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FeaturesJune 17, 1996

The construction industry picked up in Cape Girardeau during May, following a slight downturn in April. Building permits worth $2.8 million were issued last month, more than double the $1.4 million of April. "We're looking for another good construction year," said Rick Murray, building inspector and supervisor of Cape Girardeau Inspection Service. "There are some good projects on the horizon."...

The construction industry picked up in Cape Girardeau during May, following a slight downturn in April.

Building permits worth $2.8 million were issued last month, more than double the $1.4 million of April.

"We're looking for another good construction year," said Rick Murray, building inspector and supervisor of Cape Girardeau Inspection Service. "There are some good projects on the horizon."

Murray didn't detail any specific projects, but two of them are projects in Cape West Business Park -- a 78,000-square-foot strip shopping center and a 14-screen cinema.

Staples to debut here

A permit has already been issued for foundation and footing for Staples Office Supply, which will be a 25,000-square-foot anchor store for the strip center planned by Druco.

The new center, just south of Target on Siemers Drive, will include a number of retail businesses.

"We have already signed businesses for half of the strip center," said Charles Drury from his Druco offices in St. Louis. "A Factory Card outlet store will occupy 10,800 square feet and the Dollar Tree will have 4,100 square feet."

Drury indicated that at least two more businesses are in negotiating stages for space in the center.

A Thanksgiving opening date for Staples is planned.

Staples, a national office supply chain, has 482 stores in North America and 47 stores in Europe.

"We handle everything in the office supply line," said Kim Shea of the Staples public affairs department. "We have pens, pencils, papers, business machines and computers."

The store will be the first of Staples in Missouri.

Wehrenberg Theatres Inc. announced plans earlier this year for a 14-screen cinema here.

Although a site and opening dates have not been officially announced by Wehrenberg, speculation is for a late 1996 opening in Cape West Business Park.

Wehrenberg has a four-screen, 1,000-seat movie theater in an 11,800-square-foot area in West Park Mall.

Residential profile

Residential construction for May was more than $800,000 with six new home starts, averaging about $140,000.

Although May construction permits were up from April, 1996 totals are down from the first five months of 1995.

Thanks to no less than three multimillion-dollar projects between March and May of 1995 -- $4.5 million Lutheran Home-Sarcony Manor; $4.1 million St. Francis Medical Center parking garage and $2.7 million Southeast Missouri Hospital lobby renovation -- Contractors filed for $25 million in permits through May 1995.

210 permits, $20 million

As of May 31, building permits had been issued in the amount of $20 million.

"We issued more than 200 (210) permits through May of this year," said Murray. "We issued 229 permits during the same period a year ago."

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The largest permit in May was a $1.4 million permit for a 60,000-square-foot warehouse facility for D&K Wholesale Drug Inc.

Renovation permits have also been issued to Blimpie Subs & Salads, for a second Cape Girardeau site at 3036 William, and to Plaza Tire Service for additional space on Linda Street.

Friedman's Jewelers also received a remodeling permit to open its 273rd store here.

Friedman's, the nation's third-largest jewelry store chain opened recently at West Park Mall and held its grand opening last weekend. Judy Brady, who transferred here from Tampa, Fla., is manager of the new store.

A nonrecurring expense

D&K Wholesale Drug Inc. reported a loss of $1.1 million for its fiscal year which ended March 29.

"But our performance reflected continued growth in accordance with our strategy," said J. Hord Armstrong III, chairman and chief executive officer.

He explained: "During fiscal 1996, our financial results were adversely affected by higher than anticipated nonrecurring expenses of $1.3 million associated with the consolidation of our Minnesota distribution centers."

D&K had purchased two Minnesota companies in 1995 -- Krelitz Industries, based in Minneapolis, which owned and operated the Twin City Wholesale Drug Co. and Vikings Computer Services Inc., and Northern Drug Co., a Duluth, Minn.-based wholesale drug distributor serving care facilities in Minnesota, Wisconsin and the Upper Peninsula of Michigan.

Net sales for the fiscal year, however, were up 32.7 percent, to $425 million. That compared to $320 million for the previous year.

Warehouse plans filed

D&K announced in November 1994 it was considering moving the Cairo, Ill., distribution center to Cape Girardeau. That may become a reality this year.

Plans were filed recently for a building permit for a 60,000-square-foot, one-level warehouse at 1823 Rust Ave.

Last month, the Missouri Department of Economic Development announced the city of Cape Girardeau will receive an industrial infrastructure grant of $70,229 for water improvements to aid in putting D&K here.

The relocation into larger quarters will result in an additional 40 jobs in the company, which currently employs 125 in its Cairo operation.

The grant was made under the Community Development Block Grant program, administered by DED. Funds will be released to the city as certain requirements set forth by the program are met.

D&K was founded in Cairo in 1965 as Delta Wholesale Drug Inc., with corporate headquarters at St. Louis. The company later became D&K Wholesale Drug Inc. and now serves independent and retail chain pharmacies, hospitals, managed-care facilities and other customers in 17 states throughout the Midwest and Mid-South. D&K has facilities at Cairo, Lexington, Ky. and Minneapolis.

New Southwestern Bell agent

Heartland Telephone, a land-line telephone interconnect business, has become an authorized agent of Southwestern Bell Mobile Systems.

Heartland, 255 S. Plaza Way in Cape Girardeau, is owned by Bob Tucker. His daughter, Michelle Tucker, is manager of the cellular business.

Tucker cited the rapid growth in the cellular industry, improvements in cellular coverage and the increase use of cellular telephones for personal safety as reasons for expanding his business into cellular.

"Cellular phones are a necessity," said Tucker. "We wanted to serve our clients better by offering cellular phones.'

Heartland is open 8 a.m. to 5 p.m. Monday through Friday.

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