What’s happening with the old Texas Corral/Red Lobster site on Pipestone Road, near the Benton Harbor Aldi store?
Several MOTM readers have noticed recent clean up, repair and maintenance activity going on at the former restaurant property. Does that mean one of those ‘dreamed about’ national restaurant chains is ready to open a new Southwest Michigan eatery?
Unfortunately, No! There is no deal in the works. The observed activity is NOT for a new buyer or specific potential buyer.
That word comes from the real estate developer who controls the site, Jim Paul of JPA Real Estate. Paul is the investor who spent several years successfully re-developing Fairplain Plaza and most recently spearheaded the re-birth of an old commercial strip center along M-139 as the new location of JoAnn Fabrics and Ollie’s Bargain Outlet. Jim Paul specializes in resurrecting challenging commercial properties.
Paul explained to MoodyOnTheMarket.com that ‘fix up’ work underway at the old Texas Corral site is targeted at helping the property ‘present more positively’ to restaurant chains or others who might consider the site, with its good traffic count and several attractive neighboring businesses. Workers have been mowing the lawn, trimming trees and shrubs, and clearing out some interior items that were exclusively installed for Texas Corral.
“It’s probably not going to be another steak place,” Paul told us. “So, wood floor and knotty pine don’t really help a new tenant imagine how their concept would look inside. We want them to be able to easily see the size and potential of the building.”
Paul said that while he’s not close to a deal at the moment, he’s “cautiously optimistic” the building will attract a solid new tenant, either a national or regional chain. He said he’s had serious discussions in the past few months with “a multi-location regional operator” that would be perfect. However, the challenges of staffing and the current high cost of borrowing money caused the deal to “cool off.”
Paul believes the property is actually in a great location, despite its proximity to the nearly dead Orchards Mall. He said the Mall has no significant negative effect on a restaurant nearby and pointed out a big advantage among restaurant development sites: There are TEN hotels within about a mile of the site… and only ONE nationally branded sit-down restaurant (Applebee’s) in the same radius. Paul said he would challenge any developer to match that opportunity anywhere in the Midwest region.
So… you won’t be going to dinner there in the near future. But if Jim Paul has his way, he’ll help someone write a new chapter at the site, just as he’s done at several other locations in Southwest Michigan.
