Tuesday, April 21, 2009

UPDATE:Walgreens Coming Soon? YES – Credit Crunch Still Hampers Commercial Construction

Walgreens Coming Soon?

Walgreens Coming Soon?

UPDATE: Walgreens coming soon? NOPE  YES!

A call from Bland Painter owner if the contracting firm (IMD) said that the building will be handed over to Walgreens in a couple weeks with fixtures and stocking to take place at that time. Painter expects Walgreens to open in less than a month. Painter said he really only needed a few more weeks but Council at Monday’s 2:00 PM session granted him until September 14, 2009. As a side note I asked him how construction in general was fairing in the economy. Painter said everyone has “hunkered down – pulling in.” Commercial construction projects cannot get the financing from the banks. It all falls back to getting the banks lending again.

PREVIOUSLY POST: If granted at Monday’s 2:00 PM Council meeting it will be the 4th extension for the contracted company, IMD. The original agreement was executed on November 18, 2004.  Read the recount of the October 23, 2008 Council meeting HERE followed by a very complicated discussion to extend the deadline for the Walgreens store opening to April 30, 2009 – that discussion at the November, 17 2008 Council meeting  is HERE. Ukrops has been struggling being the anchor and only business in Ivy Market at the intersection of Franklin Road and Wonju. The Ukrops pharmacy has already closed in anticipation of the competition from Walgreens’ pharmacy.

At the October Council meeting Councilman Court Rosen wanted to see incentive penalties and a Walgreens opening by the first of the year (2009). He said the city has performed its side of the agreement and the developer has not. He said it was costing the City $600,000 a year saying, “The city was being overly generous.” The matter was then tabled until the November 17, 2008 Council meeting.

Council now has to revisit it a 5th time. It looks as if the economy is the culprit again. The contractor and sole proprietor of IMD, Bland Painter, III is waiting on Walgreens for store fixtures and stocking. If granted the extended deadline will be September 14, 2009.

It remains to be seen if Painter will continue to receive grant funds. At the November 17, 2008 meeting the agreement was modified to allow IMD to request one half of the revenue derived in the form of a grant request beginning July, 2010, for the remaining 14 years.

A phone call to Walgreens resulted in a promise of a return call and explanation for the continued delay.

Posted By Valerie Garner

Categories: Business, Finance

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