Archive for the ‘Business’ Category

The Dierks family and south Arkansas timber

Wednesday, July 23rd, 2014

My longtime friend Len Pitcock of Hot Springs sent me a note today about the home in which he lives, the 1955 Peter Dierks Joers house. Joers died in March 2006, and the home was purchased by Pitcock the following year.

Being a native of south Arkansas, I’ve long been fascinated with the old timber families who owned so much of the southern part of our state in the 20th century. The story of the Dierks family is especially interesting.

Peter Henry Dierks was a German immigrant who became a successful banker and farmer in Iowa. His sons Peter, Hans, Henry and Herman founded the Dierks Coal & Lumber Co. in Lincoln, Neb., in 1895.

Peter Dierks Joers, by the way, was the great-grandson of Peter Henry Dierks.

Peter Henry Dierks married a Danish immigrant named Margaretha Dorothea Tauk. Herman Dierks, who became the brother most associated with Arkansas, was the couple’s seventh child.

In 1897, the Dierks family moved the company headquarters to Kansas City since that city was becoming a center of the timber industry. By the turn of the century, the brothers owned 24 lumberyards. They had made the jump in 1897 from simply selling lumber to manufacturing it following the purchase of a sawmill at Petros, Okla., for $15,000. Because of the lack of large timber reserves in the area, the sawmill closed after three years. The brothers had better luck with their purchase of the Williamson Brothers mill at De Queen. Herman moved to De Queen to manage that mill, starting the Dierks family’s involvement in the state.

Herman began purchasing timberland across southwest Arkansas, beginning with a major tract in northern Howard County.

Herman had been born in Iowa in 1863 and had joined his brother Hans in Nebraska after Hans purchased land along the newly constructed Burlington Railroad. In addition to heading up the family’s Arkansas operations, Herman Dierks served as president of the Florien Lumber Co. in northwest Louisiana, which the brothers purchased in 1906. When Hans died, Herman took over as president of the company and remained in that position until his death in 1946.

The next generation of the family joined the company and spread out to manage mills across Arkansas and Oklahoma. In Oklahoma, there were big lumber mills at Broken Bow and Wright City. The De Queen mill burned in 1909 and was replaced by operations in the Howard County company town of Dierks.

That area of Howard County had been settled by Henry Block, James Wallen and John Cesterson in 1848. A wagon trail connected a settlement known as Hardscrabble to the town of Center Point, which was 10 miles to the south. The area was covered by dense forests of hickory, oak and pine. In the early 1900s, the Dierks family established the De Queen & Eastern Railroad to move workers and supplies into the region while carrying the timber out. Hardscrabble grew rapidly and changed its name to Dierks in honor of oldest brother Hans Dierks.

The Holman Hotel opened there in 1903, a bottling company was opened by John William Pate to produce fruit-flavored sodas in 1907 and many area families gave up their attempts to grow cotton, instead choosing to move into Dierks to work in the mill.

“Hardwood was harvested first and was used largely for barrel staves,” Steven Teske writes for the online Encyclopedia of Arkansas History & Culture. “Around 1917, the hardwood had been exhausted, and interest turned to the softer pine wood. The Dierks company built a sawmill in the city, and the population continued to grow. The racial composition of the community also began to change. At the time of the 1910 census, Dierks had been home to only one African-American resident. In 1917, with the new sawmill — and with many men joining the armed forces during World War I — the company created a segregated neighborhood for black workers and their families. The neighborhood included a hotel, two churches, a school and stores. The Dierks company also operated a large store, which they called the Big Store, for white residents of the area.”

In October 1925, the company made a huge land acquisition in the Ouachita Mountains when it bought the Yell Lumber Co. Almost 88,000 acres of timberland came with that purchase. The timber was used to supply a massive mill built at Mountain Pine in 1928.

It’s safe to say that the cities of Mountain Pine and Dierks owe their existence to the company. At one point, the family holdings grew to 1.8 million acres of timberland, making the Dierks family one of the largest landowners in the country.

The Dierks Lumber & Coal Co. changed its name to Dierks Forests Inc. in 1954.

According to the Arkansas Historic Preservation Program: “The company, always family owned, had undertaken a number of innovative projects to capitalize their investments and maintain profits, including the construction of box factories, facilities for the production of pressure-treated wood products, facilities to make fiberboard and a small paper mill. By the late 1960s, these operations were still managed by the grandsons and one great-grandson, Peter Dierks Joers. The family stockholders, now numbering in the hundreds, had diverse interests and small share holdings. When approached by Weyerhaeuser, the offer of $317 million in cash and preferred stock was too much to pass up. In September 1969, Dierks Forests Inc.’s 1.8 million acres of land, three sawmills, paper mill, treating plant, wood fiber plant, gypsum wallboard plant, two railroads and smaller facilities were sold to Weyerhaeuser.”

