By OKC Business

Turns out recycling is not only recommended for the natural environment, it's good for the local business environment, too.

Who knew?

A quick glance at some of the Norman business owners involved in ongoing commercial real estate deals reveals a pattern of recycling that maintains the status quo in the Norman market, at least for the time being.

That trend, however, is expected to change once the current Target shopping center morphs into the proposed Super Target store and relocates one mile north from Main and 24th Avenue NW to Robinson and 24th Avenue NW.

The on-going development of University North Park, a large-scale shopping and entertainment district set to open for business in October 2006, is expected to create more than one vacancy in the Norman Market. In fact, demand for premium spots in the new growth area will be extremely high, which in turn, could translate into a number of empty business spaces around the city.

Considering the occupancy rate for Norman's commercial real estate market is currently 95 percent and has been near capacity for several years, a potential downward shift in that figure is welcome news to business owners hoping to set up shop there.

"The market here has always been tight. Retail space simply doesn't stay available very long," said Don Wood, executive director of the Norman Economic Development Coalition. "When you see a space come open like the (Target) building on the corner of Main and 24th, it only makes sense that someone is going to jump on it. After all, that's the highest traffic corner in Norman."

The current recycling process will initiate a chain reaction, which ultimately will begin with the property located at Main and 24th Avenue NW. Once the announcement was made public about Target's future plans, it didn’t take long for the local Hobby Lobby store to jump into the mix signing a lease for the 68,332-square-foot facility at 2417 W Main St.

"We've always felt the Norman market was under-served because our current store is too small," said Hobby Lobby real estate representative Les Miller. "It makes perfect sense for us to make the move to a larger space that will help us better serve our customers."

Hobby Lobby has been "confined" to its 47,000-square-foot building at 555 W. Main since 1986. Over the course of the past 20 years, there have been a precious few opportunities to potentially move to a larger facility within the Norman city limits. The current Target building also will provide a new home for Mardels Christian and Educational Supply. A Hobby Lobby-owned entity, Mardels currently is located across the street at 500 W Main.

The recycling process is again prevalent as potential buyers already have expressed interest in the soon-to-be vacated Hobby Lobby building.

"We have experienced reasonably strong interest already for our current location and the space we have across the street," Miller said. "A group of in-state investors has inquired about the property, and there have been talks, but there is no purchase agreement at this time."

As is normally the case with Norman, it is a seller's market. The existing draw back to that scenario is the shortage of available commercial properties.

"It's been that way for the last 10 years- supply has been inadequate to meet the demand in Norman," explained Eric Fleske, vice president of Equity Reality. "The changes that are occurring-especially when University North Park is opened-will likely energize the entire market from real estate perspective. I don't see how that can be viewed as anything but positive for Norman's economy and future growth."