- Real Estate
- Food & Drink
May 22, 2019
One year ago when representatives of Profile by Sanford met with brokers at RECON, the retail real estate industry’s largest convention, there were 35 stores open.
Fast-forward to 2019, and there are 115 locations with hundreds more in development.
“If you look at that growth, it’s been exponential,” said Kurt Brost, Sanford Health’s director of real estate services.
“We’re not having problems selling franchises.”
RECON presents a weeklong opportunity to meet with brokers through the NAI Global network who are working with franchisees to identify locations.
“We’ll be meeting with close to 50 brokers or landlords from across the U.S. and getting a really nice feel for what’s happening in each of the markets,” said NAI Sioux Falls’ Gregg Brown, master broker for Profile.
“The goal is 500 units. And we’ve got another four years until we’re there based on what we’re doing today. We’re really at the infancy of this massive franchising.”
Profile continues to roll out new food and beverage products and new technology, as well as a slightly smaller store footprint of about 2,000 square feet.
“We’re realizing the design and layout can be more efficient, and that helps franchisees with occupancy costs, so we’re conveying that message to brokers and updating them on the fact that we have 115 open today and our projection is to open up another 100 this year,” Brown said.
Last year was Profile’s first appearance at RECON, and it focused on educating brokers about the concept. There’s still some of that this year, but there’s also new interest from landlords and developers.
“They’ve reached out to us to get on our calendars,” Brost said. “A lot of landlords like the concept. We drive traffic, but our appointments are every half an hour, so it’s good turnover, and landlords love the demographic we’re after. There’s disposable income, families in that 35-to-55 range, which is kind of who everybody is after, and our build-out looks good, and the concepts are nice and clean. So it’s nice to have those meetings.”
Profile is a good fit for grocery-anchored retail centers and complements many other tenants, Brown said.
“It’s experiential retail, where you’re coming to be coached and buy a product, and then maybe you go to Orangetheory Fitness or have an appointment at Massage Envy and go to the grocery stores. We don’t use a lot of parking … and we’re driving traffic to the center, and that’s really what they like.”
And as Profile expands nationwide, it’s broadening the reach of the Sanford name with it.
“I think it dovetails really well with world clinics and our research expansion, the Lorraine Cross award and the relationships we’re building all over the world. This is another piece of the puzzle our leadership team is putting in place,” Brost said.
“To me, it’s great to see a concept born and bred in Sioux Falls take off on a national level like this.”
In its first appearance at RECON last year, Profile by Sanford focused on telling its story. This year, national developers are coming to it asking about securing a location.