Development : Development News

The economy may have soured some business plans. But for Scott Nash, things couldn't be better.

MOM's �My Organic Market, Nash's 23-year-old business, is planning a major expansion this year.

The Rockville-based grocer, which Nash describes as a cross between Whole Foods Market and Trader Joe's, plans to open two more stores by the end of the year. One will be in Greater Baltimore, and possibly the Timonium area where MOM's has signed a letter of intent for a new store. Nash declined to identify the location. The second store will likely be in Northern Virginia, he says.

Opening a new score costs MOM's anywhere between $500,000 to $1.5 million.

MOM's will be expanding its Columbia store from 8,000 to 10,000 square feet and its College Park store from 5,000 to 8,000 square feet in the next few months. Nash says the company is doing well in spite of the recession. One reason is that people are looking to save money by cooking meals at home. MOM's sells more produce, rather than prepared foods.

So in 2010, the company is going to take advantage of the good real estate deals and availability of labor.
 
"It's time to begin an aggressive expansion," Nash says.

The company just opened its sixth store in Bowie this month after seeing an untapped market. Having grown up in Prince George's County, Nash knows the area is often overlooked by the major chains, with no Trader Joe's or Whole Foods in the area. Bowie is also in between Annapolis and the Washington, D.C., beltway, making it a good location to draw customers from both areas, Nash says.

Located at the Hilltop Plaza shopping center, off Route 3, the Bowie store is also located at a busy intersection that gets a lot of traffic from the surrounding area, Nash says.


Source: Scott Nash, MOM's
Writer: Julekha Dash

"How come there are no Sonics here?" That's a common refrain you'll hear from folks who move from the Deep South to the Greater Baltimore region.

But two local entrepreneurs are making sure that Maryland is no longer deprived of the drive-in burger joint that enjoys a cult-like following of sorts.

Franchisees David Crocetti and Sean Martin will open at least nine Sonics over the next few years, including sites in Randallstown, Lansdowne, Ellicott City, Elkton, and Edgewater. They are also scouting locations in Columbia, Catonsville, and Westminster.

Its Randallstown location will open first, either in late spring or summer, Martin says. Next on the list will be Lansdowne, which will open in the fall, followed by Ellicott City.

Martin and Crocetti declined to say how much they are investing to open the new stores.  However, franchisees can expect to spend anywhere between $700,000 to $3 million per store, according to Sonic Corp.'s Web site. Each store requires about an acre's worth of property.

The partners are now busy hiring the roughly 100 workers who will staff the Randallstown store. They chose the spot on Liberty Road because it is right off the Baltimore beltway and should attract good drive-by traffic.
 
For folks who can't wait to eat Sonic's chili-cheese hot dogs, limeade chillers and tater tots, the business partners have a message: Be patient. It can take nine months to negotiate a lease and work through the zoning and permit process, Crocetti says. So getting the nine stores throughout the Greater Baltimore area won't happen overnight.

Sonic customers order their food at a drive-in window and get their food from a "carhop" � who might even wear roller skates. The Oklahoma-based chain has been expanding northward in recent years as company officials realized that folks in colder states will still eat Sonic burgers in their cars. 

Maryland is a good area to expand because of its high income level, population density and diversity, Martin says.


Source: Sean Martin and David Crocetti, Sonic
Writer: Julekha Dash

A fast-growing beauty school is betting its lipstick and mascara on Baltimore. Regency Beauty Institute of Minneapolis has opened a new campus at 8660 Pulaski Highway in Rosedale, with classes to begin in March.

And the company has plans to open more schools in the region, spokesman Paul Kriloff says. The company invests between $750,000 and $1 million in each school, whose sizes range from 6,000 to 7,000 square feet. Kriloff could not say yet where the other new locations will be located.

Regency opened 17 new campuses last year and is counting on similar growth this year. The 50-year-old company currently operates 60 campuses in 17 states.

In choosing a new location, Regency looks for an area where this is strong job demand and skilled faculty that can offer its classes on hair cutting, nail care and skin care. Baltimore offered both, Kriloff says.

