Grocery Anchored center questions

[Max Powers]

If you're looking at a neighborhood shopping center with a major grocery anchor, how much in-line space is considered ideal?

Also, let's say you have a major grocery store, but also have a very popular restaurant, such as a local pizza or Mexican place.  Would those kinds of restaurants or other popular in-line tenants improve the grocery sales?  For example, stopping at the grocery store while picking up laundry or the kids from a daycare? 

If the grocery store is dated, how difficult is it to remodel?  Can this be done in a way to minimize hassle to shoppers or is a complete rebuild more usual?

[Jonathan Orr]

@Max Powers with almost all shopping retail centers they have CC&R's  (Covenants, Conditions and Restrictions) that outline that with the signing of a tenant that a similar tenant cannot interfere or be leased too.  This also occurs within each individual lease.  So the grocery store I am sure has a lease that says no other grocer can lease space.  I am sure that the local pizza joint may have that they cannot lease to another pizza place.  It can be as general or specific as the tenant and owner agree to. 

I am sure that there are some cross affect compliments happening with the popular restaurants with the grocery.  However that is a marketing question which is not my niche :)

To answer your question about a dated grocery.  It really depends on what you mean by updates.  Just a coat of paint can be several thousand, while I have seen TI work be done that cost hundreds of thousands and have to close for 3 months, depends on the work. Developers and investment owners always try to save the structure and remodel vs a tear down.  The only exception is if a 50k sq ft retail space can be expanded immensely.  That may be enough of a factor to tear down and build a much bigger space.