Grow DeSoto: Lessons from a suburban business incubator

Virtually every community in the United States has underperforming strip shopping centers. These centers were built at a time of greater retail demand, before big box stores and online shopping changed how people shopped. Today, there are simply more of them than can be filled. As their values decline (either through increasing vacancies or more marginal uses), property owners have little incentive to make new investments, thus fueling the negative cycle. They become eyesores, offering less tax base, fewer amenities, and less economic benefit for their communities. Unfortunately, there is no one-size-fits-all solution to this challenge. In most cases, converting these places from liabilities to strong community assets requires creative, locally-tailored, and thoughtful approaches.


The Award-winning Grow DeSoto Marketplace in DeSoto, Texas—located 16 miles south of Downtown Dallas—provides one successful model for how to transform these centers into economic and social hubs, which bring benefits to the community.


A little background: In 2016, Monte Anderson of Options Real Estate (and cofounder of the Incremental Development Alliance) purchased the Brookhollow Shopping Center in DeSoto, the property was functioning, but not thriving. About 25,000 square feet of smaller storefronts were rented out to a dozen businesses, including a pizza shop, watch repair store, florist, doughnut shop, a cleaners, and a Chinese restaurant. At the time, there was an opportunity to rent the anchor building, a 26,000-square-foot former Ace Hardware store, to a Dollar Store. In other words, the property could have been economically sustainable - but hardly of major community benefit.

Monte worked with the City of DeSoto and DeSoto Economic Development Corporation (DEDC) to repurpose the anchor as Grow DeSoto, a business incubator toward the surrounding communities. ASH+LIME was brought on to support the project as well, helping with the zoning, design, event planning, and public outreach. The final project was a curated incubator that hosts about 60 businesses, including numerous small retailers, service businesses, and “micro-restaurants.” It also includes small business consulting and a variety of events to attract visitors. Several outdoor food vendors, in trucks and trailers, help to support the indoor activities. As of August/2021, the Center is thriving despite the pandemic - with an occupancy rate of more than 90%.


While these successes are admirable, we wanted to know whether they were replicable for communities across the nation - particularly as it is relevant to current and prospective ASH+LIME projects.   The ASH+LIME team connected with Monte to gain some insight about Grow DeSoto’s success, then returned to the center to observe it and interview some of the tenants. Based on this, we found a few lessons that we’d like to share.

  • The businesses should focus on doing a few things exceptionally well, rather than spreading out too thin. As Monte puts it - “Be Legendary” 

  • Businesses in incubators need to be carefully curated, to make sure they are helping to fulfil broader goals

  • Businesses should be people who are working with their hands (e.g. craftspeople, cooks, artists) so they keep from being bored or having low morale

  • Incubators need to be run by the right person or team, with an understanding of development, small business support, and the local community

  • Pay close attention to cleanliness and appearance

  • Let the project develop organically - manage enough to maintain quality, but do not micromanage 

  • Incorporate outdoor and indoor gathering spaces and ensure quality placemaking Get broad support from the community/broad partnerships - for example, have a an advisor from the Chamber of Commerce, SCORE or the SBDC at the center

  • Have a wide variety of events to bring in the community

  • Start where you are; you don’t need to start with something extraordinary for it to evolve into something extraordinary


Today, a similar project in Greenville, Wisconsin (near Milwaukee) has been informed and inspired by Grow DeSoto. It is our hope that many more will come to other communities, and new case studies will keep the idea evolving.. 


We hope these insights are helpful! If you’re in the DFW area, we encourage you to explore the project and share your perspectives! And reach out to us if you’re looking for unique perspectives for the challenges faced by your town, city, or development. 


Rik Adamski