First Johnson's, now Sullivan's! Who is the landlord behind this?

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:I always feel really bad when an old restaurant or store closes, but then I realize that I haven't been there in years. I like the idea of them being around more than I do actually patronizing them.

This right here.

Lots of us patronized them though. With marketing, they could have amped out further. The issue no doubt is the rent. Rumor is that AU was charging 40 grand a month for the Surfside space. Imagine Sullivan's space is steep too. OKAY, but not it will probably sit empty and AU will write it off. Wish they could lower the rent and enable a SMALL BUSINESS to remain in the neighborhood.

Every parent that needed to buy a last minute birthday present for a party they forgot about on Sunday shopped there. There is a market for this product. Now the only store that offers this product (toy + gift wrapping) is Childs Play. The lame option is Target + gift bag but an self respecting parent would never do that.

Anglo Dutch Pool and Toys off River in Bethesda.

[Anonymous]

Anonymous wrote:Sorry to learn the news about Sullivan’s. As with Johnson’s, I only went there a few times a year, but I was a consistent customer even though I was not a frequent one. I’ll miss them. I’ll also use this as a nudge to support Proper Topper in their newest location.

Second Proper Topper! Fantastic gift shop.

If we want independent stores in this area, make an effort to spend at those stores. Communicate with the owners (likely local residents also) about services that would encourage your patronage. Make it a value that you don't compromise.

Spend your money at:

Sullivan's NOT Target or Amazon and not Michael's.
Rodman's, Wagshalls and YES! Organic NOT Amazon/Whole Foods or Target.
Apex Optical not Warby Parker
Bourbon Coffee not Starbucks.
ACE Hardware not Amazon.
PetMac not Petco
Bandit Taco not Chipotle.

PLEASE ADD MORE TO THIS LIST.

Contact Tenley Main Street and express your hopes and dreams for this neighborhood.

ALL the stores in the underground and above ground Maza gallerie have closed (except TJMaxx and the hair salon). Across the street at the Paviillion, only Cheesecake Factory remains open. Nordstrom Rack closed.
We will become a shopping desert if we don't spend our $$$ locally.

[Anonymous]

Anonymous wrote:

Anonymous wrote:Sorry to learn the news about Sullivan’s. As with Johnson’s, I only went there a few times a year, but I was a consistent customer even though I was not a frequent one. I’ll miss them. I’ll also use this as a nudge to support Proper Topper in their newest location.

Second Proper Topper! Fantastic gift shop.

If we want independent stores in this area, make an effort to spend at those stores. Communicate with the owners (likely local residents also) about services that would encourage your patronage. Make it a value that you don't compromise.

Spend your money at:

Sullivan's NOT Target or Amazon and not Michael's.
Rodman's, Wagshalls and YES! Organic NOT Amazon/Whole Foods or Target.
Apex Optical not Warby Parker
Bourbon Coffee not Starbucks.
ACE Hardware not Amazon.
PetMac not Petco
Bandit Taco not Chipotle.

PLEASE ADD MORE TO THIS LIST.

Contact Tenley Main Street and express your hopes and dreams for this neighborhood.

ALL the stores in the underground and above ground Maza gallerie have closed (except TJMaxx and the hair salon). Across the street at the Paviillion, only Cheesecake Factory remains open. Nordstrom Rack closed.
We will become a shopping desert if we don't spend our $$$ locally.

I agree with add to this list, but there is an outrageous rent problem as well. The landlords make money when tenants pay outrageous rent. They also make money in tax write off when properties sit empty. We need to talk to the ANC on why there is not a time limit to how long they are able to 'write off' these massive sums at taxpayer expense when clearly there are people who wish to rent, albeit at a more reasonable monthly fee.

[Anonymous]

Anonymous wrote:

Anonymous wrote:Sorry to learn the news about Sullivan’s. As with Johnson’s, I only went there a few times a year, but I was a consistent customer even though I was not a frequent one. I’ll miss them. I’ll also use this as a nudge to support Proper Topper in their newest location.

Second Proper Topper! Fantastic gift shop.

If we want independent stores in this area, make an effort to spend at those stores. Communicate with the owners (likely local residents also) about services that would encourage your patronage. Make it a value that you don't compromise.

Spend your money at:

Sullivan's NOT Target or Amazon and not Michael's.
Rodman's, Wagshalls and YES! Organic NOT Amazon/Whole Foods or Target.
Apex Optical not Warby Parker
Bourbon Coffee not Starbucks.
ACE Hardware not Amazon.
PetMac not Petco
Bandit Taco not Chipotle.

