Fayette is hurt by retail, office vacancies

Tue, 08/05/2008 - 3:33pm
By: John Thompson

Fayette is hurt by retail, office vacancies

Back in the 1980s, Fayette County was looked upon as shining beacon in the Atlanta region and New Jersey rocker Bruce Springsteen topped the charts with “Glory Days.”

But fast forward two decades, and some people are beginning to wonder if the county’s glory days can be seen only in the rear view mirror.

Empty buildings, almost negligible growth, a declining school population and a perception of increased crime have contributed to the uneasy feeling expressed by some that Fayette may be a county periously close to a long downhill slope.

Drive through Fayetteville and Peachtree City, and a number of empty buildings attest to the county’s retail past. In Peachtree City, City Councilman Don Haddix has taken the task personally and conducted a survey of the city’s major shopping centers.

“Overall, 19.1 percent of the storefronts are vacant. The biggest vacancies are in the 54 West area, where 34.86 percent of the stores are vacant,” he said.

Just across the county line in Coweta County, more than 1 million square feet of commercial space is slated to be built within the next year or so, which will further increase the vacancy problems in the city.

Haddix is working to repurpose some of the spaces for uses such as medical research, so more jobs will be available for residents.

“The model was that we were a bedroom community, but all the research is showing that people want to live closer to their jobs,” he said.

Some of the major names that have left the city environs over the past few years include Fuddrucker’s Hamburgers, Buckhead Brewing Company and a dramatic turnover of businesses in the Braelinn Shopping Center.

Still, Haddix said Braelinn had only the third highest vacancy rate, behind the Hwy. 54 development and the Kedron Shopping Center.

A drive through the county’s biggest shopping center, the Fayette Pavilion in Fayetteville, also reveals a similar trend.

Goody’s and Friedman’s Jewelers have closed, and just across the street, Linens-N-Things is shutting its doors.

While a number of the closings represents corporate decisions, a study released earlier this year by the Atlanta Regional Commission seems to indicate that Fayette County is overbuilt on the commercial front.

The ARC study pulls data from the International Council of Shopping Centers that shows 20 feet of retail space per person is the national average. In the 20-county Atlanta region, the average is 49 square feet per person.

In Fayette County, there was 6.8 million square feet of retail space in the second quarter of 2007, or an average of 65.4 square feet of retail space per person.

The vacancy rate is 5.5 percent, which is 19 percent higher than the 2000 rate of 4.6 percent. The study says that Fayette’s population has grown 15.5 percent during the same period, while the retail growth has increased by 17.3 percent.

Neighboring Coweta has 7.5 million square feet of commercial space, which amounts to 67.3 square feet of commercial rate for every resident. Coweta’s vacancy rate stands at 3.5 percent.

Fayette’s office space also has the 12th highest vacancy rate in the 20-county region. In the fourth quarter of 2007, the county had 2.9 million square feet of office space with a 15.9 percent vacancy rate, according to the ARC.

In addition to the county’s glut of commercial space, the county’s residential growth had ground to a halt.

This year’s tax digest came in at $5.3 billion dollars for real property, which is just over $158 million more than the 2007 tax digest, for a growth rate of 3 percent, but that figure includes $15 million in reassessments.

But since 2003, the tax digest has regularly grown an average of $300 million, and as Fayette County Development Authority Director Matt Forshee pointed out, the county is highly reliant on its residential tax base.

“For many years, Fayette County has been a special place with higher priced homes. But in this economy, that can work for you or against you,” he said.

In nearby Spalding County, the tax base grew by 2.5 percent and in Coweta County, the tax digest grew by 6.72 percent to $4.6 billion.

In Senoia, the city’s tax base grew by 14 percent, spurred on by aggressive development in the city’s downtown area.

Published reports also indicate that Clayton County’s tax base grew 5.9 percent from $8.1 billion to $8.5 billion, while Fulton’s jumped 15.8 percent to $63 billion.

With the decrease in growth came a decrease in students for the county’s award-winning school system. In 2007, the county saw its enrollment drop 259 students from 22,367 to 22,108 when school ended in May. Enrollment figures so far this year indicate 21,828, which is 280 fewer students.

