Tag Archives: substantially

Barnes & & Noble ' s Next Chapter Require Substantially Smaller Shops

New Stores Will Have To Do With Half the Size; Existing Shop Square Footage Will be Edited Down

Significant horror category author Stephen King and bookseller Barnes & & Noble owe a lot to each other’s success, and possibly Barnes & & Noble is now taking a cue from King’s writing wisdom when it pertains to running their shops.

“When your story is prepared for reword, cut it to the bone. Get rid of every ounce of excess fat. This is going to hurt; revising a story to the bare fundamentals is always a little like killing children, however it should be done.” – Stephen King

Following disappointing quarterly outcomes this year and a reorganization plan that has actually called for trimming $40 million a year in expenses, Barnes & & Noble is now ready to reword its store plans and it requires cutting excess fat.

The bookseller’s next chapter requires opening substantially smaller sized stores and cutting existing shop space as leases turn up for renewal.

The business has actually reported weakening exact same shop sales in 4 of the last 5 years and again this quarter. Last week, President Demos Parneros reported even poorer results: a fiscal 2018 net loss of $125.5 million compared to net incomes of $22 million the year prior to.

In his revenues conference call, Parneros laid out a plan to go back to profitability with a real estate reword a key theme.

“Another method we prepare to rebuild sales is through improvements to our realty portfolio. We’re excited to open numerous brand-new model stores this year, which will include a totally brand-new design,” Parneros stated. “We see a great deal of opportunity for the smaller and more flexible model and as a result will be net store positive this fiscal year.”

The company runs 630 book shops with 16.6 million square feet of space under the Barnes & & Noble Booksellers trade name with a total typical shop size of 26,000 square feet. All however one are rented.

The brand-new store size moving forward will be significantly smaller – 14,000 square feet typically.

“We are delighted to be launching early fall with the very first among these stores and we plan to get terrific learning and takeaways from these,” Parneros stated.

While that effort gets underway, the bookseller will likewise be looking at downsizing its existing stores as leases turn up for renewal. The business has about 250 lease expirations coming upon expiration dates by the end of 2020– 40 percent of its portfolio– most of them already in renewal duration options.

“So, while we have an excellent store that’s making an excellent four-wall revenue, we’ll try and downsize the square video of it and be more effective,” Parneros stated. “That’s the instructions.”

The first space it prepares to cut is square footage committed to music and videos, which makes up as much as 8,000 square feet in a few of existing stores. Shop equivalent sales for music and DVDs was reported to be down by “double-digit” figures.

“We can’t downsize all of those stores, but where we can, we will scale down those shops and when we do, we will offer much less space, if any, to those categories,” Parneros stated. “It’s a bit of a slower process that we ‘d like. We ‘d like to do it over night, but trying to be sensible with usage of our capital and our expense dollars where we’re moving and where we’ve reallocated space, we’ve seen the results.”

Workplace Lease Up (September 18) NRG to Substantially Broaden Existence in Downtown Houston with 400,000-SF Sublease at One Shell Plaza

Weekly Wrap-Up of Largest Reported Office Leases Include Deals by Consumer Cellular, TriHealth, University of Kansas Health center, UWorld and more

NRG Energy (NYSE: < a href=" https://www.nyse.com/quote/XNYS:NRG "target=" _ blank ” > NRG) has finalized an offer to sublet 431,037 square feet at One Shell Plaza in downtown Houston from Shell Oil Co. A leading American energy company dual-headquartered in Princeton, NJ and 1201 Fannin St. in downtown Houston, NRG will completely inhabit 18 floors within the 50-story, 1,228,923-square-foot, Class A high-rise finished in 1970 in Houston’s main enterprise zone.

The Jackson Walker, LLP group of Pat Sharkey and Amber Sheneman represented NRG Energy in settlements, while Joseph Peddie, Tim Relyea and Morgan Relyea Colt of Cushman & & Wakefield represented Shell Oil Co. By James Saris

Consumer Cellular Leases 164,000 SF at I-17 Office Center

Customer Cellular rented the
entire 163,607-square-foot office building located at 17500 N. Black Canyon Hwy in Phoenix, AZ.

. Built in 1987, the single-story office building is positioned on an 11.5-acre parcel in the Deer Valley/ Airport submarket of Maricopa County, within the I-17 Workplace Center company park.

