THE VIRGINIAN-PILOT
Copyright (c) 1994, Landmark Communications, Inc.
DATE: Thursday, December 1, 1994 TAG: 9412010505
SECTION: BUSINESS PAGE: D1 EDITION: FINAL
SOURCE: BY STEPHANIE STOUGHTON, STAFF WRITER
LENGTH: Medium: 52 lines
Target, a national discount retailer that competes with Wal-Mart and Kmart, has its sights set on Hampton Roads as it spreads through the Mid-Atlantic.
Officials say that the chain is planning to open one store in Chesapeake's Greenbrier section, a suburban area that has been exploding with new businesses. But that's not all. Target also is eyeing at least three other sites in this region.
``Certainly we'll be pleased if they come,'' said Robert B. Smithwick, director of Norfolk's Department of Development. ``We met with them in Minneapolis a while ago. They told us they're interested.''
Target, a 611-store chain owned by Minneapolis-based Dayton Hudson Corp., will be a part of a new shopping center in Greenbrier opening in 1996, Donald Z. Goldberg, Chesapeake's economic development director, has said.
The retailer now has stores in 32 states and has rapidly expanded over the past several years. By year's end, it hopes to have 60 new stores. Next year, the chain wants to open between 50 and 60.
Target is eyeing properties in Norfolk, Virginia Beach and one next to the Patrick Henry Mall in Newport News, a real estate source said. The retailer also has been scouting around the Richmond and Roanoke areas, the source said.
Target probably will locate near Wal-Mart stores. It likes to rub shoulders with competitors so it can take their customers, said Kenneth M. Gassman Jr., a retail analyst with the Richmond brokerage Davenport & Co.
``Target will compete head-to-head with Wal-Mart,'' Gassman said. ``And they're good. They have tight controls and the stores really look good.''
A Target spokeswoman would not confirm the chain's plans here.
``Certainly, we're interested in the area and Virginia,'' spokeswoman Carolyn Brookter said. ``But we're a long way from being there. At this point, we're not releasing anything.''
If Target comes, it will become the latest discount retail chain to move into the Hampton Roads market. Wal-Mart and Kmart are already here, and others are on the way.
Hills Stores Co. plans to open five stores in Hampton Roads by the end of next year, and Kmart wants to open more of its Super Kmart centers.
Target's stores are between 80,000 and 135,000 square feet and sell everything from patio furniture to pet supplies. Some of its stores here may be larger prototype stores. by CNB