Well, after receiving an email this afternoon from a family soon to visit the island for a vacation, I thought we would turn the tables.
Here’s an excerpt from the email: “We are coming down March 31-April 4. Wanted to know if there was one special place to eat that is kid-friendly? We have eaten at Rainforest before, and we will probabley eat there, but some place special on the island?"
So, I thought we would show some island hospitality and help the family out.
Where are the best places for small fries to eat on the island and why?
If you watch TV, you’ve probably seen, or more importantly heard, the JC Penney commercials featuring screaming men and women. They scream loudly and a lot about department store sales promotions.
The commercials have caused a lot of buzz and even generated some complaints to Consumer Affairs to which one person wrote: “This has to be the worst commercial that has ever hit the airwaves. Not only is it annoying, it is dangerous for anyone who has anxiety disorders, or panic attacks. I have heard that this was aired at a hospital waiting room, and emotionally affected those in the waiting room, in an awful way ... ”
(I'll take a self-serving moment here to remind you that this is why newspaper advertising is superior to TV ads. Newspaper advertising won't harm your ears, cause anxiety disorders, panic attacks, boils, twitches or other terrible, unspeakable afflictions.)
As I struggle to get the JC Penney screams out of my head, I have to argue it's an effective commercial. It's a good commercial. It did what commercials are supposed to do, which is get our attention in a very cluttered world where everyone, everywhere wants to sell us something.
So while some consumers are yelling about the screaming, I'm more interested in what the ad is about, which is JC Penney's arguably risky strategy of suspending hundreds of special sales that department stores are so fond of and permanently cutting prices on all merchandise by at least 40 percent. That strategy begins tomorrow.
Former Apple executive Ron Johnson, who was named Penney's CEO in November, is behind Penney's price cut plan. Walmart does it and H-E-B has a similar strategy, promising low prices without loyalty cards.
But will it work for a department store?
"How customers will react to a single price point versus a perceived discount under the old strategy," is the question, Citi Investment Research analyst Deborah L. Weinswig told the Associated Press.
I've blogged before that I'm not much of a sale chaser. I try to only buy something when I'm in the market for it, and then I look for sales and comparison shop.
I know people who live for one-day sales. They weren't really in the market for that shaggy lime-green rug until they saw it was 50 percent off. I'm not judging, though. And I have in the past been a victim. Still hanging in my closet is a weird gray, hooded sweater that was marked down from $80 to $7 that I've never worn.
It's too big and lumpy. I keep thinking I'll "grow into it." I thought it was a steal, but I'm out $7. And some sales are designed to get you in the door in hopes you buy the pricier merchandise.
So, I'm the type of consumer who would find JC Penney's new strategy appealing. What about you? And what do you think of those screaming commercials?
I'm back from a break and there's much to report. I'll start here with some pretty big real estate news, but make sure to check in with Biz Buzz Tuesday for much more.
A representative with Legend Communities confirms that it has the luxury development Harborwalk, a Hitchcock community known for million-dollar waterfront homes, under contract.
Homes rise behind the Harborwalk marina in Hitchcock. Photo by Kevin M. Cox
Legend Communities is negotiating to buy the property from Compass Bank, said Mark Caldwell, who will be development manager of the property once the acquisition is finalized.
In January 2010, development firm Harborwalk LP filed a lawsuit against Compass Bank after the bank sent notice of a default on an amended $30 million note and refused to allow the company to draw any more money to cover project costs. Compass Bank is now doing business as BBVA Compass.
In the lawsuit, Harborwalk LP accused Compass Bank of breaching an agreement to extend the loan for five years.
Harborwalk LP at the time also said it had not defaulted on any provision of the loan agreement and had made timely payments. The development firm sought an injunction prohibiting Compass Bank from foreclosing, among other remedies.
But Harborwalk was victim of a scenario that had played out around the county and the nation during the real estate crisis. Compass Bank blamed declining value of property used as collateral for its decision to call the note.
"The appraiser's valuations show a very large decline in the value of collateral from the collateral previously used in the the loan restructure in 2008," according to a letter Compass sent to Harborwalk in 2010.
It appears Compass prevailed.
Harborwalk LP developed the 380 residential lots, 150-slip marina and a yacht club 2.4 miles west of Interstate 45 on state Highway 6.