PLEASE ADD MORE TO THIS LIST.

Contact Tenley Main Street and express your hopes and dreams for this neighborhood.

ALL the stores in the underground and above ground Maza gallerie have closed (except TJMaxx and the hair salon). Across the street at the Paviillion, only Cheesecake Factory remains open. Nordstrom Rack closed.
We will become a shopping desert if we don't spend our $$$ locally.


I was so sad to see the world market was gone. I loved that place!
Adding to the list:
Yosaku sushi, Seoul spice, coffee nature, crisp and juicy chicken, that barbershop near chipotle.

[Anonymous]

Anonymous wrote:

Anonymous wrote:Not enough kids in upper NW DC to support a toy store. They can't even fill their schools there. That's why they need to have such a high number of out of bounds students at Wilson and Deal and Janney etc.

Janney is overcrowded and only in bounds students. People scramble to own a house in Janney's boundaries. Deal also overcrowded.

And yet, with ALL of the elentary schools bursting at the seams with inboundary kids, Sullivan's couldn't remain viable. That is some serious business acumen.

/s

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:This is from 2018, posted on local listservs and social media from American University as it related to Johnsons



AU Statement on the closure of Johnson’s Florist and Garden Centers’ Washington, DC location


American University wants to correct and clarify statements that have been made in connection with the tenancy of Johnson’s Florist and Garden Centers at the University-owned property at 4200 Wisconsin Avenue, NW. We also are sharing a timeline and some basic facts that led to Johnson’s recent decision to close its Tenleytown location at the end of its lease in January 2018. We have decided to share this information now to accurately detail the University’s actions in this matter.

•Johnson’s has been a tenant of AU since the University purchased the property located at 4200 Wisconsin Avenue, NW in 2000. It occupied 16,256 rentable square feet of Indoor Retail Space on the ground level in the building and 27,108 square feet of Outdoor Space.

•In 2014, when Johnson’s and AU attempted to negotiate a ten-year lease for a term to start in January 2015, Johnson’s first expressed concerns about the viability of its Tenley location.

•As a result of Johnson’s desire to limit its financial exposure and to postpone its decision whether to stay in Tenleytown for the long term, Johnson’s requested, and the University granted, a short term (three-year) extension, which is unusual in commercial leasing, so that Johnson’s would have the opportunity to better evaluate the viability of the location. Johnson’s asked for the extension specifically to (a) seek DC Government approval to use property adjacent to the Outdoor Space for commercial purposes; (b) consider the restructure of its business operations at 4200; and (c) explore the relocation of its business at 4200 Wisconsin to another site in the Tenley neighborhood.

•During this three-year period, the University not only worked with Johnson’s owners to create a sustainable business model for the unique space it occupied at 4200 Wisconsin, but the University paid from its own funds half the cost of consultants retained by Johnson’s to evaluate the long-term viability of their Tenleytown operations.

•In the fall of 2016, anticipating the expiration of the short-term extension, the University and Johnson’s agreed to begin negotiations on a long-term (ten-year) lease. In February of 2017, both parties signed a Letter of Intent (LOI). The University then sent a lease reflecting those LOI terms to Johnson’s for its signature.

•As mutually agreed, the LOI reflected below-market rent and the full amount of real property taxes for the Outdoor Space which the parties had agreed was appropriate since Johnson’s would continue to have exclusive use of the space for the greenhouse and customer parking.

•In the summer of 2017, Johnson’s requested significant material changes to the LOI terms including additional financial concessions and changes to operating agreements that would affect other building tenants (exclusive use of a loading dock) or that were not within the University’s power to grant (allowing parking in the fire access lane). In sum, Johnson’s wanted about $2,000,000 more in financial concessions over the term of the lease beyond what they had agreed to in the signed LOI, as well as operational changes the University could not provide.

•The additional demands could not be met by the University. The University renewed its offer to abide by the terms that the parties had set forth in their signed LOI, but Johnson’s declined.

•In August of 2017, Johnsons notified the University that they would be moving out at the end of the current lease (January 31, 2018). Johnson’s waited until January 3, 2018 to publically announce that they would close their Washington, DC location on or before January 14, 2018.
The University took significant and reasonable steps to try to accommodate Johnson’s Florist and Garden Centers. It spent its own time and money to try to work with Johnson’s on a financial arrangement that would work mutually. While acknowledging that Johnson’s has been a valued tenant and the neighboring community benefits from Johnson’s services, our fiduciary responsibility to be good stewards of limited University resources dictated that we could not agree to an arrangement with terms substantially below market value for the location.