"We have been impressed with the caliber of people who have expressed interest in joining our team," he says. The Baltimore school will employ about seven.

Regency chose the Pulaski Highway spot because it is easy for students to get to and is located in a busy neighborhood with a strong retail environment. The 6,400-square-foot Rosedale building is near Route 40 and the Golden Ring Mall Shopping Center.
 
The school offers 18 to 20 classes a year that cost between $16,000 and $18,000 per year. New full-time classes begin every four weeks while part-time classes begin every eight weeks.

H&R Retail LLC's Geoffrey Mackler brokered the real estate deal locally on behalf of Regency.

Regency will open new campuses this year in Arkansas, Indianapolis and in Manassas, Va.

Source: Paul Kriloff, Regency Beauty Institute
Writer: Julekha Dash

Baltimore's biggest credit union is expanding its presence in Harford and Howard Counties. The State Employees Credit Union (SECU) opened its 19th branch in Bel Air Feb. 8, its first Harford County location. And early next year, it will move one of its Columbia branch locations to a bigger spot, says SECU Vice President of Marketing Peggy Young.

Relocating its Columbia branch from Long Reach Village Center to 8630 Snowden River Parkway will give it a better location that is easier to get to and has better parking, Young says. The 4,500-square-foot space is also bigger than its current branch, which will allow it to better serve customers in that area.

SECU spent $1.9 million to purchase the Bel Air property at the busy intersection of Plum Tree Road and Route 24. SECU executives liked the fact that there are a number of businesses surrounding its new location, including Target, Barnes & Noble, Staples and Home Depot.

SECU has nearly 250,000 members and $2 billion in assets. It employs 530. With 35,000 members, Harford County accounts for 14 percent of its total membership.

"Harford seems like a natural choice, " Young says. "It's a growing area."

The credit union also liked the area's demographics. The median household income is $72,000, according to the U.S. Census. The location is also close to Interstate 95 and therefore accessible to commuters, Young says.

One feature of the new branch includes the use of "remote" tellers. These tellers work behind a wall and serve customers via a video monitor. That way, when one customer is filling out a deposit slip, the teller can help out another client, Young says.

Source: Peggy Young, SECU
Writer: Julekha Dash

Everyone dreams of owning their own winery. And Monica Beeman wants to make that dream a reality.

The entrepreneur is starting a custom wine-making business called Vines to Vino, and has set her sights on the long-vacant Mama Cellina property in Little Italy.

Beeman's concept is this: You select the kind of wine you want. Let's say, a Chilean Chardonnay. Vines to Vino gets the grapes from the South American country. You press them on site once the grapes come in. Then six months later, you take it out of the barrel and bottle it. Then you bottle it and create your own wine label.

The whole process takes about 6 to 12 months, depending on the varietal. Customers pay anywhere from $450 for an eighth of a barrel to $3,250 for a full barrel.  Beeman has tapped Chris Kent, a winemaker at Woodhall Vineyards and Wine Cellars, to help her blend the reds and whites.

Beeman got the idea after seeing similar concepts in New Jersey. She hopes Baltimore takes a big gulp out of the idea. A former director of marketing for the Center Club, Beeman is investing more than $200,000 in the new business.

Initially, she had hoped to open a store in Harbor East. But unable to find the right space, her broker at MacKenzie Commercial Real Estate Services LLC showed her a spot at 300 Albemarle Street that is undergoing a renovation by its owner Steve Himmelfarb. The Washington, D.C., developer paid $1.1 million to buy the property in 2005 from Orioles owner Peter Angelos. 

She decided on Little Italy because it was a good location after all as it is close to Harbor East, a swanky part of town whose residents would hopefully be receptive to a custom wine shop. It is also close to the Inner Harbor.

Beeman hopes to open the store in April.

Source: Monica Beeman, Vines to Vino
Writer: Julekha Dash

Most business owners wouldn't want to open their doors during a snowstorm. But James Butler was forced to do just that when a heavier-than-expected dose of the white stuff hit Baltimore Jan. 30  �  opening day for Butler's new business, Perfecto Coffeehouse.

