Rediscovering McAllenA Marketing Plan for New Retail Potential

University of Texas – Pan AmericanMARK 6370 November 27, 2012

Selina Jimenez

Joseph Macias

Nese Nasif

Rene Salinas

Nancy Sanchez

Francisco Vizcarra

Rediscovering McAllenA Marketing Plan for New Retail Potential

I. Introduction

II. Survey #1

a. Survey resultsb. Qualitative Methodology – finding themes in people’s mindsc. Motivation – Identity – McAllen’s Brand

III. Survey #2

a. Tables and charts

IV. SWOT Analysis

V. Examples of Shopping Centers

a. Crocker Parkb. Bridgport Villagec. Victoria Gardensd. The Grovee. Pinnacle Hills Promenade

VI. McAllen’s Potential Shopping Center

a. Convention Centerb. Experienced Storesc. Matrix of ideas of stores and target markets

VII. Developers and Mall Owners

a. Carruso Affiliatedb. Trademark Propertiesc. Winegarden Regency Centersd. Simone. Genworth Propertiesf. Macerich

VIII. Conclusion

IX. Contact information

The city of McAllen, Texas was officially established in 1911. It has transformed over

the years into what is recognized as the core of the Rio Grande Valley. It is home to a population

of 140,000 individuals, with an average daytime population of 167,000 people.1 The area offers a

diverse cultural setting as it continues to function as a unifying point between Mexico and the

United States, servicing nine international bridges. Four million frequent shoppers located within

a two hour driving radius generate annual retail sales of $5 billion dollars.1 International

shoppers account for 37 percent of these reported retail sales.1

I. Introduction: Challenges

As the statistics above reveal, the city of McAllen is a lucrative community. However,

there are indicators that entertainment in the city and quality of life are currently stagnant or

maybe even on the decline. In the past, the city succeeded in generating the revenue needed to

meet operational demands. Yet, in the last four years, the city has noticed a decline in sales tax

revenue. One of the city’s primary objectives is to create a strategic plan which will incorporate

ideas that contribute to long term streams of tax revenue. In order for the city of McAllen to

come up with a successful strategic plan they must know; who their target market is, what their

wants and needs are, and finally devise a creative way to fulfill them.

II. Results of Survey #1

Surveys with Rio Grande Valley citizens confirm that McAllen would benefit from

certain improvements. Sixty-one surveys were collected from residents within and surrounding

the McAllen area, and they revealed certain areas of concern. Respondents were presented with

the following qualitative questions, along with a request for some background and demographic

information.

1. How long have you lived in the Rio Grande Valley?

2. Do you live in the McAllen area? If yes, why? If no, why not?

3. What comes to mind when you think of McAllen?

4. What is the worst thing about McAllen?

5. What is the best thing about McAllen??

A total of 14 percent of the respondents reside in the McAllen, and 86 percent

of the respondents lived in the Rio Grande Valley but outside of McAllen. The age of

respondents averaged 35 years with a median of 33 years. The median income was

approximately $60,000. Respondents have lived in the Rio Grande Valley an

average of 25 years with a median of 23 years. The following table presents the top

themes that were continuously noted by respondents.

Why do you live in McAllen?

Why do you not live in McAllen?

First thoughts about McAllen?

Worst thing about McAllen?

Best thing about McAllen?

Accessibility Congestion/Crowds Shopping Traffic Shopping

Family Taxes Mall

Lack of entertainment (“fun” places) Restaurants

Neighborhood Prefer more rural communities Restaurants Poor service Parks

??

Proximity to UTPA Proximity to UTPA Traffic Expensive housing Neighborhoods

Low Crime Nightlife Crime Landscaping

Border cityCongestion/Crowds Airport

It is interesting to note that many of the survey results proved incongruous. “Close to

UTPA” was a common response as to why people would like to live in the city of McAllen and

as to why people did not want to live in McAllen. “Border violence” was a common response

when asked about the worst thing about McAllen, while “proximity to border” was considered

one of the best things about McAllen. Similarly, “crime” was considered one of the worst things

about McAllen, although “low crime” was considered one of the best things about McAllen.