We hope that this information is helpful in providing additional perspective for the surrounding community on the good faith discussions that took place regarding Johnson’s tenancy.




----


So just maybe, AU wasn't the bad guy then, and isn't the bad guy now?

There is a crazy amount of available retail along Wisconsin Avenue and AU has some already including under used classroom space - it really makes no sense that AU would have raised their rent or otherwise run them off. Maybe they are closing for the reason that there is a lot of available retail elsewhere which is that store front retailers are struggling everywhere to compete with Amazon.

As a partner and presence in the community, AU needs to stop treating their neighborhood real estate as just another portfolio asset where the sole investment driver is always the highest return. A reasonable return is important, yes, but as a nonprofit AU also needs to consider the needs of the community in which it is situated (including its students and faculty who are business patrons) and not take decisions that effectively drive out smaller, independent, neighborhood-serving businesses.

And unless you work in AU's real estate management division you have absolutely no idea if what you are alleging happened or if AU's rent was even a factor in the store closing.

Not the PP and yeah, no idea and don't care. I do know that two precious independent businesses have exited AU properties. The buck stops with AU. They need to try harder.

So...AU is supposed so subsidize businesses that aren't viable or don't want to maintain their business?

Johnson's WANTED to exit their DC store. How is that AU's fault?

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:I always feel really bad when an old restaurant or store closes, but then I realize that I haven't been there in years. I like the idea of them being around more than I do actually patronizing them.

This right here.

Lots of us patronized them though. With marketing, they could have amped out further. The issue no doubt is the rent. Rumor is that AU was charging 40 grand a month for the Surfside space. Imagine Sullivan's space is steep too. OKAY, but not it will probably sit empty and AU will write it off. Wish they could lower the rent and enable a SMALL BUSINESS to remain in the neighborhood.

Every parent that needed to buy a last minute birthday present for a party they forgot about on Sunday shopped there. There is a market for this product. Now the only store that offers this product (toy + gift wrapping) is Childs Play. The lame option is Target + gift bag but an self respecting parent would never do that.

Anglo Dutch Pool and Toys off River in Bethesda.

Child's Play on Connetitcut Ave in Chevy Chase DC, about 8 minutes from Sullivans by bike or car, 20 mins by foot.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:This is from 2018, posted on local listservs and social media from American University as it related to Johnsons



AU Statement on the closure of Johnson’s Florist and Garden Centers’ Washington, DC location


American University wants to correct and clarify statements that have been made in connection with the tenancy of Johnson’s Florist and Garden Centers at the University-owned property at 4200 Wisconsin Avenue, NW. We also are sharing a timeline and some basic facts that led to Johnson’s recent decision to close its Tenleytown location at the end of its lease in January 2018. We have decided to share this information now to accurately detail the University’s actions in this matter.

•Johnson’s has been a tenant of AU since the University purchased the property located at 4200 Wisconsin Avenue, NW in 2000. It occupied 16,256 rentable square feet of Indoor Retail Space on the ground level in the building and 27,108 square feet of Outdoor Space.

•In 2014, when Johnson’s and AU attempted to negotiate a ten-year lease for a term to start in January 2015, Johnson’s first expressed concerns about the viability of its Tenley location.

•As a result of Johnson’s desire to limit its financial exposure and to postpone its decision whether to stay in Tenleytown for the long term, Johnson’s requested, and the University granted, a short term (three-year) extension, which is unusual in commercial leasing, so that Johnson’s would have the opportunity to better evaluate the viability of the location. Johnson’s asked for the extension specifically to (a) seek DC Government approval to use property adjacent to the Outdoor Space for commercial purposes; (b) consider the restructure of its business operations at 4200; and (c) explore the relocation of its business at 4200 Wisconsin to another site in the Tenley neighborhood.

•During this three-year period, the University not only worked with Johnson’s owners to create a sustainable business model for the unique space it occupied at 4200 Wisconsin, but the University paid from its own funds half the cost of consultants retained by Johnson’s to evaluate the long-term viability of their Tenleytown operations.

•In the fall of 2016, anticipating the expiration of the short-term extension, the University and Johnson’s agreed to begin negotiations on a long-term (ten-year) lease. In February of 2017, both parties signed a Letter of Intent (LOI). The University then sent a lease reflecting those LOI terms to Johnson’s for its signature.

•As mutually agreed, the LOI reflected below-market rent and the full amount of real property taxes for the Outdoor Space which the parties had agreed was appropriate since Johnson’s would continue to have exclusive use of the space for the greenhouse and customer parking.