The snow didn't deter residents from showing their support for the newest Pigtown business. Nearly 100 people showed up at 784 Washington Boulevard, Butler says.

The Ohio native who currently resides in Washington, D.C., has spent $20,000 of his own money to open the 1,000-square-foot shop. He saw the Pigtown neighborhood as a good opportunity to get in on a neighborhood early on. Pigtown still hasn't reached its full potential, unlike other neighborhoods, such as Harbor East or Mount Vernon, Butler says.

"PIgtown is still in the revitalization stage," Butler says. "I want to get in when it's good."

Butler saw encouraging signs that the neighborhood is taking off. A wine shop and Caribbean restaurant are set to open in the coming months on the same block and a gallery and hair salon opened their doors in recent months. (See related story).

Butler says he's wanted to open a coffee shop for five years but it never came to fruition until a friend told him about the space available in Pigtown. He hopes to soon call Baltimore home for himself and not just his business.

"I look at Baltimore as one of the few lasting gems on the East Coast," Butler says. "You can still get good residential and commercial property at a reasonable cost in nice areas.  We couldn't do what we do in Manhattan or Philadelphia because the cost would be prohibitive."

The caf� is open seven days a week and sells coffee from Baltimore's Zeke's Coffee. The shop also sells baked goods, paninis, salads and, on the weekends, waffles.

Writer: Julekha Dash
Source: James Butler, Perfecto Coffeehouse

A new chef and owner is saying "ciao" to Locust Point's Pazza Luna.

Milan native Davide Rossi and his wife Christa have taken over the neighborhood eatery at 1401 E. Clement St. from Riccardo Bosio. The owner of Mount Vernon's Sotto Sopra, Bosio owned the trattoria for more than three years.

Rossi says he plans to add a host of new Northern Italian menu items to the 65-seat restaurant, which he started running Feb. 2.

The Rossis come to Baltimore after six years running Ports of Italy in Boothbay Harbor, Maine. The couple have put that restaurant up for sale, though if it doesn't get a buyer, Rossi will hire a manager to run it during the busy summer months. 

The two decided to make the move in part because Christa is from Baltimore. Rossi also likes the people and culinary scene here.
"I love Baltimore," Rossi says. "There's great food, great people, great restaurants."

He was also impressed with the receptiveness of his Locust Point neighbors. When they heard that Pazza Luna was getting a new owner, they introduced themselves."That doesn't happen very often in big cities," Rossi says.

Rossi says he his not sure if he will renovate the restaurant's interior. But he is planning a big makeover of the menu. His signature dishes will include lobster ravioli with mascarpone; rack of lamb with a sambuca demi-glaze and beef tenderloin with a gorgonzola brandy truffle sauce. He will also feature fresh pasta and risotto.


Source: Davide Rossi, Pazza Luna
Writer: Julekha Dash

Leaders at the Johns Hopkins School of Medicine are seeking greener pastures.

School officials are pursuing a silver LEED certification from the U.S. Green Building Council for four medical research buildings. Its facilities management office and computer teaching lab, located at 2024 E. Monument St., have already received a Silver LEED certification for commercial interiors. The renovated building is the first office in all of Johns Hopkins' campuses to achieve LEED status. LEED stands for Leadership in Energy and Environmental Design.

"It shows the institution is serious about the environment and reducing our carbon footprint," says Jack Grinnalds, senior director of facilities management at the Johns Hopkins School of Medicine.
 
In its application to the U.S. Green Building Council, Hopkins officials had to show that the school has plenty of parking and is close to public transportation, Grinnalds says.

Is other green initiatives that helped it achieve LEED status include:
• Reducing water consumption by 40 percent;
• Relying on regionally manufactured materials for nearly one-third of the materials used in its renovation. That reduces the need to transport materials and saves on energy costs; and,
• Relying on sensors so lights are turned off when the offices are not in use.

