Spokane developer Dave Black confirmed Friday that national retailer Target Corp. will build a 135,000-square-foot building on the corner of Palouse Highway and South Regal Street.
The announcement came as no surprise to many South Hill residents. Concerns over the proposed store and its impact have produced months of discussion, leading to agreements by Black’s company to address safety, pedestrian access and building size.
Friday’s announcement explained for the first time that Target, based in Minneapolis, is buying 10.6 acres of the 15-acre commercial site for its new store.
Black said Target will pay roughly $4.4 million for its portion of the land. The company expects to spend about $6 million more on the building.
Black and a local investment group acquired the undeveloped commercial site a decade ago, when the property was still owned by a family who once farmed there.
Negotiations with Target over the land-sharing arrangement continued until this week, Black said.
The commercial development in the Southgate neighborhood will be called Regal Plaza.
Black’s property group will own the remaining 4.4 acres to develop four retail buildings in the same area. Black said a number of national tenants will take those buildings, but no leases have been signed.
Ted Teske, a member of the Southgate Neighborhood Council, said neighbors don’t believe the city kept the project within the guidelines of a district center – the urban plan that urges more pedestrian features, less sprawl and a design priority on small rather than large businesses.
“I’d say it scored a 2 or a 3 out of 10” on that scale, Teske said during a Friday groundbreaking at the site.
Teske said he thinks the Target project is a useful lesson in how to work with the city to adhere to the intentions of the Southgate district center. “We’ll apply the lesson here as we move on with the next two projects,” which involve two nearby land parcels totaling roughly 30 acres.
Those two other projected developments in Southgate are the KXLY property west of the Target land and the Little Maverick property north of Target.
The Target South Hill store will be a 27-foot-high, single-level store covering a large section of the back half of the 15-acre site.
“As a developer we wanted it more vertical, but Target prohibits multistory stores in a project like this,” Black said.
Black said transportation concerns will be addressed by adding a stoplight and crosswalk at the Regal-Palouse Highway intersection.
The four Black-owned pads and community areas in the development will be designed by Bernardo-Wills Architects, of Spokane. Those features include a community plaza, an art fountain, benches, pavers and outdoor seating. Those features are part of efforts to make the project more focused on pedestrian use and community interaction.
MulvannyG2 Architecture, of Portland, is Target’s architect for its building.
Target plans to begin construction in October, expecting to open the new store in July 2014.
Black said he’s had five offers by national retail companies ready to move into the new development. None of the five currently has a Spokane location, he said.
“When a Target picks a location, that helps other companies decide to look at becoming part of the development,” Black said. “They tend to feel a little better about considering an area if Target has selected it as a location.”