Tenants prepare for arrival of Valpo CVS

New Valpo CVS spurs most businesses at shopping center to move

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VALPARAISO | With construction on the new CVS pharmacy at Glendale Boulevard and Calumet Avenue expected to begin early next year, most of the remaining tenants of the existing shopping center at the site are busy looking for new homes.

Little Miracles Day Care has been in the plaza for 23 years and most of its children come from the nearby Spring Valley homeless shelter and the Caring Place. Owner Rose Miracle said many people have offered suggestions, including Mike Eddy, leader of the Valparaiso Community Church, also located in the plaza.

"We've been surrounded by good people when we thought nobody cared," Miracle said. "We've been here so long. ... I believe we're headed downtown. The old YMCA space might be available."

Before she can reopen the day care at another site, she has to go through the state approval process that takes about 60 days after she finds a site. The current location is within walking distance for the children from the homeless shelter and the Caring Place. Unless Miracle finds another place nearby, she will have to bus them, she said.

Most of the remaining handful of businesses were told they could stay until the end of the year rent-free after CVS closed on the property last month. CVS spokesman Mike DeAngelis said a couple were in default of their lease with the previous owner and will not be staying. He said CVS is negotiating with the others about occupying space in the new plaza.

Eddy was one given a 30-day notice to vacate the property because the church fell behind in rent. Eddy said the church would make good on the debt before it leaves. Although a little shocked by the eviction notice, he said it wasn't the worst thing for them.

"We needed a bigger space," Eddy said. "This has been a good spot for the three years we've been here."

He said the church is trying to buy a vacant building in town that will provide enough open space that it can be subdivided to provide a coffee shop, a Christian bookstore and the Tall Oaks Christian School in addition to space for the church. He said he also offered space for Miracle's day care center.

The one business that will be staying when the new plaza is built is Making Dinner Fun, owner Jeff York said. The business has been in the plaza for two years.

"We don't want to leave," York said. "Everything has been pretty good."

A spokesman for Kustom Homes by Kerry said CVS treated the business well but it still will leave when its lease is up at the end of the year. Steve Graham, owner of Kumon Math and Reading Center, is not happy with CVS's actions.

"We've been here four years," Graham said. "Our lease expires at the end of August, and we had two five-year extension options that have not continued with the change in ownership. The previous landlord proposed a 2 percent escalation in rent, but CVS said 8 percent for inflation and the square footage rental increase was 50 percent."

Although the inflation increase was lowered to 4 percent, Graham said CVS was just trying to drive the tenants out so they wouldn't have to pay relocation costs. DeAngelis said the same offer was made to Graham that was made to York. Graham said he thought he should be compensated for the two extension options.

"I'm out looking for space," he said. "I'll try to stay in Valparaiso because all my customers are here."

CVS also plans to relocate its pharmacy on the south side of the city to the northeast corner of Washington Street and U.S. 30, but DeAngelis said the company has no timetable for construction of that site. The north side store is expected to open in the fall of 2009.

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