"It's quite a thrill and an honor," says Grinnalds of receiving the Silver LEED certification. "We've been working on this stuff for years and its finally getting to the point where we can get some publicity on it."

The school will know later this month whether its four research buildings will receive LEED certification.

Writer: Julekha Dash
Source: Jack Grinnalds, Johns Hopkins School of Medicine

Baltimore's Pigtown neighborhood claim to fame may soon no longer be its annual festival that lets the porcine creatures run through the streets.

The area, also known as Washington Village, will be home to a Caribbean restaurant and a wine-and-cheese shop in the coming months. These businesses follow a flurry of others that are moving into the southwest Baltimore neighborhood.

In April, Michael Mekbib will open Spiritas, a wine and beer store that will hold monthly tastings  at 786 Washington Blvd. And Steel Drum Caf� will offer Caribbean fare and an upstairs lounge featuring Wii games next month. The owners of both businesses are Washington, D.C., natives who saw potential in Pigtown. 

With more young professionals moving into the area, Mekbib says he wanted to be part of the "new wave" of development that caters to them. He first heard about Pigtown from a cousin who owns a building in the neighborhood. "The place is changing," Mekbib says. "The middle class is moving in."

He will invest $40,000 to open the 1,400-square-foot property. He received a $15,000 grant from Pigtown Main Street to use on the building's facade.

Streel Drum CafeOwner Bernard Sanders says he will spend more than $200,000 to open his 3,000-square-foot restaurant at 771 Washington Blvd.  He says he was encouraged by all the businesses moving into the area.

Those businesses include Perfecto Coffeehouse, which opened last month on the same block. (See related story). Other businesses that opened in recent months include Velvet Rose Beauty Bar and Gallery 788.

Daryl Landy , executive director of Pigtown Main Street, says the once-dormant Washington Boulevard is starting to get attention as more people move in.  According to Live Baltimore Inc., 45 homes were sold in the area during the first half of 2009 and 119 were sold in 2008.

"It's virgin territory, untapped," Landy says of Pigtown. "People are starting to discover it."

Sources: Daryl Landy, Pigtown Main Street; Michael Mekbib, Spiritas; Berhard Sanders, Steel Drum Caf�
Writer: Julekha Dash

The Station North Arts and Entertainment District will welcome a $12 million artists' residence and gallery by the end of the year, furthering city officials' goal to make the area north of Mount Vernon a magnet for creative types.
 
A team of four developers and the Rouse Co. Foundation are leading the City Arts project, an 80,000-square-foot building with 69 rental units and eight townhomes that will go on sale.

The developers are currently looking for someone who can book performers and find artists to display their work on the walls, says Charlie Duff, president of Jubilee Baltimore Inc., one of the developers. The other developers are Homes for America Inc., TRF Development Partners-Baltimore and Baltimoreans United in Leadership Development. Southway Builders Inc. is the general contractor.

Duff envisions City Arts as a place that can help retain artists in Station Arts after they hit 25. The Station North area is chock full of "cheap grubby space" that appeals to the recent college graduate, but few spaces for folks in their late 20s, Duff says.
 
"Eventually, people want to settle down and go to bed earlier and they can't do it now in Station North," he adds. "We want this building to become part of the Station North scene as it evolves."

The neighborhood is home to long-time businesses Tapas Teatro and Everyman Theatre. In recent years, it has attracted new arts organizations, including Single Carrot Theatre and the Strand Theater Co.

The City Arts project at 440 E. Oliver Street was financed with the federal low-income housing tax credit. Rents will cost $625 for a one-bedroom apartment and $750 for a two-bedroom apartment.

Prices for the townhomes have not been set yet, Duff says.


Source: Charlie Duff, Jubilee Baltimore Inc.
Writer: Julekha Dash

A fast-growing pizza franchise is moving into Charles Village and plans to open 10 to 12 new stores this year.

Ledo Pizza System Inc. of Annapolis will open a 108-seat standalone restaurant next month at 3105 St. Paul Street near Johns Hopkins University and the Baltimore Museum of Art. That is according to the restaurant's General Manager and franchisee Burhan Ahmed.

