OKC Retail Update

[onthestrip]

An IKEA would be awesome

Ikea wasn't even brought up at this ICSC event, that's how far out it is. I'm guessing we are at least a decade from seeing one.

[stlokc]

My understanding is that IKEA requires a market area population of 2 million as a baseline.

[metro]

This was the best retail update for Oklahoma City in a long time. Where's the discussion?

While an improvement, some of it we already knew. Definitely a step in the right direction, but people want news and they want it now. Frequency and frequent updates to stories like this will be essential to long term success. Me personally I am tired of only getting 1-2 articles weekly about developments we care about. I can come on here and read updates to dozens of projects daily. While this is the nature of new media, traditional media will have to embrace this approach to stay relevant.

[bchris02]

My understanding is that IKEA requires a market area population of 2 million as a baseline.

Charlotte got IKEA with only 1.7 million MSA. It could happen within the next decade in OKC. I stand by that the city should de-annex its remote rural areas and that would go a long ways at helping OKC land coveted retailers. As it stands, retailers look at the horrid population density numbers for OKC and instead opt for Tulsa when OKC would really be the better choice if the numbers painted a true picture.

[okcpulse]

Charlotte got IKEA with only 1.7 million MSA. It could happen within the next decade in OKC. I stand by that the city should de-annex its remote rural areas and that would go a long ways at helping OKC land coveted retailers. As it stands, retailers look at the horrid population density numbers for OKC and instead opt for Tulsa when OKC would really be the better choice if the numbers painted a true picture.

I would agree with the exception that there are advanced tools now that give a more accurate picture of Oklahoma City's true population density. Our land area is more of a detriment to city services than luring retailers. I am under the impression that retailers take the lazy approach to market research, but to their defense, the data available is often out of date.

[bchris02]

I would agree with the exception that there are advanced tools now that give a more accurate picture of Oklahoma City's true population density. Our land area is more of a detriment to city services than luring retailers. I am under the impression that retailers take the lazy approach to market research, but to their defense, the data available is often out of date.

This is true which is why the population density statistic is so important. Many "market researchers" simply use Wikipedia to get their information.

[onthestrip]

It has less to do with the size of the OKC city limits and more to do with income levels. Our income levels simply dont measure up that well to most markets. We have to and have been showing these retailers that we have basically the lowest cost of living in the country which means we have a high level of discretionary income.

Even if we reduced our city limits I dont see changing much, OKC's pockets of wealth would still be scattered out

[GaryOKC6]

I talked with the people at Dick's sporting goods yesterday. They told me that this (Oklahoma City) is the first time in their history that they have opend four stores at on time in the same market. That is a bold move considering that many other national retailers look at our density on paper and are skeptical of this market.

[HOT ROD]

i think discretionary income is what OKC should push regarding ANY opening or relocation. we all know that OKC has a rather high amount and is growing.

on the flip side, I think we should really start looking at trimming the fat from OKC city limits and defining urban boundaries; for city services AND for growth/retail expansion. Basically, keep the existing urbanized area but spit off the watershed and rural. By doing this, OKC has room to expand in the 'now' right directions but focuses on the existing urban area as far a services with the additional benefit of a quick 'boost' in the reported official density. I think doing this would make OKC overnight turn into a 1,200-1,500 resident per sq mile density for city (from ~900 currently).

I mean really, do we need all of that land in E OK county/Patowatomie, NE OK County, McClain, and NE Canadian? ?? Cut off 200 from those areas from the 608 sq and you get what I mean. ..

[Snowman]

Charlotte got IKEA with only 1.7 million MSA. It could happen within the next decade in OKC. I stand by that the city should de-annex its remote rural areas and that would go a long ways at helping OKC land coveted retailers. As it stands, retailers look at the horrid population density numbers for OKC and instead opt for Tulsa when OKC would really be the better choice if the numbers painted a true picture.

A lot of retailers look at the density within mile radius of the possible locations not average city density.

[adaniel]

A lot of retailers look at the density within mile radius of the possible locations not average city density.

This. Sometimes marketers will stretch it out to three mile radius but rarely more than that. They also look at the demographics and income of that area, not the entire city. It is here I think OKC looks bad. There is a lot of wealth here, more than people realize, but very little concentrated wealth.

The general strength of this area's economy is starting to make up for this, but it may be difficult to lure high-end retailers.

[Pete]

The standard evaluation tool for retailers is demographics (population, income, etc.) in a 1-, 3-, and 5-mile radius.

Some of the regional retailers like Ikea will look at an entire community or section of town but even so, they still like to be where the people and money are.

[bluedogok]

The standard evaluation tool for retailers is demographics (population, income, etc.) in a 1-, 3-, and 5-mile radius.

Some of the regional retailers like Ikea will look at an entire community or section of town but even so, they still like to be where the people and money are.

