Conroe's Former Kroger Revamp: $2.3M for 3 New Retail Spaces

Key Takeaway

• The former Kroger in Conroe's River Pointe Shopping Center is being divided into three spaces, with Planet Fitness and Dollar Tree already leasing two.
• Redevelopment, costing $2.3 million and completing this fall, reflects high demand for retail space post-pandemic.
• River Pointe is 80% leased, showcasing a trend towards repurposing large retail spaces amid a shift in market dynamics.

Revitalizing Retail: The Transformation of River Pointe

In the bustling city of Conroe, Texas, a significant transformation is underway at the River Pointe Shopping Center, where a former Kroger grocery store is being redeveloped into a vibrant retail space. Spearheaded by the Houston-based Randall family, this redevelopment project is a testament to the high demand for retail space in the area. By dividing the 58,500-square-foot building into three distinct retail spaces, the project is set to breathe new life into the shopping center, with Planet Fitness and Dollar Tree already on board as tenants for two of the spaces.

A Strategic Repurposing Amidst Retail Evolution

The decision to repurpose the former Kroger store, which closed its doors in 2018, reflects a broader trend in the retail sector. The pandemic initially dampened demand for traditional retail spaces as e-commerce surged. However, the landscape has since shifted, with Texas retailers now eagerly seeking premium space. This redevelopment, costing an estimated $2.3 million and expected to be completed this fall, not only fills a void left by Kroger's departure but also capitalizes on the renewed interest in brick-and-mortar retail locations. The Randall family's investment in the River Pointe Shopping Center, which they acquired in 2008, underscores their commitment to enhancing the retail offerings in Conroe.

Challenges and Opportunities in Retail Repurposing

Repurposing large retail spaces like the former Kroger store presents a unique set of challenges, from adjusting plumbing and air conditioning systems to ensuring the effective use of natural light and loading ramps. Despite these hurdles, the project at River Pointe Shopping Center is part of a larger trend of adaptive reuse in the Houston area. Similar initiatives, such as Wu Properties' purchase and planned repurposing of a former Sam’s Club into a multi-tenant building, highlight the potential for revitalizing underutilized spaces. These efforts not only address the demand for retail space but also contribute to the economic vibrancy of their respective communities.

A New Chapter for Conroe's Retail Landscape

The redevelopment of the River Pointe Shopping Center is emblematic of the resilience and adaptability of the retail sector, particularly in the face of challenges posed by the pandemic and the rise of e-commerce. By transforming a vacant space into a hub for new retail opportunities, the project reflects a broader trend of innovation and strategic repurposing within the industry. As the center reaches an 80 percent lease rate, with a diverse mix of tenants and adjacent pad sites featuring popular brands, it stands as a testament to the enduring appeal of physical retail spaces.