Tuesday, January 20, 2015

Chick-fil-A Plans to Pounce on Prime Perimeter Pad



Atlanta-based Chick-fil-A plans to open a new freestanding location in an outparcel of Perimeter Mall in Dunwoody.  
The new Chick-fil-A will replace the current Macy's / Goodyear car care center near the corner of Ashford Dunwoody Road and Hammond Drive. 

As planned, the new Chick-fil-A would be just under 5,000 square feet and have seating for 110 and onsite parking for 43 vehicles.  An agreement was reportedly reached with Macy's that will allow for usage of their large parking parking lot to fulfill the required 49 parking spaces at Chick-fil-A. 

Macy's has likely made the wise decision (as they own the pad on which the care center sits) that it makes better financial sense to sell the site rather than continue to operate a business not in line with their long term objectives.  The care care center and the Macy's store itself, were both originally Rich's operations and were converted to Macy's following the purchase of Macy's by Federated and the subsequent name change of Rich's stores to"Macy's".  

(Macy's continues to operate another former Rich's care care center at North DeKalb Mall but it is a far less desirable / visible location.)

The freestanding Chick-fil-A at Perimeter Mall has reportedly been in the works for over two years.  As it stands now, the plan is to have the restaurant open this fall.   

Chick-fil-A already has a location within the Perimeter Mall food court, as well as a freestanding location in an outparcel of Perimeter Pointe, about a mile away.  Local businessman Alex Rodriguez is the operator of both Perimeter area locations and is reportedly in line to become the owner / operator of the new location.  If Rodriguez does become the operator of a total of three Chick-fil-A restaurants, he would become the first in Georgia, and one of only a handful nationwide to do so.  

Chick-fil-A also operates another location a few miles away on Jett Ferry Road.  After being rebuffed in their attempts to build a new location on the site of a shuttered Blockbuster Video on Mt. Vernon Road, the chain eventually opened in a former Arby's nearby.  What Chick-fil-A then opened was one of the first locations of "Chick-fil-A Classics," a smaller format, smaller menu, concept store that sources say has not done as well as had been projected.   

Chick-fil-A's website currently lists upcoming openings through March 12th, 2015, when they will open in Birmingham.  

As I previously reported, Chick-fil-A is also opening a new location on Northside Drive near Georgia Tech.  

With over 200 locations across Georgia, who knew the chain could still find more smart sites for new units?  

The Perimeter Mall area and the greater Dunwoody & Sandy Springs markets are very popular within the commercial real estate world.  And why not?  Mercedes Benz recently announced they will move their North American headquarters to Sandy Springs. While this move is huge, let's not forget that State Farm is currently underway with their own big project in Dunwoody. With the first of multiple planned buildings slated for completion in late 2016, the overall project will add some 3,000 State Farm jobs and a planned 175-room hotel. The Perimeter area is not without existing corporate headquarters with Cox, AutoTrader.com, InterContinental Hotels Group (IHG), Krystal, Popeye's and Arby's already calling the area home.     

McDonald's built a new location at the corner of Ashford Dunwoody and Perimeter Center West in 2007 on the site of a former SouthTrust bank branch. A corporate location, the parcel cost McDonald's USA LLC $2.85 million to acquire, a "high water mark" for Atlanta, according to a company representative at the time. (I've thus far been unable to confirm a purchase price / lease cost for the new CFA site.) Wendy's opened a new modern location in an outparcel of Perimeter Pointe in 2012, a deal that was reportedly in the works for years.  Closest to the upcoming Chick-fil-A,  Starbucks opened a new freestanding location in late 2012 just off Ashford Dunwoody Road, at the cusp of 5 Ravinia.   

In addition to the existing development, a number of new projects are expected to either break ground or be completed in the coming months / years.  

A redevelopment of Sterling Pointe is already underway off Ashford Dunwoody Road and will include a Corner Bakery Cafe and a seven story, 132 room Hampton Inn hotel. Additionally, a four story, 124-room Residence Inn by Marriott is planned for Meadow Lane, behind the Spruill Arts Center, near Walmart. Although I had reported on both projects last year, more recently a concerned Dunwoody mother has created a facebook page in opposition the Residence Inn.  

Do you live or work nearby?  What are your thoughts on all the development in the area? What as yet unrepresented retailer or restaurant would you like to see open in the area?

Please share your thoughts below.  

12 comments:

Anonymous said...

I can't believe that it took this long for Macy's to get rid of that business!!! Does not fit into the better department store image that they want to be. Of course their new Sunday hours ,11-8(!), and extended Wednesday hour(now open to 10 pm), does not cultivate that image either. More and more like Kohl's and Target. In a few years they will probably be open 9am to 10 pm 7 days a week, Open on Thanksgiving, and half day on Christmas. Not really sure that a Chic Fil A is what is needed in the area. Traffic in that parking lot is already a zoo at times, so this won't help.
FYI, just got an email that the Genghis Grill up the road is closed. They said I could still go to the NEARBY Buford location! I've only been in there 3-4 times for free Birthday meals, but I liked that it was in the area. Something a little different than the norm. I hope something decent goes it that spot. Maybe a Goldberg's?

Anonymous said...

I wonder if this is the first step in closing the Chik-Fil-A food court location. I suspect most of their business is during lunch time and I can’t see why someone wanting Chik-Fil-A would bypass this location for the food court.

Anonymous said...

no, food court probably won't close. Store is for someone that wants Chik Fil A but doesn't want to go into the mall or up the road a mile to get it. Also convenient for MARTA riders. Eventually one of these locations will close. CFA is becoming oversaturated and something will have to give.

Carl said...

It's my understanding that CFA owns all locations, and they have designated people (who pay a flat fee) designated as operators. However, the person can be removed/replaced (i.e. if they do anything not in keeping with all those company values), as it's really more like a manager position.

Anonymous said...

The CFA inside Northlake pulled out maybe a year or so after the stand alone across Lavista opened.

Maybe Perimeter Mall has enough foot traffic to sustain both, but I'm not sure it's worth paying mall rent when there's a free standing unit out in the parking lot.

~mindspringyahoo

Anonymous said...

Actually one of the first CFA operators to have three locations was a lady in the Rockdale county area who had one in Covington, Conyers and a Kroger location. SHe has since climbed the corporate ladder at CFA! That was about 10 years or so ago...

Anonymous said...

I've heard rumors for a while that the CFA at Perimeter Pointe is either the highest grossing or one of the highest grossing locations nationwide. It's not surprising as it was seemingly busy at all hours and traffic for the drive thru would wrap out of the outparcel area.

Anonymous said...

It wouldn't surprise me if the food court and the new outparcel both do fine. Different audience - the food court serves people already shopping inside the mall.

I worked nearby for many years, and the density of office workers within a couple of miles is incredible. They all want somewhere close by to grab lunch quickly. The numbers have only grown exponentially since then.

Anonymous said...

Not sure if it was already mentioned but North Point has a food court Chick-fil-A and a free standing location right down the street.

TheJohnP said...

I want to say that the Macy's Greenbriar also had an auto center. Been awhile since I've driven that way so can't confirm if it's still in existence or not.

Anonymous said...

Why is that nutty lady so opposed to the Residence Inn? It's not like it's a Motel 6.

Anonymous said...

All I can say is that those who work in that area will soon realized the vital role that Goodyear played in that area. From the emergency flat repairs to oil change for almost give away price. . .I will miss those guys. Mr. Chase is a wonderful man although strange, but nice

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