As for the town of Dierks, the Big Store closed in 1970. A plywood mill built by Weyerhaeuser replaced the old Afraican-American community. By the late 1980s, there were no black residents of Dierks. The Dierks population in the 2010 census was 1,133 residents, down from a high of 1,544 residents in the 1930 census.

Peter Dierks Joers continued to live in Arkansas after the company was sold. He had been born in Kansas City in 1919, graduated from the U.S. Naval Academy and went to work for the Dierks Lumber & Coal Co. in 1946. He became the board chairman in 1965.

The Arkansas Historic Preservation Program notes: “Joers was considered one of the state’s most prominent businessmen. In addition to holding a number of high-level positions in family-owned businesses, Joers also served on various boards and commissions including the Arkansas Forestry Commission, the Arkansas State Chamber of Commerce, the Arkansas Wood Products Association, Arkansas Blue Cross Blue Shield and Keep Arkansas Green. He twice was elected president of the Associated  Industries of Arkansas and served on the U.S. Chamber of Commerce’s natural resources council. In 1970, Joers was appointed by President Nixon to the U.S. Government Procurement Commission.

“Joers consistently worked to improve the community, attempting at one point in the 1970s to attract a branch of the Smithsonian Institution to Hot Springs. He offered to donate 100 acres for the construction of a museum. Joers died March 23, 2006, in Hot Springs, where he is buried. The home remained vacant yet cared for by a full-time staff until it was purchased by Kathleen and Len Pitcock in June 2007.”

Joers purchased the 10 acres where the home sits from Mose Klyman in 1954 at a cost of $10,000. A Dallas builder named Hal Anderson oversaw the $138,000 home project in 1954-55. Joers spared no expense. A pool was added at a cost of $10,522. The family company supplied premium-grade wood for the interior of the home. Texas limestone was brought in by Texas Quarries Inc. of Austin. A company known as Scandinavian Art Metal of California did custom copper work. The Dunbar Furniture Co. of Indiana was hired to provide the dining room table and its matching sideboard.

Another architecturally significant structure in Hot Springs with a connection to the Dierks family is the company’s former headquarters building, which was designed in 1956 by the father-son architectural team of Irvin McDaniel Sr. and Irvin McDaniel Jr.

McDaniel Jr. had dropped out of school when he was a high school senior in 1941 to join the Canadian Air Force. His plane was shot down by the Germans over the North Sea. He floated in a raft for four days before being rescused by a Danish fisherman, who took him to Denmark and turned him over to the Germans. McDaniel was a prisoner of war for more than two years before being part of the great escape from Stalag III. He studied architecture for eight to 14 hours a day in prison because there was nothing else to do. The younger McDaniel later practiced in Hot Springs and died in 1978.

The Dierks family moved the company headquarters from Kansas City to Hot Springs when the building at 810 Whittington Ave. was completed. People’s Ice Manufacturing Co. had been at the site.

A streetcar barn was just to the west of the building. Just past that was Whittington Park, a baseball field that opened in 1894 and was used by many professional baseball teams for spring training. The field also was used for high school football games and other events. It was torn down in 1942.

Weyerhaeuser now uses the Dierks building for offices. The site of the baseball field is a parking lot these days.

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A new owner for That Bookstore

Thursday, May 15th, 2014

Here’s how the entry in the Encyclopedia of Arkansas History & Culture begins for That Bookstore in Blytheville: “With its straightforward name and the legacy of a legendary proprietress, That Bookstore in Blytheville might be Arkansas’ best-known bookstore. In the early 1970s, Mary Gay Shipley, then a schoolteacher, saw a void in her hometown and opened a paperback exchange store affiliated with a Memphis group called The Book Rack. The bookstore has remained at 316 W. Main St. since 1976. Though locals called it ‘that bookstore’ for years, the store did not become officially known as That Bookstore in Blytheville until 1994.”

Back in February of 2012, I thought That Bookstore was a goner.

Shipley had decided, just prior to her 68th birthday, to retire. She was looking for a buyer, and I doubted a buyer could be found for such a business in a struggling Delta town.

In 2009, That Bookstore had been nominated for the Publishers Weekly Bookseller of the Year award. Shipley wrote in her submission to the magazine: “I opened the bookstore in my hometown of Blytheville because I saw a need. With only a tiny library and no place to buy books, a bookstore that would encourage reading and book conversations became my dream. My goal was, and still is, to create a good bookstore, not merely a store good enough for Blytheville, but a good bookstore. … TBIB understands that we sell a product offered free only a block away at the public library and often available at Walmart for about the same price we pay our suppliers. As a result, we are heavily dependent on customer service. But what is good customer service? For TBIB, customer service is about more than pleasantries and waiting on people immediately. It is about more than knowing our products. For us, service centers on knowing our customers.

