Tuesday, December 06, 2005

Anticipate your landlord's next move

Todd Watkins, owner of 21 Martinizing Dry Cleaning stores across Detroit, felt that the location of his most profitable store at 1219 South Main Street in Royal Oak was in jeopardy. In 1994, Holiday Market, an upscale grocer and the tenant of the strip mall where Watkins' dry cleaning business was located, experienced its first expansion. Martinizing was asked to move to the end of the shopping center. This worked out well for Martinizing because they were also growing and needed the bigger space. However, Watkins could foresee another expansion for Holiday Market as more and more professionals moved into the city of Royal Oak during its rebirth. Watkins wanted to stay where he was because the Holiday Market brought him customers but he did not want to be without a location the next time Holiday Market decided to expand.

In 1999, anticipating further expansion of Holiday Market, Todd Watkins purchased a building two blocks from his current location at 1015 South Main Street as an insurance policy in case Martinizing was asked to move again. They rented it to Auto One, an automotive detailing store, for five years. Before he signed the contract, however, Watkins made sure he would be able to stay in his current location for at least five years. As it turns out, Holiday Market was ready for its next round of expansion after five years. Watkins just moved to his new location. Read about his expereince in the Detroit News.


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