MARKET OVERVIEW
West Ridge Mall is located in Southwest Topeka, the state
capital of Kansas, and is considered part of the Topeka MSA – a geographical
statistical area that encompasses five counties in Northeast Kansas: Jackson,
Jefferson, Osage, Shawnee, and Wabaunsee. By population, the Topeka MSA is the
third largest metropolitan area in Kansas with an estimated population over
234,000 residents. The Mall is approximately 5.3 miles southwest of downtown
Topeka, the 5th largest city in Kansas, with a population over 126,000 people.
Not only does the Mall benefit from its location within the state capital, but
it is also the only true enclosed mall in a large trade area, catering to over
222,000 shoppers within a 25-mile radius. The next closest enclosed mall
competition stems from the Manhattan Town Center, located 52.7 miles west, in
Manhattan, KS. The Mall is strategically located along SW Wanamaker Road,
parallel and easily accessible to the heavily traveled I-470, which will
support long-term redevelopment into a highway-oriented mixed-use center.
The Property is in a highly active retail corridor
surrounded by other strong national retailers such as Best Buy, Hobby Lobby,
Kohls, T.J. Maxx, Target and Walmart, which help drive additional traffic to
the area. The Topeka ER and Hospital, the first micro-hospital in Topeka, was
recently opened in July of 2020 on the periphery of the Property, a good
indicator of interest from non-retail users. With one-fifth of Topeka’s
population now 65 or older, the significantly older population will continue to
support demand for healthcare. The Mall is also located within close proximity
to several universities and secondary schools. Located 3.2 miles away from
Washburn University and 1.3 miles away from Topeka West High School, the Mall
serves as the go-to shopping destination for over 7,000 students.
Given the Property’s location within the state capital,
directly off I-470 in an active retail corridor, it is considered an attractive
destination for many of the surrounding communities. The City of Topeka has a
relatively low cost of living and doing business, affordable and undervalued
housing, and transportation infrastructure that benefits manufacturing and
distribution. The trade area demographics immediately surrounding the Property are
above MSA averages and near state averages. The average household income in
2021 within a 10-mile radius of the Mall is over $56,000 and is projected to
increase 1.5% annually until 2026.
Topeka’s economic recovery has accelerated recently, and the
labor force is larger now than it was prepandemic. The recent improvement in
the labor market has been attributed to growth in private services, notably in
retail and professional/ business services. Furthermore, Kansas collected over
9% more revenue than expected in fiscal 2021, part of which will cover raises
in spending on schools and social services. These raises will provide a small
boost to payrolls in Topeka and have a spillover effect on retail and
leisure/hospitality. Meanwhile, the City’s budget is also up almost 3% compared
with fiscal 2021 expectations, which will generate small job gains, as well as
pay increases for existing employees.
