Cities want to save local Starbucks stores

Jul 23, 2008 (The Miami Herald - McClatchy-Tribune Information Services via COMTEX) -- SBUX | Quote | Chart | News | PowerRating -- While Starbucks trims its stable of underperforming stores, some cities such as North Miami and Lauderdale Lakes, which counted on the coffee mecca to give a jolt to business development, are trying to save the locations.

North Miami's Mayor Kevin Burns is meeting Wednesday with Starbucks representatives, but wouldn't say what the city could offer to sweeten the pot. Lauderdale Lakes Community Redevelopment Director Gary Rogers said he was hoping to score a meeting with representatives to do the same.

The two locations are a part of the 600 locations to be closed this year. Only three other locations are closing in Miami-Dade and Broward.

"This is definitely a hiccup in our plans," Burns said. "We are hoping by some miracle they will change their minds."

Both locations happen to be in areas targeted for redevelopment, something Lauderdale Lakes Community Redevelopment Agency Director Gary Rogers thinks wasn't an accident.

"They chose areas that they saw as ripe for development," Rogers said. "They got caught up in the economic downturn."

Kelly Mattran, marketing manager for Starbucks Coffee, confirmed in an e-mail the stores had been notified of the closures.

"Much thought and consideration was given to each location because we know the impact this has on our partners, customers and the communities where we operate," she wrote. "Starbucks is listening and working to address questions while we continue to transform the business."

By all indications, North Miami officials and residents thought business at the 750 NE 125th St. location was going well. The building's owner, Clark Reynolds, said when the city snagged Starbucks, he thought it was a coup for the city. The city's CRA even kicked in $25,000 to help renovate the facade of the building.

"We fought really hard to get the store here," said Reynolds. "But everyone thought it was worth it."

The Museum of Contemporary Art, North Miami's crown jewel in the CRA district, developed a synergy with the coffee boutique, fueled by gallons of expressos and frappuccinos sold on show nights.

"I think we played off each other very well," museum director Bonnie Clearwater said. "This is going to be a huge loss in the city."

Burns said while he wants the business to stay, the city can only go so far.

"There's got to be a balance between what we do for local businesses and what we do for national businesses," he said. "But in the case of Starbucks, I think the national business has been able to help the local businesses."

Rogers, the director of Lauderdale Lakes' CRA, said the opening of the location at 3399 State Road 7 was shot in the arm for the business corridor.

But Rogers said he understands business is business.

"It looks like the day of the $4 coffee has met its match," Rogers said.

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