VOL. 128 | NO. 150 | Friday, August 2, 2013
Walgreen Co. Closes Ike’s Gas Station
By Amos Maki
Walgreen Co. has closed the gas station at its Ike’s store on Union Avenue, but the company isn’t saying anything else about the property’s future.
“It was a corporate decision to withdraw from the gasoline business,” said Mai Lee Ua, senior manager for Walgreen public relations, in an email.
Ua said the company had “nothing to announce regarding potential future changes at this location.”
In 2010, Walgreen bought out USA Drug’s prescription files and acquired the Ike’s stores on Union and Park Avenue. Both stores still carry the Ike’s name, although Walgreens is building a new drugstore at Poplar Avenue and White Station Road to replace the Ike’s on Park.
In 2011, Walgreen Co.’s top rival, CVS, bought the Union Avenue United Methodist Church property across Cooper Street from the Ike’s and erected a new store there.
If Walgreen were to change directions with the Union Avenue Ike’s store, it would likely convert the 1.09-acre property to a Walgreens store or sell it to a non-pharmacy-based retailer, such as a grocer, local real estate professionals said this week.
The site could be inviting to the Fresh Market, which has had its sights set on Midtown Memphis for some time.
The Union Avenue Ike’s store is roughly 27,800 square feet. Fresh Market stores are typically between 22,000 and 26,000 square feet.
The Fresh Market has explored the vacant office property at the southwest corner of Union and McLean Boulevard, which remains under contract for a potential purchase by an unidentified buyer.
Founded in 1982, the Fresh Market, which has locations on White Station in East Memphis and on Poplar in Germantown, operates 134 stores in 25 states, primarily in the Southeast, Midwest, Mid-Atlantic, Northeast and West Coast.
In other real estate news, the Austin Peay Highway corridor in Raleigh has seen a flurry of activity in recent months, with Broadmoor Investment Corp. selling off multiple properties there and more under contract for sale.
Broadmoor sold the Jiffy Lube location at 3202 Austin Peay Highway to Illinois-based Naperworth LLC for $280,000. Broadmoor sold the Wendy’s at 3202 Austin Peay Highway to California-based MACK Ventures for $345,000. Broadmoor sold the KFC at 3255 Austin Peay Highway to Arkansas-based Memphis Foods LLC for $525,000. And Broadmoor sold the Krystal at 3330 Austin Peay Highway to Krystal Co. for $385,000.
Wilson McCloy and Patrick Surratt of Crye-Leike Commercial represented Broadmoor in those transactions.
Broadmoor also sold the Cash America site at 3305 Austin Peay Highway to Texas-based Vaquero Memphis Retail LLC for $530,000, with Arnold Engelberg of Arnold R. Engelberg Real Estate & Leasing Ltd. representing Broadmoor in that transaction. Broadmoor sold the McDonald’s at 3363 Austin Peay Highway directly to the fast food chain for $920,000.
More sales should be on the way.
The Checkers location at 3240 Austin Peay Highway is under contract to be purchased, as is the former Back Yard Burgers site at 3288 Austin Peay Highway.
The Austin Peay artery, from a little south of Coleman Road north to the Raleigh Springs Mall, used to be one 300-acre farm that was purchased and developed primarily by Walker Hall, founder of Broadmoor.
McCloy said the activity shows Raleigh is still inviting to retailers and that he hopes a possible public-private effort to transform the mall could attract more investment.
“I think that fact alone speaks favorably about the strength of the Raleigh market to support retail businesses,” McCloy said. “Austin Peay has seen quite a lot of changes over the last several decades and I certainly hope for its ongoing re-vitalization by local leadership and a business community that understands the profitability of areas like Raleigh.”
Zaytoon Mediterranean Grill has a new owner and has renewed its lease at Trinity Commons in Cordova. Abdel Aziz Merdas bought the business from Mohammad Halimah and will operate the restaurant in the same name.
Laura Warren represented the landlord, Loeb Properties, in the deal.
Clark Tower in East Memphis has been seeing leasing activity.
Douglas & Greer Inc. Insurance Agency has renewed its lease at the building. The Memphis-based insurance agency, founded in 1948, leases 5,026 square feet at the East Memphis landmark.
Will Barden with Colliers International represented Douglas & Greer. Phil Dagastino Jr. and Anna Tranum of Commercial Advisors/Cushman & Wakefield represented the landlord.
In addition to Douglas & Greer, the Becker Law Firm, led by the husband and wife team of James and Misty Becker, expanded and extended their lease at Clark Tower.
Robert Taylor of Rasberry Commercial Real Estate represented Becker Law while Dagastino and Tranum of Commercial Advisors/Cushman & Wakefield represented the landlord.