There isn’t much room left for additional commercial real estate development around the Interstate 94 and Highway 83 94 interchange in Delafield.
Brookfield-based TOLD Development Co.’s The Shoppes at Nagawaukee, being built northeast of the intersection, will take up the last prime retail site near the interchange. The second phase of the development will include a two-story 75,000-square-foot building with a 35,000-square-foot Marshalls family apparel and home fashions store on the first floor and a 40,000-square-foot Sports Authority store on the second floor. The second phase of the Shoppes will also include a 19,000-square-foot multi-tenant retail building.
The third phase of the development will include an Applebee’s Neighborhood Grill & Bar restaurant, and the fourth phase of the development will feature a small retail building.
The first phase of the Shoppes consisted of two buildings totaling 57,000 square feet. The tenants in the first phase are Best Buy, Famous Footware, Qdoba Mexican Grill, Noodles & Co., Panera Bread and American Dental Partners.
Once completed, The Shoppes at Nagawaukee will cap off several years of significant commercial development near the interchange that has brought the Marcus Hillside Cinemas, a Wal-Mart store, a Target store, a Kohl’s store and several other stores to Delafield.
"It’s kind of the center point for the Lake Country area," said Greg Kost, principal of TOLD Development. "The retailers do like to be near the interstate if possible, and Highway 83 is a major collector connecting points south and north of the interstate."
A lack of available sites for commercial real estate development in the area has also helped make the interchange a hot spot for development, Kost said.
"The Lake Country area is pretty restrictive of where commercial type land use is allowed," he said.
With the interchange all but fully developed, many commercial realtors expect the Highway 67 and I-94 interchange in the Pabst Farms development in Oconomowoc to become the next retail development hot spot in western Waukesha County.
West Allis
Summit Place, the office complex that is emerging in the redeveloped former Allis Chalmers industrial complex, continues to add more tenants. In April, Merge eFilm will move its corporate headquarters from a nearby building into 22,198-square-feet of space at Summit Place, 6737 W. Washington St. Other tenants that will open soon at Summit Place include: Hospice Preferred Choice, which will occupy 7,900 square feet; Wisconsin Coalition for Advocacy, 3,947 square feet; Stanton Healthcare, 2,164 square feet; Staff One, 4,455 square feet; Eyesight Vision Care Center, 1,981 square feet; Apexx Group, 1,459 square feet; AFLAC, 3,329 square feet and Sorenson Media, 1,323 square feet. A 1,380-square-foot Lincoln State Bank opened recently. Summit Place has signed tenants for a total of 222,135 square feet. When completed, the complex of four buildings will have about 650,000 square feet of office space and 110,000 square feet of parking. In addition, a three-story parking structure, connected to Summit Place by a skywalk, will open.
Brookfield
Fountain Square, a 188,000-square-foot retail center being developed by Menomonee Falls-based Continental Properties Co. north of Blue Mound Road near Brookfield Square Mall, will attract some new retailers to Brookfield. City officials say some of the tenants at Fountain Square will include: a 38,000-square-foot Bed, Bath & Beyond; an 18,000-square-foot Cost Plus World Market; a 32,000-square-foot Circuit City store; a 22,000-square-foot Michael’s arts and crafts store; a 22,000-square-foot La-Z-Boy furniture store; an 8,000-square-foot Gold Creations jewelry store; a 6,000-square-foot Goodyear service center; a 6,000-square-foot Jared – Galleria of Jewelry; and a 4,000-square-foot Motherhood Maternity clothing store. Fountain Square also will have a 7,000-square-foot restaurant and another 22,000-square-foot store. The Jared store will be the first Milwaukee-area location for the jewelry store chain. The Cost Plus World Market will be only the second location in the Milwaukee area. Another Cost Plus is being added to Southridge Mall. The Bed, Bath & Beyond and Michaels stores will be new to Brookfield. Circuit City is moving its store from 18550 W. Blue Mound Road to Fountain Square. Babies "R" Us plans to move into the vacated Circuit City store.
