5243 Dorr St. & 1345 N. Reynolds Rd., Toledo, Ohio
Tim Hortons, a quick service restaurant (QSR) chain with a focus on coffee and donuts, had opened 10 stores in the Toledo market by 2008. Reichle | Klein completed an analysis of the few remaining market gaps and conducted a preliminary site search for potential expansion opportunities. The corner of Dorr Street and N. Reynolds Road was eventually identified by Reichle | Klein as a target intersection for Tim Hortons growth. With existing retail on all four corners, a realistic development site would be challenging to secure.
Through extensive research and analysis, Reichle | Klein determined that a new outlot could potentially be created between the existing Taco Bell and Blockbuster Video buildings. Over the next year and half, this site was presented to the corporate real estate manager with Tim Hortons for consideration. After many months of promotion, the real estate manager eventually toured the site and determined that the Blockbuster Video site was the only acceptable location for his company. Discussions then commenced with the underlying property owner to determine the status of the current tenant and the potential for removal of the existing building. Once it was determined that Blockbuster would be closing their store, negotiations began regarding a long-term ground lease and demolition of the existing building. Acceptable financial terms were eventually agreed upon; however, a number of new challenges arose. Reichle | Klein worked in tandem with the tenant and the owner to clear up issues regarding environmental condition of the soil (and the existing Blockbuster building) and provided assistance with the City of Toledo in fast tracking the building permits.
Tim Hortons was able to secure their eleventh location in the Toledo market while still maintaining their preferred spacing with other locations. Reichle | Klein presented a package that allowed the tenant to secure a location in an area they may not have considered in the past. The brokerage team was then able to navigate numerous hurdles to achieve terms and approvals acceptable to all parties.