Regency Properties devised its County Seat Communities approach to acquiring and operating retail centers a decade ago. This strategy goes beyond optimizing occupancy and tenant mix, focusing on establishing the centers in response to the needs of the surrounding communities. Here, Jamie Edmonson, senior vice president and chief operating officer, tells us how the strategy works in practice.
Q: Walk us through the evolution of Regency’s County Seat Communities strategy: how it originated and how it is applied.
A: Regency’s County Seat Communities strategy took shape as we carefully evaluated our growth options in 2014. This focus became a driving force behind our expansion, elevating our purpose and reinforcing our commitment to American communities. We believe in the strength and resilience of these towns, and our success is rooted in ensuring they have access to the same retail opportunities as larger markets. This strategy isn’t just about business, it’s about championing the communities we serve, recognizing them as the heartbeat of the nation, and enhancing their potential through thoughtful retail development. At Regency, we firmly believe that every town deserves great retail, and we remain dedicated to fostering stability, growth, and long-term success for County Seat Communities across the country.
Q: Can you provide a “case study” of a County Seat Community?
A: In December of 2022 we acquired Eaton Center in Eaton, OH. Eaton is the actual county seat for Preble County, and while the town population is 8,358, the trade area is nearly five times that size.
In a great county seat community like Eaton, we look at the strength of the local economy while simultaneously analyzing competitive retail and the current tenancy of the asset.
We were able to invest nearly $1 million in deferred maintenance upon purchasing the center, and our leasing team increased the occupancy from approximately 72% to 81% occupancy.
We were recognized by their chamber last year with an award for our contribution to their community. It was one of the highlights of 2024 – we are so proud that our communities recognize and appreciate our impact.
Q: Discuss Regency’s effective management of its portfolio through multiple economic cycles, real estate cycles, retail evolution and natural disasters.
A: Over decades of investment and over 6.3 million square feet of properties, we strive to not only attract tenants but also to serve their needs through their entire lifecycle with us. Sometimes that’s harder to do than other times. We’ve had multiple centers impacted by a pandemic, tornados, hurricanes with property damage, and national tenant closures. In that scenario, because our centers are typically one of the primary locations in that market to get supplies, our team is on the ground getting our tenants back open as quickly as humanly possible. There’s no time to waste – the community needs them.
We’ve had retail bankruptcies that have shuttered stores in multiple properties within our portfolio. We’ve seen credit crises, housing shortages, national unrest, economic uncertainty, labor shortages, materials costs skyrocket, and that’s all in my four years here at Regency! This company was started in 1949 – it is over 75 years old and is more focused than ever on the communities it serves.
Q: Discuss Regency’s approach to creating co-tenancies at its properties. In the long run, how do these benefit the tenants, the community and Regency?
A: County Seat Communities face distinct challenges, where even local retailers serve as destination businesses within the areas we support. Due to formalized criteria used by national retail companies, area demographics may sometimes exclude our communities from consideration. That’s why our role is crucial — we strive to understand the market better than anyone else, acting as ambassadors for the community. We highlight the health and stability of our centers and tenants, ensuring the unique value of our communities is both recognized and appreciated.
The depth and diversity of our portfolio connect our shopping centers to a broad range of retailer relationships. While we carefully evaluate shopping center investments with specific co-tenants in mind, we also curate tenant selections that complement both the community and one another. At Regency Properties, partnership with the community is a defining characteristic. We view our centers as vital commerce hubs, where local feedback plays a crucial role in shaping our decisions and guiding future growth plans.
Pictured, at top: Princeton Town Fair in Princeton, IN.
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