Two retail businesses – Pita Café, a Greek restaurant, and a shoe store – will open soon in Fountain Hills Plaza (Bashas’ Center).

Daniel P. Kovacevic, regional vice president for Whitestone Reit, which manages commercial leasing for the shopping center, announced the two new businesses joining existing tenants.

Pita Café is a family-owned Greek and Mediterranean restaurant whose menu consists of gyro pitas, chicken and beef shawarma pitas, salads, bowls, hummus and gluten-free and vegan options.

The restaurant plans to open by the end of this month, said Kovacevic.

The unidentified casual shoe store will open near Fountain Fashions, the current retail marketing strategy where similar businesses congregate to form “lifestyle centers.”

“There has been a lot of discussion about Amazon and e-commerce. It has created a lot of difficulties for brick and mortar retailers,” Kovacevic said. “The mall doesn’t look like it did five years ago.”

Anchor stores, such as Macy’s, are half of what they were. Businesses, like Target and Best Buy are faring better but aren’t expanding. Other national retail retailers such as Kohl’s, Bed, Bath and Beyond, and Staples aren’t “doing so well,” according to Kovacevic. About 70 national chain companies have closed since 2017.

“It’s tough out there,” said Kovacevic.

Whitestone’s portfolio strives for an optimal mix of national, regional and local tenants to provide daily necessities, needed services and entertainment.

Lifestyle urban centers and community shopping centers anchored by a grocery store and convenience stores are resistant to e-commerce, he said.

The firm represents many fitness and exercise businesses, medical, beauty services, restaurants, all businesses that generate frequent trips.

Community (neighborhood) shopping center is the designation of the Fountain Hills Plaza where “synergy is created to support all the businesses.”

Kovacevic described Fountain Hills Plaza as a “center with great bones” with the two major tenants, Bashas’ and Paul’s ACE Hardware, responsible for repeat daily traffic.

Town director

The town’s new economic development director, James Smith, said “I think we’re starting to turn the corner” on attracting more technology/IT jobs with higher salaries to the Greater Phoenix area.

“Fountain Hills will see the impact. I think the jobs that are being created are ones that people can afford to live in Fountain Hills.”

A strategic goal also is to bring more professionals and young families to the region.

The proposed Fountain Hills Medical Center could create 100 jobs in the $70,000 salary range, said Davis.

Many cities around Phoenix are “over-retailed,” said Smith. In some communities, previously zoned retail properties are being eliminated because they are functionally obsolete because of online shopping. The properties are being re-zoned for residential use to create more housing density.

The town’s tourism efforts have been moved under the umbrella of economic development to encourage more visitors, said Smith. Social media will be a major focus.

“In many ways, I feel that Fountain Hills is the best kept secret in the Valley. We don’t want it to be a secret anymore. We want people to come here and experience it,” said Smith.

Small business workshop

The town, along with several partners, will host a small business workshop from 1 to 5 p.m., Wednesday, Oct. 30, at the East Valley Institute of Technology (EVIT) campus, 14605 N. Del Cambre Ave.

An overview will focus on resources provided by the town, Chamber of Commerce and library. A representative of the U.S. Small Business Administration (SBA) will discuss financing.

A Maricopa Small Business Development Center representative will explain creating a business plan.

Debbie Clason of Clason Communications will cover marketing and social media channels.

The session will be capped off with an open house between 4 and 5 p.m.

EVIT and Arizona Business Advisors officials will provide tours and discuss opportunities for incubator, co-working and office space at the facility.

The event is free but does require advance registration at the town’s website, fh.az.gov.