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Donut shop stalled

On Behalf of | Jan 2, 2013 | Commercial Real Estate |

When a donut franchise owner wanted to move in to a Pennsylvania town and found a location that met with town approval, it seemed like a done deal for the new donut shop.

Now, however, the deal appears dead, with the donut franchisee unable to reach agreement with the owner of a closed car dealership on a contract for purchase.

The donut shop, set to be built in Carnegie, Pennsylvania, was to occupy the land at the corner of Chestnut Street and Mansfield Boulevard. The council president said the two sides chatted for months about the terms of a contract but were unable to make a deal. He said the search is on for a new location for the donut shop.

It is an unexpected turn since the deal seemed to be progressing. In the spring, the donut franchisee and the owner of the shuttered car dealership agreed in principal to an agreement for sale.

The general counsel and the vice president for the donut group confirmed that there now was no selected location in Carnegie, but that officials would continue to search for one. He said he could not spell out a schedule for a shop to open.

The donut franchisee could have some competition for building sites, however. The council president said other companies are looking to move to Carnegie, such as a fast-food restaurant that wants to buy a parking lot at the corner of Broadway Street and Mansfield Boulevard.

The council president said commercial businesses that want to move into town will need to be patient. He said businesses have come to learn that Carnegie is an ideal location in which to do business, and that it can take time to open shop.

Even deals that at first seem to be a sure thing aren’t necessarily so. Negotiations take time to iron out.

Source: Pittsburgh Tribune-Review, “Dunkin’ Donuts site in Carnegie not set,” Doug Gulasy, Dec. 29, 2012


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