He and his three partners invested $400,000 in the new restaurant. The bulk of that money is going toward equipment, design and construction. The restaurant will employ 40 and house two separate dining areas. Construction on the store began last month.

The pizza chain, which currently counts 90 locations, is eyeing Northern Virginia, Prince George's County and West Virginia  for the new stores it plans to open this year, Ledo's Vice President of Marketing Will Robinson says.

Though the average Ledo Pizza restaurant is between between 2,000 to 2,500 square feet, Ahmed plans to go bigger with the Charles Village eatery. He hopes the 3,500-square-foot restaurant can attract Johns Hopkins students and staff craving its square-shaped, thin-crust pizza, pasta and salads. Pizzas will cost between $6 and $25, depending on the size.

The Charles Village restaurant will also serve beer and wine as Ahmed has applied for a "Class B" liquor license, available to business owners that invest more than $200,000 into a new restaurant.  Store owners are also applying for a license to cater and serve customers outside during the warmer months.

Ahmed expects the restaurant to open between March 15 and March 25.


Sources: Will Robinson, Ledo PIzza;  Burhan Ahmed, Ledo Pizza
Writer: Julekha Dash

When Nicole Selhorst wanted to feed more hungry customers during the cold winter months last year, she didn't have the space to seat all of them at Red Canoe Bookstore Cafe.

But now she's got the space -- and new menu items and products -- to keep them longer at her Lauraville business. After a renovation, that is now in its final stages, Selhorst will seat twice as many patrons at the Lauraville business.

Selhorst added 20 more seats by merging the bookstore and cafe areas that had been in two adjacent rowhomes so seats are spread throughout the space. Patrons now also get more food options, with pizza and grilled sandwiches. Red Canoe now has a fireplace on the first floor to keep customers cozy inside during winter.

In an appeal to families, the bookstore and cafe now sells more childrens toys.  An expanded book selection includes more title that appeal to kids and young adults.

Selhorst has already been building up a fan base among families. In conjunction with Loyola University Maryland's radio station WLOY, Red Canoe hosts regular events that get children to read and write stories.
"We are able to really build up a community of families," Selhorst says. "I see us growing."

The bookstore is among a growing crop of small businesses that have sprouted in the Hamilton/Lauraville area. Selhorst praises the neighborhood's diversity and the fact that it has drawn a number of artists, authors and activists intent on making the area a better place to live.

"It's a wonderful, growing community," Selhorst says.

Source: Nicole Selhorst, Red Canoe Bookstore Cafe
Writer: Julekha Dash

The Y of Central Maryland will invest $500,000 to open a new facility in Parkville in June as part of a strategic plan to expand in Northern Baltimore County.

Located in the North Plaza Shopping Center, the facility will offer youth sports, swimming, water aerobics, martial arts, yoga, indoor cycling and exercise programs for children, seniors and adults. The new center will also offer community outreach programs for at-risk youth and raise money to aid those who cannot afford the Y's services.

Y officials decided to expand in Parkville after completing a strategic plan that identified Northern Baltimore County as an area that was underserved, says Sara Milstein, the Y of Central Maryland's chief marketing officer.

Last year, the organization opened a facility in Perry Hall. It also has a facility in Towson. The Y of Central Maryland operates pre-school and after-school programs and youth and adult sports in Northern Baltimore County. Having a cluster of family centers in one area makes it more convenient for people, Milstein says.
"Anytime we come into a neighborhood, the Y is the health and wellness anchor," Milstein says.

The nonprofit will be recruiting volunteers to mentor area youth. The Y of Central Maryland is one of seven Ys around the country that shared a $7 million federal grant to offer mentoring programs.
The Y of Central Maryland operates eight health and wellness centers in Baltimore City and Baltimore, Howard, Harford and Howard counties.

