Donuts, Donuts, Donuts…
August 22, 2023 • Houston-based Shipley Do-Nuts, founded in 1936, is taking advantage of an infusion of capital and a receptive national market to expand beyond the Lone Star State. Prior to selling their family-owned business to private equity investor Peak Rock Capital in early 2021, Shipley had 300 franchise locations, 90% of which were in Texas. With 40 new locations since 2021 and another 230 throughout the Southeast in the works, Shipley has embraced a more flexible approach to site selection with the addition of smaller in-line and free-standing footprints. One thing they won’t deviate from: fresh donuts made daily and their proprietary yeast dough recipe that is the “heart of the business.” Learn more
Celebrity Brands Fuel Retail
According to a new report from JLL, celebrity-backed retail brands have leased more than 300,000 sq. ft. in a mixture of mall, high street, and hospitality locations. Malls by far are the most popular option for celebrity-branded stores, commanding a 76% share. While 53% of all celebrity brands are in the beauty category, apparel brands are the ones most likely to open brick-and-mortar locations. These include Rihanna’s Savage x Fenty, Sarah Jessica Parker’s SJP, Drake’s October’s Very Own, and Pharrell’s Billionaire Boys Club. To date, only 11% of celebrity brands have opened permanent stores, so there’s a lot of room for more. Learn more
Vacant Retail: An Ideal Location for School
Public K-12 charter schools are perfect candidates for under-utilized retail space. Unlike traditional public schools, they don’t necessarily get a school building from their school districts, so they often have to find their own locations. While there can be safety and compliance issues, as well as physical challenges, in many ways vacant retail premises are ideal for schools. They are often situated in densely populated areas with easy access and the infrastructure necessary for restrooms, classrooms, kitchens, cafeterias, and outdoor sports and playgrounds. Examples include Chandler Preparatory Academy which converted a former Smith’s grocery in Phoenix into a school campus serving 700 6th-12th graders. It has a gym, lecture hall, more than 40 classrooms and labs, and a football field carved out of the parking lot. Learn More
Fast Food Patrons No Longer Want to Eat Inside
According to the Wall Street Journal, Americans are now eating their burgers and fries anywhere but in the fast food restaurants where they buy them. Booths are empty as customers pick up their orders and leave. According to chain franchisees, dine-in customers represent only 10% of visits in most U.S. McDonald’s, compared to 25% before Covid, reflecting a pre-pandemic trend that has accelerated. As a result, franchisors have increased their investments in drive-throughs and online ordering systems and are developing new restaurants with minimal or no dine-in options. On the other hand, some still require their franchisees to periodically remodel their dining rooms, insisting that it boosts sales. Learn more
Join Pipeline NYC’s Tennis & Food Extravaganza!
On Tuesday, August 29th, retail real estate professionals will be meeting at the U.S. Open for an afternoon of tennis on the side courts. After tennis, we’ll head to nearby Flushing for an Asian food tour of the best, under-the-radar spots, led by our very own foodie, Pipeline’s founder Julie Fox. Register here and purchase here.