In adjacent Coweta County, public information officer Dean Jackson says he expects a population of more than 23,000 students when school opens August 6. The increase is approximately 500 more students, which has been Coweta’s traditional growth rate over the last few years.

Coweta’s school system has had a Special Purpose Local Option Sales Tax for years that has helped build a number of new schools, along with an arts center.

Fayette voters have never passed a SPLOST for education, but will be faced with that option once again this fall. The money would be used for technology updates, along with refinancing existing debt.

One of the biggest factors leading to the county’s perceived decline is the crime rate. Recent headlines show numerous drug busts throughout the county, along with numerous minor crimes at the Fayette Pavilion.

This past weekend, the Fayetteville Police investigated seven incidents at the Pavilion, ranging from shoplifting to a drug offense.

In January, Fayetteville Police Chief Steve Heaton addressed the City Council about the concerns of crime at the shopping center.

The council members viewed data that showed Part I crimes (felonies) at the Pavilion in relation to overall crime in the city.

The Pavilion had 52.08 percent of citywide Part I crimes in 2003. In 2004, the percentage fell to 43.91 percent and increased to 47.57 percent in 2005. A significant decline in Pavilion crime occurred in 2006 when the percentage fell to 30.30. During 2007 the percentage fell again to 29.61.

“The numbers of criminal offenses at the Pavilion are low with the exception of larcenies,” Heaton said. “Larcenies are the predominate offenses at the Pavilion. This is not surprising considering it is the largest retail center in the area.”

But Fayetteville is not the only area where residents are worried about crime.

Late last month, Peachtree City’s Senior Adult Council petitioned the city to start up a local bus service in the city.

The bus service, called “The Trolley,” would have a route of nine stops. Among the proposed stops are four grocery stores, The Avenue shopping center, the Wal-Mart/Home Depot shopping center, The Gathering Place, the Wynnmeade subdivision and the city library.

Seniors said the service was needed because seniors don’t feel comfortable driving on the cart paths.

Still, optimism persists with some of the county’s movers and shakers.

Development Authority head Forshee said he’s noticed an uptick in the number of requests from international companies.

“That seems to be the way things are going. I’ve talked to a lot of people in this business who are getting more requests from the international community.”

login to post comments

Comment viewing options

Select your preferred way to display the comments and click "Save settings" to activate your changes.
Submitted by 30YearResident on Sun, 08/10/2008 - 9:08pm.

I've stopped going to the Pavilion for several reasons. First, I don't feel safe there. Second, the employees hired by most stores in the Pavilion are disinterested, uninformed, rude and have attitudes. It's a real poor quality of staff in most all of the stores.

Wal Mart turned into a security nightmare at the Pavilion with them having to lock everything up to limit shoplifting. I won't go into the place. Home Depot has deterioated the most. I feel like I'm in a foreign country when going in there. Junkie aisles, employees with no knowledge of the departments they work in; supervisors that could care less; etc. At least Lowes is clean and you can find stuff... everthing that is except someone to help you. Best Buy needs to turn down the blaring hip hop noise. It's running out more than it's bringing in.

I'd estimate 80%+ of the cars in the parking lot do not have Fayette tags, because most of us that live here have learned to stay away.

North Fayette is starting to look like Old National Highway, with all the empty retail space. Pretty soon, it'll be like Greenbriar, with more and more retail stores pulling out. What a shame, we built such a great county and now we're seeing it gradually destroyed.

suggarfoot's picture
Submitted by suggarfoot on Mon, 08/11/2008 - 3:18am.

I don't shop over there much any more either. Yes, years ago, I had the same experiences that others had, called, complained, and nobody listened, so I just went away. Companies have been made to keep bad employees while others can't find a job.

This is one thing that will always keep people leaving.

As time as gone on, a closer WalMart, HomeDepot, BestBuy came to my door.

Yes, I agree that in old times, there were companies going by the wayside, and others sprang up to take their place, sometimes in new locations. Population moves, and so does the type of industry, grain and farm equipment stores, replaced by computer stores.

