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It is hardly news to anyone that the downtown street level retail market is not particularly strong. 

 

Having said that, this particular transaction tells us literally nothing about the "market."  The landlord is a nonprofit foundation.  The tenant is a closely-related nonprofit entity.

 

And, FWIW, the church indeed wanted street-level, street-front space for this facility.  They very specifically did not want it hidden away in the upper levels of the large church complex.  They want a very visible outreach to and engagement with the downtown community, especially the thousands of new residents coming soon.

 

 

Nonsense, any transaction tells you something about the market. I don't care if the landlord is the Archbishop of Canterbury, if they can get $30/SF leasing the space to a coffee shop or something else that would tastefully complement the upstairs office use and the church campus, they would in a second, and then all the Episcopalians would have a nice hangout to go to on the way from the prayer center (wherever it ended up) to the office and vice versa.

 

And obviously the church wanted the street-level space if it was there for the taking, although I would be interested in seeing whatever quotes you've read that tell you that they "very specifically" rejected a location in the upper levels. I would bet strongly however that they did not want it so bad as to pay a retail-level rent for it, which tells you that retail tenants were uninterested... which tells you something about the market.

Edited by H-Town Man
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On ground floor retail, the old site for the tower was a McDonald's, which was demolished for a skyscraper that never came to be. They even had supposedly signed a lease. Could a McDonald's be a tenant for 609 Main??

 

Highly doubtful that Hines would honor any agreement made ca. 2004 between McDonald's and Tracy Suttles' Shamrock.

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I seriously doubt Hines would lease GFR to a McDonalds.. They have standards. From what I've heard a Walgreens wanted to open in the base of one of their office towers awhile back (before Page/ moved their offices into the space) and they said no.

 

Would make sense for there to be a Walgreen's - just a few blocks away is that CVS, and Walgreen's and CVS like to be as close to each other as possible 

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