A DRUG STORE ON EVERY CORNER?
WILL HAWAII LOOK LIKE THE MAINLAND with a drug store on every corner soon? As a rule I am one of the first to welcome new stores. They boost the local economy and make life more convenient. There is, however, a spirit of the islands that seems lacking in the Walgreens announcement. It never made me happy to watch as drug stores replaced gas stations on two corners of every major intersection across the mainland. Now, space available, Walgreen plans to bring the same nonsense to our beautiful island.
WALGREEN TO OPEN IN HAWAII by the end of this year. According to a June 23,07 Chicago Tribune news release, the nation’s largest drugstore chain plans to open three stores in the first quarter of 2008 and plans as many as 10 stores in the next 18 to 24 months, said Walgreens spokesman Michael Polzin. A market analysis suggests Hawaii could handle as many as 40 Walgreens stores, Polzin said.
THE COMPANY HAS AVOIDED THE HAWAII MARKET until recently in large part because of the high cost of real estate and the expense of shipping merchandise to the islands. California’s Long Drug Stores currently dominates the Hawaii market.
HONOLULU ADVISOR REPORTED, “We think there’s a lot of room here,” said Robert Roscoe, Walgreens director of asset development. Hawai’i is the last of the biggest 100 U.S. markets with only one major drugstore chain, according to Roscoe, who said Longs has a 73 percent share of the business in the Islands.
“THAT’S WHY WE’RE COMING HERE.” Walgreens will try to open as many stores as possible next to an existing Longs. He noted that limited available commercial real estate in the Islands that meets Walgreens needs will influence where and how fast the company can open stores, which average 14,500 square feet.
IN FINANCIAL NEWS REPORTS Drugstore operator Walgreen Co. said the most recent fiscal third-quarter profit rose nearly 20 percent, pushed by a growing market share in its top products and an increase in prescription sales. Net income for the quarter ended May 31, 07 totaled $561.2 million, or 56 cents per share, compared with $469.2 million, or 46 cents per share in the year-ago quarter. Quarterly results include a $13.5 million credit for resolving a multi-year state tax matter. Results also include a ‘Last In, First Out’ credit of $3.5 million for lower inflation than expected in pharmacy inventories.
USE A LITTLE OF THAT MONEY FOR RESEARCH Walgreens and help your executives recognize that our islands could better use smaller drugstores spaced conveniently throughout the islands. Placing them next door to an existing drugstore might just be why you are having trouble locating the real estate you want. Please, learn to LIVE ALOHA so we can welcome you to Hawaii.
Joyce Murphy, Realtor Broker BIC
Hawaiian Isle Real Estate LLC
Luxury Real Estate Florida, Inc.
“In Real Estate, Experience Counts!”
808-443-4302 / 808-327-1155
More Kona Real Estate Information at:
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Filed under: Living in Kona, Real Estate Information
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