Though some of the responses seem paradoxical, recurring themes appeared within the replies of

individuals. Those themes include shopping, retail, and entertainment. Although the city of

McAllen possesses these features, efforts from neighboring areas have arisen in the past few

years. The enhancement of the images of cities like Mercedes (Outlet Malls), Harlingen (Bass

Pro Shop), and Pharr (Costco) have dramatically affected McAllen’s retail image. In the past,

residents in neighboring areas, including Mexico, traveled to McAllen for shopping purposes. In

recent years, individuals have been afforded the opportunity to decide on other venues.

With various shopping opportunities available to consumers, including competition from

surrounding cities and various online shopping sites, the city of McAllen must decide how to

increase revenue. However, because shoppers are cognizant of the general economic decline in

the macro-environment, their considerations of expenditures are extremely evident. Consumers

are particularly cautious when deciding where to purchase merchandise.

With these issues taken into consideration, the city of McAllen must determine the

direction of its image: retail, entertainment, or quality of life. McAllen may decide to accentuate

the role of retail, which has dramatically changed within the past few years. McAllen should ask:

Is this change permanent? Obstacles such as erosion of physical businesses through the use of

online shopping, lower property prices in surrounding cities, scarcity of land to expand

commercially, and unsuccessful prior business ventures impair the revenue of the city of

McAllen. What can be done to improve these setbacks? Conversely, McAllen may decide to

emphasize entertainment. Can McAllen raise revenue through visitor attractions? This decision

encompasses riskier projects than retail. There may be higher costs for potentially lower usage.

Entertainment may also compete with the new convention center, and may affect the city’s

image positively or negatively. The final alternative establishes a focus on the quality of life. Can

McAllen generate increased demand for residency? It is commonly understood that “retail

follows rooftops.” If McAllen designates infrastructure for quality of life elements such as parks,

hospitals, public transportation, etcetera, the city must ask whether more individuals will be

interested in settling in this area. Nonetheless, McAllen must take into account the expanse of

land available for increased development.

These three alternatives are significant in McAllen’s final decision process toward

branding the city. The initial phase consists of determining the image of McAllen in the minds of

Rio Grande Valley residents. Understanding this answer will determine the strategy McAllen

should consider. This answer may exploit the positive elements of this image, and

correspondingly transform the negative elements.

Efforts toward understanding consumer preferences rest on the results of the preliminary

survey. As noted previously, the survey results derived common themes of McAllen’s image

from McAllen residents and surrounding cities’ residents. The open ended questions probed on

the survey generated many similar responses.

The top positive responses included shopping, restaurants, parks, nice neighborhoods,

landscaping, and the airport. The top negative responses included traffic, congestion, lack of

“fun” places, poor service, expensive housing, and crime. McAllen may consider reevaluating

the elements of McAllen’s current image through the use of these results. Enhancement of

McAllen’s positive features will help create a brand which no other city in the Rio Grande

Valley possesses. We needed more information on the types of businesses the community would

like to visit.

III. Results of Survey #2

A second survey was conducted to understand the types of shopping experiences

consumers expect to encounter while visiting the city of McAllen. A total of 70 surveys were

received and the following charts describe the variety of the responses. Overall, the survey

responses indicate that there are a significant proportion of people who do not enjoy spending

time in McAllen nor do they have businesses that they enjoy visiting in the city.

The survey also included questions regarding certain restaurants and retailers that are

popular nationally. The following charts provide the survey results.

Based on the pie charts above, the survey respondents felt strongly that they would bring

business to a Cheesecake Factory in the McAllen area, followed by Dave & Busters, Trader

Joe’s and then a Hard Rock Café.

The survey also included questions regarding the entertainment venues currently in the city of

McAllen. The charts below provide the survey results.

Based on these survey results, the respondents agree that the city of McAllen could use more

entertainment options for adults, teenagers and children. These seem to rate the highest in the

survey. We recommend that the next shopping center in the city of McAllen include an outdoor

facility that can be used to entertain the citizens of the Rio Grande Valley. The types of outdoor

activities could include for example, musicians, singers, local bands, local school districts that

reserve space to conduct recitals of school performances. The activities can be diversified and

aligned with the seasons of the year. Section V presents examples of current shopping centers

that are aligned with the authors’ recommendation, including pictures that provide an idea of

how this outdoor entertainment space could look.