When the Barnes and Noble bookstore opens at Brookfield Square Mall, the Barnes and Noble at 16220 W. Blue Mound Road, next to the Fountain Square development, will be vacated. However, Brookfield officials don’t expect it to remain dark for very long. "I know there is significant interest in that site," said Patrick Drinan, economic development coordinator for the City of Brookfield.
Sheboygan
Boston-based Heritage Property Investment Trust Inc., which owns the Taylor Heights shopping center in Sheboygan, will soon have a large amount of vacant space to fill. Wal-Mart plans to abandon its store in the shopping center because it is building a new 212,000-square-foot Supercenter store at Taylor Drive and Germaine Avenue. Also, Fresh Brands Inc. plans to close its 35,000-square-foot Piggly Wiggly grocery store at the shopping center. Fresh Brands says the store is underperforming. Sheboygan-based Fresh Brands has two other stores in its hometown. Both of those stores opened in the last four years. Taylor Heights is located in one of the busiest retail corridors in Sheboygan County. It will be important to fill the soon-to-be-vacant space at Taylor Heights to keep the shopping center from declining, said Steve Sokolowski, manager of planning and zoning for the City of Sheboygan. "We want to see that area stay healthy," he said. "Obviously, it’s something we don’t want to see dark long at all. It’s obviously very important to try to get someone in there as soon as possible." Wal-Mart plans to provide even more competition for Piggly Wiggly and other retailers in Sheboygan. In addition to the Supercenter planned on Taylor Drive, Wal-Mart wants to build another Supercenter store at Highway 42 and I-43 in the Town of Sheboygan. However, that project still has not been approved by the town board, and several area residents have objected to the development. Some town residents fear that if their own town board rejects the proposed Wal-Mart Supercenter, the property may be annexed to the City of Sheboygan and then the store might be built anyway, with the town losing control of the property and the tax revenue from the store.
Sheboygan Falls
Michael Hartig and Brian Klismet are developing a 44,000-square-foot, $2 million strip mall called Plank View Green Retail, just southwest of Highway 23 and Highway 32. Several other retailers are eyeing the Highway 32 corridor, said Ken Sonntag, building inspector and assessor for the City of Sheboygan Falls. "We have a lot of interest for that corridor," he said. "I’ve heard Walgreens, I’ve heard Dollar General. I’ve heard all kinds of stuff. There’s all kind of talk out there. There’s nothing else immediate, but I do think it is going to come."
Mequon
Mequon-based Lakeside Development Co. plans to build two buildings, totaling 34,000 square feet, for retail and restaurant space and a 7,000-square-foot upscale car wash, at 6809-6835 W. Mequon Road. "There are not enough restaurants in Mequon, we are being told (by residents)," said Mequon community development director Brad Steinke. "We’re trying to beat the bushes to get a good restaurant out here."
Attorney Joe Goldberger plans to tear down some old industrial buildings at 6209 W. Mequon Road and build a two-story commercial building with a coffee shop and an upscale car wash on the first floor and office space on the second floor.
Dr. Ronald Beatty Jr. plans to open a veterinary clinic in the Venture Court Shopping Center at 11422 N. Port Washington Road.
Milwaukee
Brady Corporation plans to build a 60,000-square-foot, $10 million expansion of its facility at 6555 W. Good Hope Road, for a central distribution center. The project will consolidate warehousing and distribution services for several Brady U.S. locations.
The Salvation Army plans to open a store at 6406 N. 76th St.
State Sen. Lena Taylor plans to open an office at 3407 W. Highland Ave.
Paul Ray plans to open a pizza delivery and carry-out restaurant at 1611 W. Wells St.
Annie Robinson plans to open a grocery store at 3416 N. Teutonia Ave.
Office Furniture Resources Inc. plans to open a second-hand office furniture store at 8787 W. Brown Deer Road.
McDonald’s Corp. plans to build a new restaurant at 3137 S. 76th St., replacing the old McDonald’s restaurant on the site.
Wauwatosa
AMCORE Bank plans to build a two-story, 13,000-square-foot bank branch on a vacant site at 2365 N. Mayfair Road. The Rockford, Ill.-based bank only has one other location in the metro Milwaukee area, at 2835 N. Grandview Blvd, Waukesha.
Ai Lin Wang plans to open a Chinese restaurant called No. 1 Chinese Restaurant at 6119 W. North Ave. Another Chinese restaurant at that location, Moy Fa CafZ, closed recently.
Julie Hollingsworth plans to open a restaurant called The City Market at 8725 W. North Ave. The 4,000-square-foot building was previously the site of a Haasch Appliance store, which abandoned that location about two years ago.
Waukesha
Harmony Homes plans to build three retail buildings, each with about 7,900 square feet, at the southwest corner of Barstow Street and North Street.
Master Z’s Dart & Pool Supply plans to build a new 15,000-square-foot building with a showroom, office space and warehouse space at 1100 W. Sunset Drive to replace the company’s building at 910 W. Sunset Dr. Master Z’s is a game room furniture distributor with products including pool tables and dart boards. After the move, the 7,500-square-foot building at 910 W. Sunset Dr. will be leased to tenants, said Master Z’s owner Ken Zettelmeier. The company needs the new building to expand its business from just retail sales into wholesale and distribution as well. "We’re going to be doing distribution (in the new building)," Zettelmeier said. "We’ll have a little bigger retail space, but a lot bigger warehouse space."
Greenfield
Loomis Investments LLC plans to build a 25,000-square-foot medical office building at 4121-31 W. Loomis Road. The facility would have a 13,000-square-foot outpatient surgery center and a 12,000-square-foot office.
New Balance recently opened a store in Layton Plaza at 7411 W. Layton Ave., Greenfield. New Balance has about 100 independently owned stores in the United States and Canada.
Thomas Rupic plans to open P. DeMarini’s Pizza in the former The Original Lorenzo space at 5442 W. Forest Home Ave.
Des Plaines, Ill.-based U.S. Universal Electronics plans to build a 2,900-square-foot Elite Electronics store at 5945 S. 27th St.. Elite Electronics sells car stereo equipment.
Andrew Weiland is the managing editor of Small Business Times. Send news about commercial real estate to Andrew.weiland@biztimes.com or by calling him at (414) 277-8181 ext. 120. News can also be sent to Andrew Weiland, Small Business Times, 1123 N. Water St., Milwaukee WI 53202.
Commercial real estate transactions
Leases
James T. Barry Company Inc.
Plaspac has leased 1,200 square feet of space at MIE Properties’ Lake Country Research Center at 1020 James Dr., Hartland. Plaspac will be moving its corporate headquarters to this location.
Inland Companies
Wisconsin Security and Private Police Association has leased 495 square feet of office space at the West Allis Center, 1126 S. 70th St., West Allis.
Barbara Guthrie Medical Services has leased 1,741 square feet of office space at Glenwood Executive Center, 9050 W. Waterford Square South, Greenfield.
Anixter Inc. has leased 27,450 square feet of warehouse space at Northwest Business Park III at 13525 W. Silver Spring Dr., Menomonee Falls.
Next Level Acquisitions LLC has leased 646 square feet of office space at the West Allis Center, 1126 S. 70th St., West Allis.
NAI MLG Commercial
Verizon Wireless has leased 2,434 square feet of retail space at 6035 Durand Ave., Mt. Pleasant, from Pranke Holdings. Verizon Wireless will move to the location, which is in a newly constructed shopping center, from Regency Mall in Racine.
Polacheck Company
National Business Furniture Inc. has leased 20,387 square feet of space at 735 N. Water St., Milwaukee, from Compass Properties North Water Street LLC.
Beverly Enterprises-Wisconsin Inc. has leased 11,310 square feet of space at 9045 N. Deerwood Dr., Brown Deer, from TSI Brown Deer LLC and TJN Brown Deer LLC.
Optimum Staffing Inc. has leased 449 square feet of space at 12660 W. Capitol Dr., Brookfield, from PRIYA Corp.
Potbelly Sandwich Works LLC has leased 3,580 square feet of space at 17800 W. Bluemound Road, Brookfield, from Brookmound Plaza LLC.
The Titus Group has leased 5,649 square feet of space at 330 E. Kilbourn Ave., Milwaukee, from Plaza East Inc.
Marshalls of MA Inc. has leased 26,250 square feet of space at Plaza 50, 5900 75th St., Kenosha, from Plaza 50 Property Association LLP.
