Most of the new retail development in Richmond, Virginia, is centered in the Northwest and Southwest quadrants, primarily along the western perimeter of Chesterfield and Henrico counties. Retailers have been following the continued Route 288 expansion and strong residential growth within master-planned communities that line these areas. In addition, there has been an increase in development in the Northeast quadrant of Richmond, most notably along the far reaches of Mechanicsville Turnpike. Downtown Richmond has also seen a favorable amount of new retail development and redevelopment of existing assets.

Big box reuse has been one of the most influential factors in the large amount of positive absorption that has occurred the Southwest and Northwest quadrants. According to Kimberly Severino and Zach Means, retail associates with Advantis/GVA, this big box reuse occurred primarily along Broad Street from Parham to Short Pump in the Northwest quadrant, and around Chesterfield Towne Center and along the western perimeter of Chesterfield County at the intersection of routes 288 and 360 in the Southwest quadrant.

Competition between Short Pump Towne Center, which is being developed by Forest City Enterprises and Thomas E. Pruitt, and Taubman Centers’ Stony Point Fashion Park is in full swing and is becoming heated as the developers work toward meeting their September deliveries. Short Pump Towne Center could be adversely affected by the postponed opening of Lord & Taylor, which announced that it would not open its doors until 2004. “It is also important to consider the effects that these new malls will have on existing regional malls, including the struggling Cloverleaf Mall and Regency Square, which is located between the new malls,” say Severino and Means.

These developments as well as the Richmond metropolitan statistical area hitting the 1 million-population mark have begun to change of the face of retail in Richmond with new tenants now looking to secure sites in and around these malls. Wal-Mart is in the process of completing its hotly disputed location north of Richmond in Ashland, Virginia, just off of Interstate 95. New developments in the Northeast quadrant at Bell Creek and Creighton Crossing are indicative of favorable market conditions as retailers push to expand their market penetration.

Stony Point and Short Pump have been positive catalysts for attracting new tenants to the market and the expansion of existing tenants. “Richmond is excited to welcome Lord & Taylor, Nordstrom, Saks Fifth Avenue, Galyan’s, Crate & Barrel, Pottery Barn and Cost Plus World Market to our market this year,” say Severino and Means. Other new retailers in Richmond include Morton’s, Value City Furniture and Ashley Furniture. Value City Furniture recently signed a lease for 30,000 square feet in front of Tuckernuck Shopping Center on West Broad Street. Ashley Furniture leased 36,000 square feet on West Broad Street near Horsepen Road.

The “grocery wars” between regional power Kroger, Food Lion and local favorite Ukrop’s continue. The retailers are competing for sites on all fronts of the market. Grocery stores have been adding new locations at an impressive pace. Kroger opened three locations in 2002 and has at least two additional store planned. Ukrop’s is working on relocating a store, redeveloping a store and adding an entirely new location. Food Lion is also in expansion mode with a new store at Bermuda Square and one under construction at Bell Creek. Probably the most important grocery store opening was The Market, an urban style grocery store in Shockoe Bottom. Richmond has also seen a great deal of activity involving the development of smaller strip centers along primary arteries throughout Richmond.

Kimberly Severino and Zach Means are retail associates with Advantis/GVA.


©2003 France Publications, Inc. Duplication or reproduction of this article not permitted without authorization from France Publications, Inc. For information on reprints of this article contact Barbara Sherer at (630) 554-6054.