Ashley Brooks and James Bayles of CBRE represented the property manager, Everest Holdings LLC, in negotiations with the renter. By Matt Mendoza

TriHealth Indications for +106,000 SF of Office at Baldwin Center

TriHealth has
< a href=" http://www.costar.com/News/Article/TriHealth-Signs-for-+106000-SF-of-Office-Space-at-Baldwin-Center/193517" target=" _ blank” > signed a three-year lease for 106,223 square feet within the Baldwin Workplaces at 625 Eden Park Dr. in Cincinnati, OH.

The locally-based unified health system will completely occupy the first flooring in addition to the sixth through 12th floorings at the 12-story tower, which totals 209,955 square feet at 625 Eden Park Dr. within the Baldwin Center in Cincinnati’s Clifton/Midtown submarket. TriHealth’s lease is set up to commence in the second quarter of 2018, according to CoStar information.

Douglas Altemuehle, Darin Armbruster and John Rubin of Newmark Knight Frank, in collaboration with in-house rep Rob Murphy of Neyer Residence, represented the proprietor in settlements. By Ummama Bashir

University of Kansas Health center Preleases Proposed Office Bldg. in Overland Park

The University of Kansas Healthcare facility has signed a lease to completely occupy a 75,000-square-foot office building pertaining to the Highlands Corporate School in Overland Park, KS.

Found at 10710 Nall Ave., the four-story building will be built just north of I-435 in the College Blvd. submarket of south Kansas City.

Douglas E. Weltner of Colliers International represented the landlord in this deal. By Connor Martz

UWorld Leases 50,000 SF at Brand name New Spec Advancement in Cypress Waters

UWorld
will move this January from its area at 545 E. John Carpenter Fwy. in Irving, TX to 50,000 square feet at the brand new 9111 Cypress Waters Blvd. building in Cypress Waters.

The leader in online practice question banks signed a lease to occupy the third floor of the 217,000-square-foot, four-story office complex, which delivered earlier this year as the latest speculative task within the 1,000-acre Cypress Waters development.

Dallas-based Billingsley Co. developed and owns the Great Fulton & & Farrell Architects-designed residential or commercial property. Clay Vaughn and David Glasscock of CBRE handled settlements on behalf of UWorld. By John Semaie

GCP Signs Vallen Circulation to 10-Year Office Renewal in Belmont

Graham Commercial Residence (GCP), an industrial property financial investment, advancement and management company headquartered in Birmingham, AL, has
signed leading industrial provider Vallen Distribution to a 10-year extension for the company’s 42,000-square-foot office space at 2100 Oaks Pky. in Belmont, NC.

Concurrent with the renewal, GCP disclosed strategies to separate the 42,000-square-foot workplace component and 83,213-square-foot storage facility element into 2 separate leases. By Shae Yeager

Sageworks Inks Deal at Brand New 104,000-SF Office Development in Raleigh

This January, Sageworks will have a brand name brand-new 33,885-square-foot office in Raleigh, NC following news the monetary analysis solutions company
signed a lease to inhabit the leading flooring of Rule Real estate Partners and PGIM Real Estate’s Wade IV job slated to deliver early next month in west Raleigh.

The104,071-square-foot, four-story office job broke ground last September on an entirely speculative basis at 5444 Wade Park Blvd. minutes from I-40, the Wade Ave. road and the campus of NC State University.

Avison Young’s Arnold Siegmun and Carlo DiGiorgio represented the landlord in negotiations, while Dave Bodart of Kennedy Advisors represented Sageworks. By Vicente Garces

The Marketing Shop Expands HQ at 55 W. Monroe

The Marketing Shop
finalized a deal with structure owner John Hancock Life Insurance Co. to broaden the business’s corporate headquarters at 55 W. Monroe St. to 35,955 square feet.

The customer engagement agency combined a number of rural places back in 2013 to establish its corporate headquarters at 55 W. Monroe, a 965,500-square-foot, 40-story tower completed in 1981 in Chicago’s Central Loop. The expansion increases The Marketing Store’s existence in 55 W. Monroe by 15% and provides the firm occupancy of the 13th and 15th floorings.

Andrea Saewitz of Cushman & & Wakefield represented John Hancock Life Insurance coverage Co. in settlements, while Robert Sevim and Joe Learner of Savills Studley worked out the expansion for The Marketing Shop. By Kyle O’Connor

Envision Healthcare Leases 26,000 SF in Burton Hills III

Envision Health care
< a href=" http://www.costar.com/News/Article/Envision-Healthcare-Leases-26000-SF-in-Burton-Hills-III/194136" target=" _ blank” > signed a five-year lease for 26,000 square feet in the Burton Hills III office complex at 20 Burton Hills Blvd. in Nashville, TN.

