Building up retail interest in Sault Ste. Marie.

National retail chains are setting their sights on Sault Ste. Marie.

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The city is experiencing a trickle-down effect in new retail with incoming national chains either building or considering commercial expansion along the north half of Great Northern Road.

The arrival three years ago of a 106,000-square-foot Wal-Mart near the Great Northern-Second Line intersection, followed by a 103,000-square-foot Home Depot in 2004 has broken new ground in interest from national big box chains.

On the Home Depot property, Mark's Work Wearhouse relocated from a mini-mall location on Pim and McNabb Streets to a larger 10,000-foot-space. It shares space with a 20,000-square-foot Future Shop which is scheduled to open sometimes this fall.

Nearby on the same property, construction is underway on a 17,000-square-foot building expected to hold five undisclosed tenants.

A much-rumoured Boston Pizza franchise is expected to be announced somewhere in the vicinity.

City planner Don McConnell says highway property north of the Great Northern-Second Line intersection is a big draw for commercial developers because of the high traffic counts and the advantage of large greenfield lots.

"With many of the national chains coming to town, that's the direction they're going."

Further north along Great Northern toward the F. J. Davey (Seniors) Home and Third Line Road, where the new hospital will be located, McConnell says there are a couple of large undeveloped blocks left that are "attracting a lot of attention" from the major chains.

Past Third Line, heading toward Highway 17 North, there is additional opportunity for more commercial development but McConnell says traffic counts fall off significantly.

Since the bigger urban markets have been built out, McConnell says retail chains are now focusing on smaller centres like the Sault.

In assessing their upcoming infrastructure needs, city engineers and public works staff are examining ways to deal with the anticipated higher traffic volumes.

But instead of widening Great Northern, they're considering extended Third Line across the city's north end to People's Road to alleviate traffic pressure in the area. That project already has environmental assessment approval.

"The game plan is to have that in place prior to the opening of the new hospital," says McConnell.

However, the City of Sault Ste. Marie hasn't approved Big box expansion at the expense of neglecting its downtown.

To maintain a vibrant downtown, McConnell says the city has not permitted significant professional office development--physicians, accountants, legal offices--outside of the core. "Sault Ste Marie has a very strong office market and that's by design."

To offset new highway retail, the municipality is working with the Downtown Association on a re-vitalization strategy to inject new life and investment in the core that hasn't seen any streetscape upgrades since the early 1980's.

A consultant's report is recommending about $1 million be set aside for a building restoration and storefront facade improvement programs over a three-year period.

By IAN ROSS

Northern Ontario Business