•In the summer of 2017, Johnson’s requested significant material changes to the LOI terms including additional financial concessions and changes to operating agreements that would affect other building tenants (exclusive use of a loading dock) or that were not within the University’s power to grant (allowing parking in the fire access lane). In sum, Johnson’s wanted about $2,000,000 more in financial concessions over the term of the lease beyond what they had agreed to in the signed LOI, as well as operational changes the University could not provide.

•The additional demands could not be met by the University. The University renewed its offer to abide by the terms that the parties had set forth in their signed LOI, but Johnson’s declined.

•In August of 2017, Johnsons notified the University that they would be moving out at the end of the current lease (January 31, 2018). Johnson’s waited until January 3, 2018 to publically announce that they would close their Washington, DC location on or before January 14, 2018.
The University took significant and reasonable steps to try to accommodate Johnson’s Florist and Garden Centers. It spent its own time and money to try to work with Johnson’s on a financial arrangement that would work mutually. While acknowledging that Johnson’s has been a valued tenant and the neighboring community benefits from Johnson’s services, our fiduciary responsibility to be good stewards of limited University resources dictated that we could not agree to an arrangement with terms substantially below market value for the location.

We hope that this information is helpful in providing additional perspective for the surrounding community on the good faith discussions that took place regarding Johnson’s tenancy.




----


So just maybe, AU wasn't the bad guy then, and isn't the bad guy now?

There is a crazy amount of available retail along Wisconsin Avenue and AU has some already including under used classroom space - it really makes no sense that AU would have raised their rent or otherwise run them off. Maybe they are closing for the reason that there is a lot of available retail elsewhere which is that store front retailers are struggling everywhere to compete with Amazon.

As a partner and presence in the community, AU needs to stop treating their neighborhood real estate as just another portfolio asset where the sole investment driver is always the highest return. A reasonable return is important, yes, but as a nonprofit AU also needs to consider the needs of the community in which it is situated (including its students and faculty who are business patrons) and not take decisions that effectively drive out smaller, independent, neighborhood-serving businesses.

And unless you work in AU's real estate management division you have absolutely no idea if what you are alleging happened or if AU's rent was even a factor in the store closing.

Not the PP and yeah, no idea and don't care. I do know that two precious independent businesses have exited AU properties. The buck stops with AU. They need to try harder.

So...AU is supposed so subsidize businesses that aren't viable or don't want to maintain their business?

Johnson's WANTED to exit their DC store. How is that AU's fault?

Buck stops with them. Independent businesses keep leaving their properties on their watch.

[Anonymous]

So you are saying AU should force business to operate against their will?

[Anonymous]

Anonymous wrote:So you are saying AU should force business to operate against their will?

Yes. They should make them an offer they can't refuse. Then it would be with their will. Please don't play the game that AU isn't a miserable landlord. If they weren't, businesses wouldn't be fleeing as you presume they are.

[Anonymous]

Anonymous wrote:

Anonymous wrote:So you are saying AU should force business to operate against their will?

Yes. They should make them an offer they can't refuse. Then it would be with their will. Please don't play the game that AU isn't a miserable landlord. If they weren't, businesses wouldn't be fleeing as you presume they are.

Johnson's flat out didn't want to operate a van ness location anymore. AU gave them a good offer to stay. Johnson's said "no" and then people assumed AU was the bad guy. Read the post above that laid out the facts.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:Not enough kids in upper NW DC to support a toy store. They can't even fill their schools there. That's why they need to have such a high number of out of bounds students at Wilson and Deal and Janney etc.

There are plenty of kids to fill Janney, Deal, and Wilson, it's just that many if not most of them are going to private schools instead.

Lack of kids isn't what closed Sullivan's, people are just getting their toys elsewhere, like online where it's cheaper and arrives at your door in hours. It's tough to compete against that kind of convenience.

I agree that people got lazy, but an effort could be made to save Sullivan's. People make a pointed effort to shop at Politics and Prose, because they don't want to wake up and see a void there. We need to save Sullivan's. And it doesn't sound like AU tapped into that, or they could totally have delegated some students to make a student project around saving Sullivan's. Zero imagination.

The owner of Sullivans didn't want to adopt to having a website, a delivery service, a conceirge service or anything that would have generated business over the past year. Compare to Child's Play in Chevy Chase, DC who did all of these things and will now be the only toy store in NW.

This. Sullivan's has been our go-to for birthday presents for years. Once Covid hit, our only convenient option was to buy online and have presents delivered. Plus, most kids weren't having birthday parties with friends. Even though it was a pain, at least Child's Play made some effort to keep their business alive.