Dallas-based 7-Eleven Inc. is ready to expand in Las Vegas, with 15-20 more stores in the next three years. Starbucks, meanwhile has closed 12 locations in the area, Las Vegas Review Journal reported.
The c-store chain already runs 160 convenience stores in Clark County, Las Vegas, but recently hired a commercial real estate firm to identify site locations and help with acquisitions.
“We’re looking at possible site locations all over,” said Grant Distel, 7-Eleven’s real estate manager for Las Vegas. “We’re focused mainly on the center of town where everything is more established.”
Rather than “ground-up” construction, the chain is interested in business conversions, taking existing retail stores and converting them to 7-Eleven franchises, he noted.
About 50% of the new stores will most likely be conversions. 7-Eleven will co-invest about $250,000 in remodeling stores and upgrading them. “We’re bullish on Las Vegas,” Distel told the Las Vegas Review Journal. “It’s been very good for us. We have a strong presence there. You have the additional tourist base and so add that into customer demand. There’s opportunity for more (stores).”
The chain is looking for stores on the end of strip centers, ranging from 2,500 to 3,000 square feet and is also pursuing nontraditional locations including casinos, airports and sports venues.
Jeff Mitchell, an agent with Vitrus Commercial in Las Vegas noted, “7-Eleven is in a unique position among retailers in the current market conditions because they are actively expanding. Bottom line is that if there is an opportunity, 7-Eleven will look at it. If it is a great opportunity, 7-Eleven opens a store.”
7-Eleven leases sites throughout Las Vegas Valley from about $1 a square foot on the east side to $2 and $2.50 a square foot in the southwest. “We’re a national A-credit tenant,” Distel said. “We’ll work with landlords on what their needs are.”