Sales
James T. Barry Company Inc.
Cedar Homes Farms has purchased 233 acres at N2360 Jefferson Road, Neosho, located about 8.5 miles southwest of Hartford, from Vivian J. Bertz, who is planning to retire. Cedar Homes Farms plans to use the land for agricultural purposes.
Buildt on Faith LLC has purchased the 6,176-square-foot property at 1624 Schmidt Road, West Bend, from David Hurley Trust.
Century 21 Stewart Realty Inc.
Simon Group Ltd. has purchased the vacant land at the northwest corner of Barker Road and Watertown Road in the Town of Brookfield from New Tribes Bible Institute.
Milner Properties LLC has purchased a 9,000-square-foot industrial building at W241 S4021 Rockwood Circle, Waukesha, from Leppin Drywall.
Inland Companies
South Central Industrial Properties VIII has purchased the 19,000-square-foot industrial building at 11811 W. Carmen Ave., Milwaukee.
G Squared Investments LLC has purchased the 14,400-square-foot industrial building at N171 W20999 Industrial Dr., Jackson.
PRR LLC has purchased a 70,000-square-foot industrial building at 7474 Rockway Court, Milwaukee.
Polacheck Company
JKA Enterprises LLC has purchased 46,451 square feet of space at 760 S. Indiana Ave., West Bend, from Serigraph Inc.
Brown Deer Real Estate LLC has purchased 4.5 acres at 8879 N. Deerbrook Trail, Brown Deer, from Marshall & Ilsley Corp.
MEDC LOANS
Mt. Castle Corp. received a $170,000 MEDC loan and $251,000 in additional financing to buy two homes, one at 2825 N. 47th St., Milwaukee, and the other at 4451 W. Hiawatha Dr., Mequon, to form two community based residential facilities for developmentally disabled adults. The MEDC loan will only finance the purchase of the Milwaukee home, which is replacing a home at 2935-37 N. 44th St., Milwaukee, that was destroyed by a fire.
Marker Service Corporation received a $98,000 loan and $311,000 in other financing to purchase its 22,540-square-foot building at 3822 W. Elm St., Milwaukee, and pay for renovations and equipment purchases. The company needed a larger facility and last year moved part of its business to the Elm Street building, which has higher ceilings to allow room for painting large vehicles and sand blasting large pieces of metal.
NEW CONSTRUCTION
MSI General Corp., Oconomowoc, was selected by Outpost Natural Foods to design and build the remodeling of the interior and exterior of the former Kohl’s Foods store at 2826 S. Kinnickinnic Ave., in Milwaukee’s Bay View neighborhood. The new store will feature in-store dining with two seating areas. An outdoor seating area will open in the summer. This will be the third Outpost store in the Milwaukee area. The others are at 7000 W. State St., Wauwatosa and 100 E. Capitol Dr., Milwaukee. Also, MSI General Corp. was selected by WISMARQ Corporation to design and build a 16,332-square-foot addition to the firm’s facility at 930 Armour Road, Oconomowoc. The addition will be used to store metal coils. Construction is expected to be completed this spring.
Inland Companies, Milwaukee, was selected to build a 1,200-square-foot retail space for Fantastic Sam’s Hair Salon at Capitol Drive and Brookfield Road in Brookfield and a 1,200-square-foot retail space for another Fantastic Sam’s Hair Salon at Pilgrim Road and Silver Spring Drive in Menomonee Falls.
Berghammer Construction Corp., Butler, is renovating space at 735 N. Water St., in downtown Milwaukee, for existing tenants. Construction began in December and occupancy will take place this month. Zimmerman Design Group, Milwaukee, is providing architectural services.
CG Schmidt Inc., Milwaukee, has been selected by Froedtert Hospital to build a 1,250-space parking structure. The project will include a six-level elevator lobby addition and a 275-foot enclosed pedestrian bridge.
Briohn Building Corp., Brookfield, has completed the 10,000-square-foot interior tenant improvement for FabriFast at 1669 Independence Ave., Hartford. Fabrifast fabricates sheet metal shields for electronic equipment.
February 18, 2005, Small Business Times, Milwaukee, WI