Writer: Julekha Dash
Source: Sara Milstein, Y of Central Maryland

Crystal Brown, a Baltimore native, always knew she wanted to own a boutique. Frequently in the neighborhood, Brown had noticed that there didn't seem to be anywhere for people to go if they just wanted to grab a soda or a quick snack. So, when the barbershop at 830 E. Baltimore Street closed its doors, she knew just what to do with the somewhat abbreviated space.

"I knew I wanted a boutique, but I never envisioned that it would be a candy boutique. I knew there where places where you could get a cheesesteak, but no where to get a snack or anything fun. When the barbershop moved out I said wow this space is very compact. I knew the places I took my kids to the candy store and when used to go the corner store for candy," she recalls.

Brown's first concept for Sugarush Candy Boutique was a bulk candy store, but state health restrictions convinced her that a less complicated approach with penny candies and other tried and true favorites was the way to go.

"Everybody loves candy. I was thinking about a business that would be recession proof and if you look at the numbers, candy and alcohol soar through the recession. Everyone is really excited, especially about the penny candy. They're like 'wow, its really a penny!'"

In addition to penny candies such as Fruities, Tootsie Rolls, Double Bubble and Albert's Chews, Brown says she tries to respond quickly to customer requests.

"Whether it be penny candy or something else, like I try to change up the kind of iced tea I carry, I'm trying to get a feel for what people like. [Customers] come in and ask if I carry a candy, if I don't I tell them I'll order it and I'll call them and they'll say 'I'm on the way!'"

The boutique also offers candy bouquets and baskets. Customers can order them custom made or purchase pre-made baskets and bouquets for holidays, baby showers, weddings and other occasions.

Candy, however, was not the focus of a fundraiser Brown organized last Saturday -- Haiti was. With the help of other local businesses, her high school alma mater, Carver, and others, Brown helped raise more than $1000 selling t-shirts, candy bouquets and other items that benefits the Maryland Red Cross and its efforts in Haiti.

"It was great, how much support we received. Everybody pitched in to make it a big success for Haiti. It was a little community event and people came down to support Haiti," she says.

Going forward, Brown hopes to add gourmet candies from small candymakers and also to expand her merchandise to suit customer requests.


Source: Crystal Brown, Sugarush Candy Boutique
Writer: Walaika Haskins

A new PNC branch location has opened its doors and vault for customer deposits in downtown Baltimore. Located at 426 W. Baltimore Street, the branch is another example of PNC Bank's commitment both to its communiities and to the environment.

The LEED-certified building includes window panes that three times more efficient than conventional glass and allow a generous amount of natural "daylighting" in all occupied areas of the building. In addition, the branch offices are equipped with motion sensing light switches, so that when the office is not occupied the lights are automatically turned off. The branch also sports solar shades for windows that block direct sunlight without
eliminating daylight.

Green from top to bottom, the building's roofing material is highly reflective and reduces heat retention; and is supported by trusses and plywood that come from managed forests, which plant multiple trees for each one cut down. Roof projections were designed to shade the building interior from direct sunlight.While the heating and air conditioning systems use 35% less energy. The state of the art plumbing facilitates educed water usage through dual-flush toilets and low-flow faucets.

Inside the new branch, nearly everything is made from recycled material�from the steel structure to the carpet. Pre-manufactured exterior panels reduced construction waste. The paints, adhesives and caulking used during construction do not contribute to greenhouse gases.

Under the lead of Curtis Pope, branch manager, the branch will aid the community as much as it does the environment. Pope, a Baltimore native who grew up in the Northeast section of the city and graduated from Mervo in 1997, says that he wants members of the surrounding community to feel like they can come to the bank for all their needs or just a bit of advise.

"I was born and raised here. There's something about having a branch in the area to kind of help the community rebuild. I love that piece of PNC bank. We can touch both realms of the community - low to moderate incomes and high incomes as well. We want to help change the community one person at a time. I hope that even if we can't do anything for them from a banking aspect because bottom line is you can't help every person, just being able to be that person who people can come in and talk to and put a smile on their faces or listen when they have life changing events and point them in the right direction," he says.

Source: Curtis Pope, PNC Bank
Writer: Walaika Haskins