The difference is people who still wanted to go to the grain stores were'nt mugged. The difference is, stores didn't have to keep ill tempered employees, or be sued.

I think Fayette county may be a victim more of what is socialy correct these days. The schools are not victomized by no SPLOST, they are victomized by what is socialy correct, and no tax in the world can fix that.

You guys should have voted in the last election if you wanted better schools and to keep your way of life.

Now, the wrong people are going to decide what is best for you.


Submitted by Hazel Nutt on Sat, 08/09/2008 - 6:59am.

I recently watched the documentary "Wal-Mart: The High Cost of Low Price". If you have a chance to see it, do. It is an eye opening account of how the retail chain affects businesses, communities and individuals when they are permitted to set up shop in a particular town. Many stores are given tax breaks by the cities to build forcing other "mom and pop" stores that have been in the town for decades to close. There is also more dammage that Wal-Mart can do. See the documentary if you can.
I have lived in Fayette for 30 years, and in that time I have seen it go from "home" to a town that does not seem familiar at all. It makes my stomach turn to drive through town and see buildings empty for months and years then see across the street new retail space being built. After the retail space is built, it sits there for months with little to no interest from potential merchants. Why can't we use the space that we already have? The answer: The Almighty Dollar. Taxes and monthly leasing amounts make it impossible for current or potential merchants to keep a business running for more than 6 months, much less at all.
Another frustration is the crime in the city. We used to leave doors open, windows open, and car doors open WITH the keys still in them. Now, you clutch your purse, look around you, and pray you make it in and out of the store without being robbed, raped or even killed. I refuse to let riff raff dictate how, when and where I shop. If I want to go to the Pavilion at night or in the day, I should be able to. We all should. Just thinking about it makes me angry. I have a message to those who accost other folks while they are out and about: More folks are carrying guns these days. Don't be surprised if you're bothering or robbing 80 year old Ms. Jones and she pulls out her 35 mm. to protect herself. That's the American right that we have.

Cyclist's picture
Submitted by Cyclist on Sat, 08/09/2008 - 7:29am.

What in the wild world of sports is Ms. Jones going to protect herself from - an airplane or armored vehicle? Smiling A 35mm is pretty hefty size round. Well over an inch in diameter.
-------------------------------------------
Caution - The Surgeon General has determined that constant blogging is an addiction that can cause a sedentary life style.


NUK_1's picture
Submitted by NUK_1 on Sat, 08/09/2008 - 7:26am.

Don't be surprised if you're bothering or robbing 80 year old Ms. Jones and she pulls out her 35 mm. to protect herself. That's the American right that we have.

Granny is going to pull out her camera and take a picture? There isn't a caliber of gun that is 35mmm that I've ever heard of; that is more commonly known as a camera film width Smiling I get your point though.


Submitted by Bonkers on Sat, 08/09/2008 - 7:18am.

Walmart does shut down some small poorly run inefficient stores.
It makes for cheaper products in the long run. They pay better than small retail stores also, with some benefits.

As to Fayette being different than 30 years ago, no doubt about that! There are about three times the people here now due mostly to the big city near-by! Just as the wild animals are running out of a place to live peacefully, so are we.

I don't know what it is about empty buildings that disturb people because I think we have always had them. 30 years ago we probably had about 1/3 the amount that we now do!
Taxes and lease costs do dictate whether or not a business can pay the bills. We have some bad business people nowadays!

Lack of jobs, education, and improvement in heritage have caused a bunch of purse snatchers and break-in artists.
I'm not sure if just carrying a 35 mm will solve that problem.
What is a 35 mm? I have a 7mm, and many have 9mms!
That sounds like a cannon!
Having rights is for everyone including the robbers, They feel they have none! They are of course wrong but don't know it.

cowtipn's picture
Submitted by cowtipn on Fri, 08/08/2008 - 2:45pm.

The trick for years in Fayette has been to open a new business, (namely a restaurant) get a lot of hype and tons of customers and then sell it three months later. It's a good strategy elsewhere but seems particularly prevalent in Fayette county.
What you should do is complete these steps, use the profits to offset the loss you'll take from selling your home and then leave the county.
The other trick is to get elected and use your power and influence to grant more building and re-zoning permits for profit.


