Economic Vitality Committee Agenda and Packet 2021 10 22

Home Browse Search

SUBJECT: STRATEGIC PLAN ITEM #14 DATE: OCTOBER 22, 2021 PAGE 2 OF 5 Challenges: Privately -owned with restrictions; redevelopment required for any new tenancy; current zoning would not facilitate change in use or redevelopment; and no Tax Increment Financing (TIF) through Urban Renewal. Opportunities: Parcel is covered by 550 S. McCaslin Urban Renewal Plan; existing owner wants to retain space as part of redevelopment. 919 W. Dillon Road, Former Kohl's Department Store The Kohl's at this site closed in 2019. The building is approximately 86,000 square feet and was occupied as a retail use since its original approval in 1998. The building is owned by Koelbel & Company; in the last year Koelbel has retained a broker to market and attract a new tenant to this site. The owner is willing to lease the entire building or potentially demise it into two smaller spaces; however, this is still a large retail space given demands in the current commercial market. Challenges: Privately -owned with covenant restrictions; few potential tenants require significant amount of commercial space; may be few market gaps in the market area to be filled; and zoning is limited to certain types of commercial uses when demand may be for different land uses or mix of uses. Opportunities: Willingness to demise space could attract multiple smaller tenants; activation of incentives to fill long-term vacancies. 785 E. South Boulder Road, Former Alfalfa's Market The Alfalfa's Market at the intersection of Centennial Drive and South Boulder Road closed in April, 2021. The building has approximately 26,800 square feet and is owned by Longview Equity. Shortly after the Alfalfa's departure, the equity firm hired a broker and have indicated a willingness to lease or sell the property. The most practical effort is to attract another grocer to this space, given the layout and prior investments in the kitchen and plaza. The shared parking arrangement of owners between the Alfalfa's building, the in -line strip, 511 E. South Boulder Road, and the Village Square Shopping Center is prohibitive for some grocers (especially national chains). The site, however, has good visibility and access, is located on a highly trafficked corridor, and has close proximity to potential customers. Both the City and the Louisville Revitalization Commission made significant investments in the development of the building and the Alfalfa's Market operation over an approximately five year period. Challenges: Privately -owned for investment purposes; reputation and lack of success for prior tenant; and large space for all but certain types of retailers. Opportunities: Building is within the Highway 42 Urban Renewal Area; and broker is actively working on the space and interacts with the City. Agenda Packet P. 25