HEB announces Plano and Frisco stores (Dallas, Tyler: construction, groceries, shop)

[citidata18]

Originally Posted by turf3

Yeah, but you'll have to go to Plano or Frisco. Nope.

I'd much rather go to Plano / Frisco than way out to Waxahachie, which might as well be halfway to Austin.

[jgn2013]

Originally Posted by citidata18

As is always the case with these types of developments, you can't please everyone...

'That's a slap in the face': South Dallas remains home to food deserts as H-E-B expands into Plano, Frisco

I mean, they could easily expand to DeSoto, Duncanville, Cedar Hill, Oak Cliff, South Dallas etc., and be the clear head & shoulders "top dog". I'd bet that the land is cheaper in the southern part of DFW and would be closer to any distribution centers they currently have. Less competition and better logistics (I think).

Basically, they bypassed an easier win just to serve Plano and Frisco...for whatever reason. I suspect they aren't quite ready to deal with the 800-lb Gorilla that is Dallas proper but Plano/Frisco could have waited....it's not like they need MORE shopping options up there.

[citidata18]

Originally Posted by jgn2013

I mean, they could easily expand to DeSoto, Duncanville, Cedar Hill, Oak Cliff, South Dallas etc., and be the clear head & shoulders "top dog". I'd bet that the land is cheaper in the southern part of DFW and would be closer to any distribution centers they currently have. Less competition and better logistics (I think).

Basically, they bypassed an easier win just to serve Plano and Frisco...for whatever reason. I suspect they aren't quite ready to deal with the 800-lb Gorilla that is Dallas proper but Plano/Frisco could have waited....it's not like they need MORE shopping options up there.

Was it an easier win though?

I think their strategy with this expansion is first establishing locations where they can operate *AND* make healthy profits (as we know, West Plano and Frisco residents have a ton of money) to help cover the cost of building/operating other locations in DFW.

And if you say "Well the Park Cities and surrounding areas have plenty of money too!" That may be true, but it's a different type of money. They're a more old money "let's dine out tonight!" type of clientale, whereas Plano and Frisco are populated with a lot of relatively young families who have multiple kids, which means many more trips to the grocery store for bulk purchases.

[jiping]

Originally Posted by jgn2013

I mean, they could easily expand to DeSoto, Duncanville, Cedar Hill, Oak Cliff, South Dallas etc., and be the clear head & shoulders "top dog". I'd bet that the land is cheaper in the southern part of DFW and would be closer to any distribution centers they currently have. Less competition and better logistics (I think).

Basically, they bypassed an easier win just to serve Plano and Frisco...for whatever reason. I suspect they aren't quite ready to deal with the 800-lb Gorilla that is Dallas proper but Plano/Frisco could have waited....it's not like they need MORE shopping options up there.

They may have bypassed an easy fail.

Just look at the demolition of Valley View Mall in Dallas. It has been delayed for about 10 years and the city doesn't give a sh1t.

[LocalPlanner]

Originally Posted by jgn2013

I mean, they could easily expand to DeSoto, Duncanville, Cedar Hill, Oak Cliff, South Dallas etc., and be the clear head & shoulders "top dog". I'd bet that the land is cheaper in the southern part of DFW and would be closer to any distribution centers they currently have. Less competition and better logistics (I think).

Basically, they bypassed an easier win just to serve Plano and Frisco...for whatever reason. I suspect they aren't quite ready to deal with the 800-lb Gorilla that is Dallas proper but Plano/Frisco could have waited....it's not like they need MORE shopping options up there.

Just made a comment in the other thread...I think HEB wants to establish its brand with DFW lifers or relocatees of a certain income level who aren't familiar with it. And sites to do that are less expensive in Plano / Frisco than in the nicer parts of urban Dallas.

You just wouldn't get the same brand boost from having a store in the southern Dallas burbs. Though, I have to think Mansfield is ripe for potential HEB expansion for sure. Possibly DeSoto / Cedar Hill at some point. But HEB wants to have its victory in the north burbs first for the brand.

[KathrynAragon]

I just have a hunch that HEB has done the appropriate research.

[citidata18]

FWIW, it seems the vast majority of sites H-E-B currently owns are in Collin, Denton and Tarrant Counties.

There's one in Ellis County (Midlothian), One in Johnson County (Mansfield), and 4 in Dallas County.

Of the Dallas County sites, most of them are south of I-30:

*1 is in far east Dallas

*1 is in Oak Cliff / Bishop Arts

*1 is in Uptown (separate from the proppsed Central Market site)

*1 is in DeSoto.

There doesn't seem to be much love for the eastern suburbs, Arlington and Northern / Western Dallas County at this time.

[KathrynAragon]

I wonder how far east they will encroach on Brookshire's territory? Brookshire's headquarters is in Tyler.

[LocalPlanner]

Originally Posted by KathrynAragon

I wonder how far east they will encroach on Brookshire's territory? Brookshire's headquarters is in Tyler.

They haven't shown reticence from competing with Brookshire's that I can see. There's both a Brookshire Brothers and a modern HEB in Brenham.

[citidata18]

Originally Posted by LocalPlanner

They haven't shown reticence from competing with Brookshire's that I can see. There's both a Brookshire Brothers and a modern HEB in Brenham.

Just FYI, Brookshire Brothers and Brookshires are two separate stores. The former is based in Lufkin and the latter is based in Tyler.

They do have an interesting connection though. The two guys who founded Brookshrie Brothers are actually a part of family who owns Brookshires. They "withdrew" from the family business and started their own independent supermarket.

In any event, I went on a tangent. I think KathrynAragon was referring to the Tyler-based store.