2boysRmine's picture
Submitted by 2boysRmine on Tue, 08/05/2008 - 4:56pm.

There should be a way to stop the building of new retail/office space until the other spaces are filled. There is a new building going up everytime I turn the corner and at the same time, others are moving out of the spaces they currently occupy. It would be better if these businesses would choose to occupy existing space. What is the biggest factor that is preventing this from happening?


Submitted by BitterSweet on Wed, 08/06/2008 - 2:06pm.

I have tried to open a business in PTC. From taxes to PTC rules and regs, it's impossible to survive.

Submitted by Bonkers on Tue, 08/05/2008 - 7:40pm.

Well, you see, here is how that works?
It is called "competition" for good spaces! Where is it (location) and what does it cost and what does the lease say.

Developer #1 gives me three years at same cost, with an out; #2 gives me one year with an extension at a lease rate he will set!

#1 has a pool room and a nail saloon; #2 has a huge grocery store and a WalMart to attract customer!

If there is only a few left they will raise the rent! We need a lot of them---it is their money!

Now---Answer this: EVERY HOME IN THE WOODS FROM SPEER ROAD TO THE METHODIST CHURCH IS SUDDENLY FOR SALE!

Why you reckon? Suppose they are already promised to a developer at a darn good price? Nothing else is selling, is it? Do we have the makings of the huge quantity of jamboxes in there?

Oh, we are so dumb!

Submitted by BitterSweet on Wed, 08/06/2008 - 2:13pm.

Let's talk about WalMart! Who can compete with them?? Number 1 toy store, number 1 drug store, number 1 everything store! They move in, run every mom and pop out of business, then they move out to destroy another town.

mudcat's picture
Submitted by mudcat on Tue, 08/05/2008 - 7:05pm.

You want to force businesses into a space they don't want for your gratification? They can locate anywhere they want, babe.

Sure it would be "better" It would also be "better" if we all only had one kid instead of two. What say you?


cowtipn's picture
Submitted by cowtipn on Fri, 08/08/2008 - 2:47pm.

I like it. However, I recommend watching "Idiocracy". It's a dark comedy that would be funny if it weren't so depressing.


2boysRmine's picture
Submitted by 2boysRmine on Wed, 08/06/2008 - 6:55pm.

Better for the county and for those who live here. No one wants to live in a town where there is a ton of empty retail space. I don't know if anything can be done about it, but from the outside looking in, it seems very wasteful and irresponsible to continue building more retail space when there is so much available already. Building that new retail space causes problems like runnoff and flooding in addition to making other places look like ghost towns.

As far as us all having only one child, I don't know who that would be better for. Most only children miss out on alot and from my experience would be better off with siblings if possible. Just my opinion.


NUK_1's picture
Submitted by NUK_1 on Tue, 08/05/2008 - 6:00pm.

A. If another area is already zoned commercial and is deemed to be a "better location" for businesses, that's where they will go, not into existing empty space.
B. Leases/Contracts. If you have incompetent property management, tenants will move and go elsewhere where they can get better leases In some cases, they will even buy their own land and build their own buildings because it's a better deal than paying rent. Braelinn shopping center is a perfect example of this. Their lease rates and terms were atrocious and tenants moved elsewhere(Haynes Pets, Lizard Thicket, Valentinos) or built their own(Braelinn liquor store, Mucklow's) or went out of business.
C. New=better. Perception matters.
D. Change. What was once a desirable location may not be any longer due to other retail developments, traffic, neighborhoods, etc. Conversely, an area considered not so desirable may become so due to the same reasons.


Submitted by Spyglass on Tue, 08/05/2008 - 4:58pm.

If the property is already zoned commercial, there is not much that can be done to prevent a building permit from being issued.

Sooner or later, the owners of the stores will figure it out. Fayette is simply overbuilt for it's population. It has been for years.

Comment viewing options

Select your preferred way to display the comments and click "Save settings" to activate your changes.