“Books are very personal, and our business is to get to know our customers and embrace their reading choices and event interests. We serve with a positive mindset, and no matter who the bookseller might be, our customers know they are always speaking to another book lover.”

Shipley told Dan Broun for a 2008 publication that Broun wrote on the creative economy in Arkansas: “We’re still in business because of John Grisham.”

That Bookstore was among a handful of stores to have Grisham, an Arkansas native, for a signing following the publication of his first novel. He rewarded the store by returning time after time through the years for book signings.

Broun wrote: “When most authors announce their book tours, you can usually guess the stops: the big cities, of course, like New York, Boston, Chicago and Los Angeles, and perhaps some college towns with literary bents like Charlottesville, Ann Arbor or Berkeley. So you might be surprised to find your favorite author scheduling a stop in little Blytheville.”

In 2008, an Associated Press travel writer listed That Bookstore among nine destination bookstores in the country, putting it in the company of The Strand in New York.

That same year, Main Street Arkansas named That Bookstore in Blytheville as its Main Street Merchant of the Year.

AY magazine’s list of Arkansas’ 12 most powerful women had Shipley on it.

How on earth, I wondered at the time, would we find someone with the business savvy, determination and marketing ability of Mary Gay Shipley to run a small business in downtown Blytheville?

She said she would part with the 2,400-square-foot building for just $35,000. Shipley also said at the time that she had spoken to Grisham and that he had agreed to “continue to support the store with the new owner.”

In November 2012, Shipley announced that there was a new owner — a 22-year-old nonfiction writer from Mountain Home named Grant Hill.

Hill loves books. He loves writing. But the pressures of running a small business proved daunting for such a young man.

“I had been talking to my folks and doing the math — and checking my blood pressure — and came to the conclusion that I needed to look for a way to, in a sense, minimize any damage to the bookstore and my own health,” Hill told the Courier News at Blytheville in a frank interview in December of last year. “I hadn’t really even told anybody that I wanted to sell the business, and Chris Crawley came in like two days later. Chris and I have had a working relationship since I moved here, and he has done work with the bookstore and me. He said, ‘I’d like to talk to you about us possibly working out a deal to buy the bookstore.’”

Within two weeks of that conversation, Crawley and attorney Yolanda Harrison had purchased That Bookstore in Blytheville.

“I talked with Mary Gay about it, and she really understood that my goal was to see this store succeed, for the community not to lose the store, however that had to happen,” Hill said. “I knew it had to be someone else who would be more prepared, and particularly since it’s a couple, which doubles the amount of work that can get done. I was always committed to seeing the store succeed. I knew with Chris and Yolanda that I had found someone who could do that. That’s why we moved so quickly.”

On Good Friday, as a group of us ate our way through the Arkansas Delta (see the previous two Southern Fried posts), we stopped by the store.

We walked in, and Crawley immediately called out to us, “Come on in and make yourself at home. We have some fresh coffee on.”

It was almost as if Mary Gay Shipley were back in charge.

I introduced myself to Crawley and learned his story.

Here’s part of that story in his own words: “I am a Blythevillian. My birth was at Dr. Fairley’s clinic in Luxora. My parents were Sol and Girtie Crawley. They were sharecroppers, and later my father built houses for people who could afford them. I had eight siblings — five sisters and three brothers. I have one sister left in Milwaukee and one sister in Blytheville. I’m the last brother standing.

“I attended Robinson Elementary School, Lange Elementary School and an assortment of schools as my mother’s Alzheimer’s and dementia became more than anyone should have to bear. At age 11, I went to Wrightsville School for Boys before the foster care system relegated me to Poplar Grove near my school in Marvell, where I graduated with honors. From frequent visits to see my family in Blytheville from the time before I was 16 in early 1976 until October 2012 when I was 52, the Book Rack and later That Bookstore in Blytheville figured strongly in my development and focus.

“Prominent in my memory are Mrs. Harrison, my first-grade teacher; Mrs. Wiggs, my fifth-grade teacher; Mrs. Butler, my seventh-grade teacher; Mrs. Rowland, my junior high school principal; Mrs Nichols, a high school teacher; and Mary Gay Shipley, the owner of the bookstore. There were other teachers and books. Together and collectively, they were the cause of it all.”

Crawley said he “took the first thing smoking” out of Arkansas the day after his high school graduation at Marvell. He moved to Milwaukee. He attended Marquette University and later graduated from the University of Wisconsin at Milwaukee. