What Stores Indicate the Most Future Growth?

Question

Hey guys,

From your experience, what stores have the greatest impact on future growth? Example: Target, Walmart, etc...

Thank you,

Jesse

Levi T. · Answer

Agreed, stores are not a good forward looking view of economic drivers for growth.

Personally I don’t feel the process is hard. Find a  major metropolitan area, then start tackling anything that’s within a 60 miles or less radius. Places like NY, DC, Houston are the drivers, and the outlying area or towns and small cities support housing. You can then cherrypick based on construction that is slated to provide more access to said areas. Such as extended rail lines, express lanes / HOV, Slug parking lots, etc

Susan Maneck · Answer

I believe Santa Cruz County in California likewise does not have any Walmarts. People there won't tolerate them. Mississippi on the other hand, has Walmarts everywhere, although they had to redesign their store fairly radically to live up to Madison County's standards.

Levi T. · Answer

Slugging / Slug Lines. Basically a massive commuter parking lot where people go each morning to carpool into the city to save on gas and what not.

Jay Hinrichs · Answer

whats a SLUG ??  never heard that term other than at the nursery..

JOBs  for instance when I look at the Carolinas  or by Charleston were we are active.. Boeing Volvo Mercedes  #1 or 2 tourist destination.

then add in surrounded by water lack of land.. scarcity.. and semi decent climate  etc etc.

Jay Hinrichs · Answer

Walmart does not always hit home runs.. they tried their neighborhood stores in existing closed down grocery stores in metro PDX>

and they fail and closed 20 of them within 36 months..  Portland is weird as we know and simply does not embrace the Walmart brand like other areas of the country.. in fact I have personally only been in one or two walmarts in my entire life.  and that was in mississippi

Christopher Brainard · Answer

@Jesse Daconta

While retail stores are necessary to sustain growing areas, I think retail stores are generally a trailing indicator of growth. Walmart will build a store when the population of a city hits certain criteria. Walmart does not build a store and hope the people will come. Additionally, you're talking about adding low wage jobs, not ideal for an explosion of real estate growth.

-Christopher

What Stores Indicate the Most Future Growth?

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