"We are very close to having a firm closing date," Caldwell said. "We've had it under contract for some time and we're very excited about the community."
A new eatery hopes to take a slice out of the island pizzeria market.
Michael Malone is preparing to open The Strand Pizzeria, 2413 Strand downtown.
The eatery is pretty much ready to go, Malone said. But he and business partners are still waiting to secure all necessary city permits before turning on the ovens.
The Strand Pizzeria will serve specialty pizza by the slice. The eatery will take a 24-inch pie and divide it into six slices, making for a respectable piece of pizza, he said.
The Strand Pizzeria will stay open to about 4 a.m. for late-night crowds. Courtesy photo by Gerald Vimont
Malone has lived on the island for about 16 years and has worked in various hot night spots, most recently The Lounge, 2410 Strand.
What's really interesting about The Strand Pizzeria is its plan to stay open until about 4 a.m. to cater to clubgoers and all the late-night workers serving the island’s bar and restaurant industry.
One of the biggest complaints I get is the lack of dining options after 10 p.m.
It's not just an island issue, but one for almost any city in the county.
Where do you go for late-night meals? Do you plan to give The Strand Pizzeria a try?
But alas, as some readers rightly reported today, the eatery, 111 23rd St., has bid “adios."
What went wrong? Maggie Rita’s opened in the site formerly occupied by Fuddrucker’s, which seemed to do a brisk business.
Too many entrenched Tex-Mex eateries on the island, perhaps?
I tried the restaurant when it first opened and I thought the food was ok.
I’ve had better, especially on the island, where the Tex-Mex trade is pretty competitive and some local families are very good at what they do.
Maggie Rita’s Mexican Grill & Bar, which opened downtown in August of 2010, is closed.
What sort of put me off about Maggie Rita’s was that they served the food on disposable plates. It's a strange tic of mine. If I’m eating barbecue at a picnic or eating fast-food or waiting for electricity to return after a hurricane, disposable plates are fine.
But there was something about eating from a Styrofoam plate and with plastic fork and knife that day at Maggie Rita's that cheapened the experience for me. I swear, I’m not super snooty about these things. I'm all about a business owner saving money and cutting expenses. But as a customer, I don't want to know or hear about it. It kills the mood.
I won't get into the environmental about what's worse — waste from paper products or the amount of electricity and water used to clean real plates. I'll leave that to greater minds.
With all that, I wished Maggie Rita's well. To be fair, I visited only once when the restaurant still was working out the kinks. I did think the prices were extremely reasonable. And perhaps their plate delivery hadn't yet arrived and I was making a rash assessment.
Also, I didn't try the margaritas, which probably would have lightened up my view of the eatery.
Did you like Maggie Rita’s? Anyone have any reviews or speculation about what went wrong?
I still get calls now and then from readers wondering why membership warehouse chain Costco has overlooked the Galveston County/Clear Lake area.
A few weeks ago, I called Costco corporate offices to ask the same question.
No one has returned my calls. But to be fair, most people at such corporations authorized to talk to the media aren’t allowed to discuss rumors or speculate about store openings. They usually only talk when they've formally announced plans for a new store.
But I had to try.
A lot of area residents like to shop at Costco, judging by phone calls and people I know who praise the store’s organic produce selection and prices.
The argument that the county and its more than 250,000 residents, not to mention Clear Lake area consumers, couldn’t support a Costco doesn’t seem to fly.
Competitor Sam’s Club operates in Friendswood and Texas City. Besides, a lot of people drive from the county to Houston to shop at a Costco.
According the article, readers give higher overall scores to Costco for groceries, electronics and small appliances, but gives Sam's Club a higher rating for return policies on electronics.
I thought it was also interesting that while consumers shop warehouses for savings on bulk buys, more than half spend more than they intended, according to the article.
I don’t have any answers or offerings of hope in this blog. But if you're interested in new Costco stores check out this "Addicted to Costco" blogger, who tracks new Costco stores.
If you’ve got any information about Costco planning an area store, let us know.
And would you shop there if Costco opened a store near you?
About Laura Elder
Laura Elder has covered business for The Daily News since 2001 and writes Biz Buzz, a twice-weekly column.
She grew up in Houston and graduated from the University of Houston with a communications degree in 1992. She worked for six years at the Houston Business Journal covering the retail and restaurant industries.
She lives in Galveston with her husband Michael Smith, also a journalist.