The survey included questions regarding the shopping experience in the city of McAllen.

The charts below provide the survey results.

Based on these survey results, the respondents agree that McAllen should explore the potential

resulting from a new plaza that would include retail stores, entertainment options and an open

area for live entertainment by local artists like the ones that will be described in Section V.

The final question of the survey asked for other types of stores and entertainment

options to explore for the city of McAllen. The following business names were

suggested by the survey respondents.

Examples of Businesses Recommended by Survey RespondentsFogo de Chao Panera Bread AvedaCheesecake Factory Le Madeleine Dave & Buster’sTopshop The Melting Pot JCrewC2 Alamo Drafthouse

CinemaPandora

Crabtree & Evelyn Teavana Aladdin’s EateryEspresso Royale World Market American Girl PlaceBrookstone Urban Outfitters Trader Joe’s

IV. SWOT Analysis

SWOT Analysis for the City of McAllenAssessing a new Image for the city.

STRENGTHS· The city of McAllen Texas has a competent human resources workforce that differentiates from the towns

around us. · The city has an excellent international geographical location that facilitates important trading between

Mexico, USA and Canada.· The city has an excellent team in the Planning and Zoning department that is highly qualified and ready

to provide customer service to new developers· In addition, the city portrays a good quality of life, strong school system, and excellent weather. · Thriving Community· Excellent quality of life venues· Vibrant retail industry· Local and International appeal· Over 4 million frequent shoppers located within two hour driving distance· Home to two international bridges and several others in neighboring cities· Business is drawn from international and multicultural customer base· McAllen is one of the highest retail sales per household in the state of Texas· Young and educated workforce available right here· Named and certified as a Scenic City in 2011 by Scenic Texas· Certified as a Playful City by KaBoom Organization· Lots of green space for visitors and citizens to enjoy· Two airports available for in and out travel· McAllen is one of the strongest economies in the U.S. per Business Week· First U.S. city to emerge from recession to recovery per Moodys Economy.com· Population in McAllen grew by more than 22% in a 10 yr period (2000-2010)· McAllen was ranked the best housing market in the nation. (The Wall Street Journal)

From our qualitative research we gathered information from the community and we conclude that we have an opportunity to bring innovation, excellent shopping experience and quality entertainment to the city all in one place.

SWOT Analysis for the City of McAllenAssessing a new Image for the city.

WEAKNESSES – OPPORTUNITIES-THREATS

WEAKNESSES

· Develop or upgrade our traffic system.· Develop the existing parks· Limited recreation locations for young adults· Lack entertainment facilities· Border Violence is prevalent· Lack “fun” places for families to enjoy· Congestion· Lack places for nightlife besides bars · Failed to prepare for the drop in sales tax revenues· Lack a “brand” or “image” for the city · A large percentage of individual family incomes are below poverty level· Need more skilled employmentFrom our qualitative research, we gathered information from the community and we conclude that we can overcome all of these weaknesses with proper long-term planning and the implementation of the plan.

OPPORTUNITIES

McAllen’s future plans to develop new construction sites, including our new conventional center, will bring new opportunities to attract more community and international visitors to spend and bring capital to our community. These are opportunities that our city officials and marketers should consider and take advantage to improve a stronger economic stability for the market demand that will be created.

· A new shopping plaza that includes shopping, dining, entertainment and activities that are available to its citizens and visitors from dusk to dawn.

· Our geographical location in our city is an important asset to bring a new name for our city.

· Having a university and its’ students at their disposal in order to come up with ideas on how to make the city better

V. Examples of Shopping Centers

The recommendation proposed to the city of McAllen is a derivative of the retail image.

This is an enhancement of the already positive elements of McAllen’s current image. This

proposal will require relatively less “incentives” to implement. McAllen should develop an

outdoors shopping center that includes mid- to high-end retailers and restaurants, with a focus on

“having experiences” and “fun,” while shopping and dining out in groups. The center should

include gathering areas for “hanging out” as well as small stages for local performances 2. Other

cities have fostered these types of developments with positive results from cities that host them.