Envision’s lease includes the whole 4th flooring and a portion of the fifth in the 109,390-square-foot building.

Costs Adair of JLL represented the proprietor. Thomas Harwell of Eakin Partners represented the occupant. By Ryan Sompayrac

SouthernSun Leases 20,000 SF in Memphis

SouthernSun Possession Management, an investment management firm, signed a 10-year workplace lease for 20,000 square feet in the Hickman Structure at 240 Madison Ave. in Memphis, TN.

Integrated in 1926, the eight-story building overalls 99,159 square feet in downtown Memphis. In 2005 it was purchased by Walk-Off Properties LLC, and major restorations are anticipated to be completed in August 2018.

Stuart Harris of Walk-Off Residence LLC represented the property manager in-house. By Zach Hernandez

CityWorth Home loan Leases 19,872 SF in Fairfax

CityWorth Home loan, a direct home loan lender,
< a href=" http://www.costar.com/News/Article/CityWorth-Mortgage-Leases-19872-SF-in-Fairfax/194071" target=" _ blank” > signed a seven-year lease for 19,872 square feet in the office building at 12015 Lee Jackson Memorial Hwy/ in Fairfax, VA.

. The eight-story structure overalls 153,256 square feet in the Greenwood office park. CityWorth Home mortgage will occupy the entire 7th floor and is expected to move into the space in December.

Brian Connolly, Yorke Allen and Brent Mathis of JLL represented the proprietor, while Norman Corkhill of Potomac Realty Partners represented CityWorth Home loan. By Gebar Hagos

Tiffany & & Co. Leases 17,000 SF in Chelsea

Tiffany & & Co. < a href =" http://www.costar.com/News/Article/Tiffany-Co-Leases-17000-SF-in-Chelsea/194126" target=" _ blank" > leased 16,909 square feet in the office complex at 53 W. 23rd St. in New York City.

The 12-story, 230,000-square-foot office complex was originally constructed in 1915 on one-third of an acre in the Chelsea submarket of Manhattan. The prominent jewelry company will take tenancy of the whole seventh flooring.

Greg Taubin with Savills Studley represented Tiffany & & Co. James Buslik, Alan Bonett and Brad Cohn with Adams & & Business Real Estate LLC represented the landlord in-house. By Daniel Griffin

Mass Mutual Leases 14,000 SF in Clark Tower

Mass Mutual Life Insurance coverage Company signed a 10-year office lease for 14,486 square feet in the Clark Tower office complex at 5100 Poplar Ave. in Memphis, TN.

The 34-story building totals 668,505 square feet. It provided in 1973 on 8.9 acres in the East submarket of Shelby County, and underwent remodellings in 2007. Mass Mutual will take tenancy of its space in the 4th quarter of 2017.

Ron Riley and Laura Taylor of Colliers Management Solutions LLC represented the proprietor, In-Rel Properties. Barry Maynard of Loeb Characteristic, Inc. and Jacob Biddle of Avison Young represented the occupant in lease settlements. By Jennifer Jones

Outfront Media Leases 13,000 SF in Phoenix

Leading outdoor marketing company Outfront Media, formerly CBS Outdoor,
< a href =" http://www.costar.com/News/Article/Outfront-Media-Leases-13000-SF-in-Phoenix/194088" target=" _ blank" > rented 13,187 square feet in the Biltmore Center I building situated at 2390 E. Camelback Rd. in Phoenix, AZ.

. The 211,624-square-foot office complex is positioned on a 2.7-acre parcel in Maricopa County. The renter is slated for Fourth quarter 2017 tenancy.

Ryan Timpani and Phillip Breidenbach of Colliers International represented the proprietor. By Matt Mendoza

BDO U.S.A Inks Deal for New 12,000-SF Office in Downtown SLC

BDO U.S.A, LLP, a Chicago-based accounting and advisory organization and the United States member company of global accounting network BDO International, settled a deal to open a new 12,183-square-foot office in the Wells Fargo Center in downtown Salt Lake City, UT.

BDO’s moving follows 4 years of unprecedented growth for the company, which because span more than doubled its profits from $683 million in 2013 to $1.41 billion in 2017, according to BDO assurance office managing partner Matt McReynolds. The company will inhabit the 10th floor in Wells Fargo Center with a move-in slated for next quarter.

Collin Perkins of Newmark Grubb ACRES represented BDO in this deal. By Elizabeth Nutt