Retail Strategies is working with the city of Hermiston to recruit national retailers to Hermiston. During the Hermiston City Council meeting Oct. 14, 2024, the company said there are five national retailers that have shown an interest in locating in Hermiston, but did not name the companies.

HERMISTON — The Hermiston City Council learned Monday, Oct. 14, that five national retailers have expressed interest in locating a store in Hermiston.

That news was part of a retail opportunities update to the council from Brooke Hill and John Mark Boozer of Retail Strategies, a company specializing in national retail recruitment.

The five companies, which were not named, are in various stages of possible expansion to the area. The potential retailers include a grocery store, an outdoor retailer, a cellular service provider, a chicken restaurant and quick-service Mexican restaurant.

Boozer said all five have “larger footprints across the nation.”

City Manager Byron Smith said the city has been working with Retail Strategies for several years. The company represents about 180 cities across 40 states. Hill and Boozer personally represent 18 clients, including Hermiston, across four states.

Retail Strategies helped recruit Sherwin-Williams when Payless Shoe Source closed in Hermiston. It also recruited Panda Express, Marshalls and Grocery Outlet to Hermiston.

Hill said she and Boozer visit Hermiston annually and look at the city’s retail assets, what retail businesses exist and what opportunities for recruitment are available. The company also represents Hermiston at trade shows throughout the year and promotes viable sites in Hermiston to national retailers.

But just because a company shows interest in locating in Hermiston doesn’t mean it will happen any time soon.

“Retail is a slow game,” Hill said.

Boozer added it typically takes up to three years from the time a company considers expanding to actually opening a new store.

Population is one factor retailers consider. Hermiston’s population is 20,322, but that’s not how retailers look at it, Hill said. Retailers use radius rings, among other factors. Within a 3-mile radius of Hermiston, there is a population of 24,800. Within 5 miles, the population is 31,677, and that increases to 40,243 when the radius is expanded to 10 miles.

Mayor Dave Drotzmann asked about expanding the retail radius to make Hermiston more attractive to retailers. Drotzmann owns Lifetime Vision Source and said he has patients that drive an hour to see him. Hermiston residents routinely drive out of town to shop in the Tri-Cities about 30 to 40 miles away.

“Rural folk are used to driving for services, especially retail services,” he said.

“Retailers know how many miles out they can go and 5, 10 to 15 is the most common mileage that national retailers that we talk to look for,” Hill said. She added the company does have local data for a larger retail radius if companies ask for it.

Hill said there is an opportunity gap in Hermiston with more people purchasing items outside the defined Hermiston trade area than inside. Local residents spend nearly $1.26 million a year outside Hermiston, she said.

“That is money leaving Hermiston that could be captured if there were other retailers in the (local) market,” Hill said.

During its partnership with the city of Hermiston, Retail Strategies has conducted outreach to more than 50 retail prospects including specialty grocers, clothing and footwear stores, sit-down restaurants, pet stores, home furnishing stores and more.

Boozer said Hermiston has assets that are attractive to retailers such as the number of jobs from data centers that are being filled along with plans for future housing developments.

Boozer said the barriers they encounter from national retailers are site-specific.

“The right size is not available, or a property owner is not ready to work a deal,” he said. “It could be vehicles per day — there’s not enough traffic. Some retailers have pretty insane requirements. It could be household income or population. But these are the barriers everyone is facing across the nation.”