Examples include: “Crocker Park” (Westlake, OH); “Bridgeport Village” (Tigard, OR);

“Pinnacle Hills Promenade” (Rogers, AK); “Victoria Gardens” (Rancho Cucamonga, CA);

“Bayside Marketplace” (Miami, FL); “The Grove” (Los Angeles, CA); and “Aspen Grove”

(Littleton, CO).

THREATS

· If the city of McAllen officials do nothing to plan for its future.· The opportunity costs keep increasing if the city continues to plan rather than implement

new strategies· The annual decrease in sales tax revenue is not remedied.· Continued expansion and development by neighboring cities ie. Edinburg, Mission, Pharr

and all the cities along the US Hiway 83 from San Juan to Mercedes.· The geographic jurisdiction for the city of McAllen is limited· Making the wrong choices for the future sustainability of the city· Undecisiveness· Lack of a common vision for the city

We conclude that not addressing these obvious threats for the city of McAllen may impact the future of the city in a negative way.

“Crocker Park” (Westlake, OH)

“Bridgeport Village” (Tigard, OR)

“Victoria Gardens” (Rancho Cucamonga, CA)

“The Grove” (Los Angeles, CA)

“The Grove” (Los Angeles, CA)

“Pinnacle Hills Promenade” (Rogers, AK)

VI. McAllen’s Potential Shopping Center

Although it may be argued that retail is prominent in the area, the city does not contain an

actual locale that is designed to create a meaningful shopping experience for consumers.

Shoppers are looking for energy, life, sophistication, and a modern appeal. An upscale shopping

model is the resolution. Another important factor is ethnicity. Because 85 percent of McAllen’s

population is Hispanic, cultural sensitivity is extremely significant.1 The Hispanic culture focuses

strongly on family-oriented activities. McAllen could benefit from adding more family

associated locales. Class must highlight togetherness. With 77 percent of McAllen families

having children younger than age 17, and 31,000 individuals living in McAllen determined to be

between the ages of 25-44 (the largest ranges of age distribution),1 adding more entertainment

locales for various age groups will prove to be beneficial. Entertainment accentuates the desired

shopping experience.

Currently, McAllen’s top shopping areas are “La Plaza Mall” and “Palm’s Crossing.”

These areas are centers for shopping and dining, but could these areas be considered centers for

experience shopping? “Palms Crossing” has retailers as well as restaurants in one locale. The

difference is that “Palms Crossing” does not encompass the experience and enjoyable aura that is

envisioned. The lack of restaurants and considerable amount of space between shops diminishes

the shopping experience and reduces the “fun” atmosphere. Although shops are located in one

center they are spaced out to a point where people find it inconvenient to walk from one location

to another. For example, walking from Best Buy to Hobby Lobby and then further to the

Guitar Center reduces the experience. Additionally, roads amid the clusters of shops disrupt

the walk from one shop to another. The road spacing between the clusters make it appear as if

each cluster is its own shopping center and less like one entity. In addition to the inconvenience

of long distance walking, the quantity of shops does not accommodate the vast amount of

parking available. The amount of parking exceeds the amount of shops. One suggestion includes

replacing a considerable portion of the parking area with shops and restaurants adjacent to one

another. This solution permits additional shopping areas and eateries. McAllen seems to have the

right idea with retail, but the execution of the idea leaves something to be desired. McAllen

should consider transforming shopping into an enjoyable and convenient experience for the

consumer. In the past dispersing shops and restaurants throughout the city without emphasizing

the shopping experience and atmosphere may have succeeded. However, as competition arises,

McAllen must amplify its retail statement. Thus, the decision to construct a sophisticated,

family-oriented shopping plaza with various entertainment options is the resolution to McAllen’s

image improvement plan. Once McAllen opts for the retail direction, the second phase includes

selecting the retailers.