While overall metro/area demographics has bearing on whether Ikea will locate in a market or not, the "location" of an Ikea store has more to do with incentives than anything else. That is the reason the Austin store is in Round Rock, The Denver store is in Centennial and the Dallas store is in Frisco. All burbs far removed from the center of the city. The Houston location has been there a long time and I think it is some kind of franchise or licensing situation because in many ads in Texas there is always something to the effect that items and prices may be different in the Houston store. These "destination retailers" like Ikea, Bass Pro, Cabela's, etc. locate where they do because of incentives from governments and developers.

[HOT ROD]

Add to that, the 'Seattle' store is in Kent, WA (of all places....),

although some might argue that Kent is between Seattle and Tacoma - it is not very well connected to the two major cities (it is off a bit). Tukwila or SeaTac (off I-5) would have been a better location and argument for being between the two and connected.

[Spartan]

Ikea isn't coming guys.

[Oil Capital]

Add to that, the 'Seattle' store is in Kent, WA (of all places....),

although some might argue that Kent is between Seattle and Tacoma - it is not very well connected to the two major cities (it is off a bit). Tukwila or SeaTac (off I-5) would have been a better location and argument for being between the two and connected.

According to Ikea, their Seattle store is in Renton, not Kent.

Further on the subject of Ikea, there was an article in the Wall Street Journal earlier this week where Ikea said they plan to ramp up its presence in the US. The article says they are going to start opening at least twice as many stores per year (worldwide).

Their website says " We will initially focus on serving our existing markets, and then move into new markets that we believe are compatible with the unique IKEA concept. We have currently opened 14 new stores since November of 2004." I doubt OKC is at the top of their expansion list, but with that kind of growth planned, they could be in OKC by 2020.

[Mike_M]

My wife is from New York and she was totally obsessed with going to Dallas and buying out IKEA for our house. I had never been to one and was really intrigued when I looked at their website. When we finally went to IKEA, I just turned to her and said "sorry babe, OKC will never get an IKEA." Yes I know that their furniture looks really cool and futuristic, and they utilize space really well, but IKEA furniture just doesn't belong in a house. It honestly looks like Target-quality material. Yes the design is really cool, but it's built for an apartment.

Not to say that everyone is in the same financial position, but generally, people get an apartment as a temporary fix and eventually get a house within a year or two. With a moderate amount down, you basically end up with the same monthly payments as an apartment. Because of that, I just don't feel like IKEA would ever consider OKC. My friend moved to Denton, which is basically to TX what Norman is to OKC. He said that houses and apartments are way more expensive than anything in OKC, thus the need for IKEA. I do hope the container store comes here though. The Sears space looks big enough for it.

[catch22]

Haven't had one of these in a while....

...2013 looks to be a good year.

National retail chains look to land in Oklahoma City in 2013 | NewsOK.com

[betts]

Sounds like I'll still be waiting for Restoration Hardware. It's the only chain that interests me that I think we have a chance of snagging at this point in time. There's no store in the area that has furniture/accessories quite like them although I would be thrilled to shop local if we someone did open a store with comparable merchandise.

[Pete]

I have certainly spent a lot of money in Restoration Hardware -- more than I would like to count.

Trader Joe's is the only one mentioned that really excites me. It's a hard store to understand but once you get into it, it's fantastic. Different concept than Whole Foods but I shop in TJ's almost every week and hardly set foot in WF.


That article doesn't mention the Microsoft Store in Penn Square and I'm still quite certain there will be a large, permanent outlet for them.

[progressiveboy]

Looks promising for the Container Store coming to OKC:
A look back at retail in the Oklahoma City area in 2011 | NewsOK.com

Any updates on CS for OKC? Saw the article in today's DO about updates on new retailers in OKC. Trader Joe's is a fun place to shop. I believe it would do well for OKC. Crate and Barrel and Restoration Hardware are two of my favorites too! Homegoods is good I hear they are opening a store in Norman. Z Gallerie is another that "possibly" do well for OKC.

[bchris02]

I am excited about Von Maur, Trader Joe's, and possibly Reasor's if they open up a few locations in NW OKC. OKC really needs a quality regular grocery store chain and Reasor's could fill that niche very well. I shop mostly at Whole Foods being they are the only grocery store in town that carries what I like, but the stuff I buy there is the same stuff you could buy at any corner Harris Teeter for much cheaper when I lived in Charlotte.

Any updates on CS for OKC? Saw the article in today's DO about updates on new retailers in OKC. Trader Joe's is a fun place to shop. I believe it would do well for OKC. Crate and Barrel and Restoration Hardware are two of my favorites too! Homegoods is good I hear they are opening a store in Norman. Z Gallerie is another that "possibly" do well for OKC.

Z Gallerie I think would be perfect for Quail Springs Mall. Restoration Hardware would probably need to go near Penn Square but not in the mall itself.

[CuatrodeMayo]

Haven't had one of these in a while....

...2013 looks to be a good year.

National retail chains look to land in Oklahoma City in 2013 | NewsOK.com

After reading this article, I'd be willing to wager that Jennifer Palmer is a regular OKC Talk lurker...

[Spartan]

I'm not really seeing anything that suggests an actual upgrade in the retail scene. But good for Quail Springs..

[Plutonic Panda]

L.A. fitness seems like a good thing. OKC needs more than Golds Gym for fitness centers.