officials want to encourage residents to shop in the county. Some believe too many shoppers are crossing the river to spend their dollars at Short Pump Town Center. Shopping outside the county cuts into the county's revenue and reduces state sales tax that supports school funding. "We're going to keep more county shoppers too," insisted Euwer.

Impact of duplication

Just because a chain has a store at Weschester doesn't mean it will cause another store of that chain to close, said Glass.

"The question is, 'When will a retailer reach its saturation and cannibalize its own business?'" asked Glass. "Every retailer has its own thought process, so you can't generalize [about how far apart stores should be]."

He pointed to Circuit City with stores close together at Short Pump and Gaskins Road at West Broad Street in Henrico County. A Chesterfield example would be the Staples locations at the Arboretum and just east of Chesterfield Towne Center.

"I think Best Buy might want to outflank Circuit City by moving west and use both stores to get more market share," Glass reasoned. "Linens-n-Things may go to Westchester because it thinks Bed, Bath & Beyond won't since it has a store near the Chesterfield mall."

Other reasons for store locations include grouping for merchandise distribution and store management. Sometimes, said Glass, it's "retail paranoia," with a retailer locating there, so a competitor won't.

Asked if Westchester was a power center or a lifestyle center, Glass said it was "a hybrid with 750,000 square feet of power center on the perimeter and a lifestyle center in the middle. But it needs more restaurants."

Glass acknowledged he is helping some restaurant chains who are looking at Westchester.

A lifestyle center focuses on restaurants and entertainment like movie theatres whereas a power center has a number of large retailers like Target and Stein Mart.