The “National Citizen Survey” on McAllen’s website shows that the highest income

earners were most likely to be dissatisfied with business and social opportunities in McAllen.6

The higher a consumer’s income is, the more disposable income they will have. The city of

McAllen must seize this opportunity and meet the demands of the higher income earners in the

Rio Grande Valley. If the city of McAllen is successful in seizing the opportunity, they will be

creating the before mentioned win-win scenario; the people will get what they want, and the city

of McAllen will get what it wants.

The three target groups include young adults, higher-income families, and higher income

adults. The second survey indicated that teenagers and college students (young adults) feel that

there is a lack of options for gathering in groups. Teenagers and young adults have become bored

with having the same entertainment options for years now. The new “Palm Place” will satisfy

their different needs for entertainment in one convenient location. “Dinner and a movie” or

“bowling then late night dinner” are common expressions for teenagers and young adults, and

rather than have the hassle of having to spend gas to go these different places, they will be able

to satisfy both their dining and entertainment needs in one location. The sample also included

respondents with children (higher-income families) who do not like the current options (e.g.

Chuck E Cheese) to spend time with their children. These families are the ones who look

forward to going on vacation to San Antonio so they can spend time together at the RiverWalk.

As higher income parents, imagine being able to take your children to a place where the whole

family can have a good time rather than just the kids. The kids will love the “Palm Place” as

well, as they will get to “hang out” with the people they love and admire the most, their parents.

The second survey conducted and the city survey indicate some dissatisfaction with the current

business establishments for leisure (“fun”). Winter Texans are a significant portion of this target

market (higher-income adults).

McAllen’s retail focus should concentrate on mid- to high-end retailers that have a

history of keeping up with modern trends along with other retail options which emphasize group

experiences. Examples of retailers include Topshop, Brookstone, JCrew, Black/White, Trader

Joe’s, Crabtree & Evelyn, Apple, C2 (Crate and Barrel), World Market, Pandora, Urban

Outfitters, and American Girl Place. Trendy restaurants and coffee shops include Cheesecake

Factory, The Melting Pot, Fogo de Chao, Aladdin’s Eatery, Panera Bread, Umami Burger, Brio

Tuscan Grille, Le Madeleine, The Margarita, Espresso Royale, Bar Louie, 87 West Wine Bar,

Local Brewery, and Rocky Mountain Chocolate Factory. The outdoor theater should be the main

center for entertainment. However, a few entertainment specific businesses would be appropriate

as well. Examples of entertainment include Alamo Drafthouse Cinema, Seven Ten Lanes, Dave

and Buster’s, and K-1 Speed.

Retailers, restaurants, and entertainment within the shopping center accommodate the

needs and desires of customers. The following matrix provides some examples of venues that

would reach three of the target populations of the shopping center.

Shopping Restaurants Entertainment

Family

World Market Build-a-BearBarnes and NobleAmerican Girl Place

Cheesecake FactoryRocky Mountain Chocolate FactoryHard Rock Cafe

Dave & Buster’s

Young Adults

Urban OutfittersTopshopArcadeJCrew

Cheesecake FactoryThe Melting PotUmami BurgerEspresso RoyaleBar Louie

Alamo Drafthouse CinemaDave & Buster’sK-1 SpeedSeven Ten Lanes

Adults

World MarketTrader Joe’sC2BrookstoneCrabtree & Evelyn

Fogo de ChaoAladdin’s EateryEspresso Royale87 West Wine Bar

Alamo Drafthouse CinemaSeven Ten Lanes

The matrix shows that, many of the businesses overlap in their appeal to the three target

markets. Many of these businesses were suggested by respondents in the second survey or

ranked highly during the authors’ solicitation of opinions of them.

The next phase entails deciding on a venue to house these desired retailers, restaurants,

and entertainment options. The proposed area to facilitate these retailers is located near the new

convention center.

The convention center is an ideal shopping locale. There is land available, it is outside of the

“congestion” of inner McAllen, and there are potential synergies with convention center

businesses. For instance, many visitors frequent the congestion center with other people. A

shopping plaza that focuses on groups would be complimentary to groups that would like to

continue to spend time together after, for example, a concert or graduation at the convention

center.

Finally for promotional purposes, McAllen should consider various advertisement

options. One way to raise awareness about the “Palm Place” can be through billboards located

on the expressway right around the “Y”. The “Y” is where people head south on expressway

281 and then it splits into different paths for two different cities, McAllen and Harlingen. There

is a colossal amount of daily traffic flow around the area, and a new billboard will definitely

catch the eye of on-going drivers. Another way to raise awareness is to have local talent

competitions, especially in schools like UTPA and STC. The city of McAllen will be killing two

birds with one stone here, as they will be discovering local talent to play at the “Palm Place” and

raising awareness to one of its’ main target audiences; young adults. Disperse coupon booklets

for retailers and restaurants which allow some degree of tracking. Print advertisements in local

publications and visitor guides such as local news and entertainment publications and Winter

Texan newsletters. Arrange regular festivals and events on the outdoor stage to attract consumers

of all ages. We can also build relationships with promoters to bring important and/or famous

singers to this outlet.

VII. Developers and Mall Owners

Currently McAllen encompasses a broad range of retailers. However, these retailers are

spread out sporadically across the city, inconveniencing consumers who would like to travel to

one location in order to feel the effects of an ideal shopping experience. Because individual

developers are too costly, McAllen should establish a contract with a corporation which is

experienced in establishing these types of developments. Caruso Affiliated and Stark

Enterprises are examples of reputable developers who collectively join profitable retailers in

one location.

The city of McAllen must come up with a sales pitch in order to justify why a boutique

developer should want to invest in the city of McAllen. From our direct phone interview with

one boutique developer we learned about the key points they are interested in knowing about a

city when trying to determine if the investment is worth the risk. The first thing they look for is

an affluent community. Meaning they want to build in a community that is educated and has

high income. The city of McAllen is above both the state(26%) and national(28%) average in

residents with bachelors degree(29%). The second key point when building one of these plazas

is they want to build at a location that has close access to a highway. The city of McAllen has

space right off the highway next to convention center. Their third key point was that they look

for a high population density. The entire Rio Grande Valley, especially in the Edinburg and

McAllen, has a high population density. One of their final key points was that there this a

need/void in the experience shopping and entertainment department. There is nothing that even

compares to these plazas anywhere within the Rio Grande Valley, and the citizens of McAllen

would be ecstatic to have one.

In phone interviews with Nick Browne of Caruso Affiliated, and Lisa Schwann, a

marketing representative for Stark Enterprises, the following questions received the ensuing

responses:

Nick Browne: Caruso Affiliated 3

Question 1: What does your company consider when deciding on a location?

Answer: 1) Proximity to where we are (California)2) Demographics (Income, Population Density, Makeup

Density)3) Competitors (Proximity to other retailers, shopping centers)

Question 2: What would it take for a company like yours to consider a city like McAllen?Answer: Proximity to Caruso AffiliatedQuestion 3: Would you consider a city like McAllen?Answer: Not really (due to location)Question 4: Do you know of any other companies who collectively join retailers in one location?Answer:

· Trademark Property (Fort Worth) (Formatted La Palmera in Corpus Christi, TX) www.trademarkproperty.com

· Wine Garden Regency Centers· Mall Owners

o Simon, o General Growth Properties (GGP) (www.ggp.com)

(Formatted La Cantera in San Antonio, TX; The Woodlands Mall in The Woodlands, TX)

o MacerichQuestion 5: How did your company go about in deciding to choose Thousand Oaks, CA as the location for The Promenade?Answer: Close to freeway. Great city in terms of income, density, daytime population.

Caruso Affiliated has helped establish areas such as “The Promenade at Westlake” in

Thousand Oaks, California and “The Grove” in Los Angeles, California. Stark Enterprises

helped establish areas such as “Crocker Park” and “The Promenade” in Westlake, Ohio.

Although they are corporations which focus on developing in areas in close proximity to their

companies, Stark Enterprises and Caruso Affiliated both recommend that McAllen

research developers within the Texas area. Lisa Schwann described Stark Enterprises as a

Lisa Schwann, marketing representative for Stark Enterprises 4

Question 1: What does your company consider when deciding on a location?Answer:

1) East Side of city - Northeast Ohio (90 mile territory)2) Demographics (Household Income)3) Traffic (being close to the highway)4) Density (Demographics, visibility) 5) Look for a void in the city6) Affluent community (Educated, Income Support)7) Consider where retailers would like to be located

Question 2: What would it take for a company like yours to consider a city like McAllen?

Answer: Stark Enterprises is more of a Boutique Developer (we develop in nearby regional locations)Question 3: Would you consider a city like McAllen?Answer: Stark Enterprises is looking to expand. Can not give a definite answer about how far out. Question 4: How did your company go about in deciding to choose Westlake as the location for “The Promenade”Answer: Westlake is in close proximity to where we are (Ohio). When making a decision about a location, we listen to what the community wants and what it can support. The Promenade at Westlake offers variety for all incomes. High end retailers for the more affluent and other retailers like TJ MAXX for those who prefer that type of shopping experience.Question 5: One of our group members actually lived in the Westlake area where “The Promenade” and “Crocker Park” were constructed. She comments on the fact that “The Promenade” and “Crocker Park” helped boost revenue in Westlake and helped reduce city taxes a considerable amount. Do you feel that this has occurred in Westlake?Answer: Yes definitely. It has helped generate a lot of tax revenue and has created a lot of jobs.Question: 6 Does the city in which you decide to build provide any incentives for you to develop in that location?Answer: Sure they do, but not sure what they are. Every city is different. Stark Enterprises builds strong relationships with those who the company decides to work with. [Lisa commented that those in charge of the finances would probably know –

she is involved in marketing]. Question 7: Is there any other information that you feel might be helpful to present to the city of McAllen?

boutique retailer, a regional developer which works in close proximity to the area of interest.

Pursuing this suggestion will help create a brand that McAllen seeks. Stark Enterprises states

that “it is all about the image…we balance revolutionary idealism, new urbanist principles, and

sustainability practice, with economic viability, to deliver remarkable, next generation, mixed

use properties. We call this result the Community Core – real, livable, walkable, human scale

places that put community before commerce.5” If McAllen places the community needs as the

central motive for establishing an image, the city will meet and exceed expectations of customer

satisfaction levels.

Developers Contact Information

We can contact various developers such as:

Name of

Developer

Address TexasDevelopments

Contact Number

Trademark Property 100 East 15th Street, Suite 200Fort Worth, Texas 76102

La Palmera,Corpus, Christi, TX

1-817-870-1122

General Growth Properties, Inc.

110 North Wacker Drive Chicago, Illinois 60606

La CanteraSan, Antonio, TX

The Woodlands Mall,The Woodlands, TX

www.ggp.com(contact via Internet submission form)

Simon Property Group

225 W. Washington StreetIndianapolis, Indiana 46204

The DomanAustin, TX

1-317-636-1600

VIII. Conclusion

McAllen’s strategic decisions will impact the city’s and the Rio Grande Valley’s future.

The surveys conducted reveal that McAllen’s driving demand focuses on retail. Interviews with

reputable developers confirm the improvement of sales tax revenue and jobs. Examples of retail

shops, restaurants, and entertainment display consumer desires. The proposed idea is ultimately

the enhancement of an already positive element of McAllen’s current image as well as a

countermeasure against a negative one. The authors believe that the current recommendation will

facilitate an increase in sales tax revenue for the city, as well as increase the quality of life for all

citizens in the Rio Grande Valley; and, at the end of the day, increasing the quality of life is what

matters most to the city of McAllen. “Dedicated to consistently providing high quality services

and quality of life to all who live, work and visit the City of McAllen.” (McAllen Mission

Statement).

Endnotes1 McAllen Means Business. The City of McAllen. Web. 25 October 2012. <www.mcallenmeansbusiness.com>.

2 “Having experiences,” “fun,” “hanging out” - Popular responses within collected surveys.

3 Browne, Nick. Telephone Interview. 15 October 2012.

4 Schwann, Lisa. Telephone Interview. 24 October 2012.

5 "Stark Enterprises." Robert L. Stark Enterprises Inc., n.d. Web. 13 Nov 2012. <www.starkenterprises.com>

6 City of McAllen. Web. 20 November 2012. <www.mcallen.net>.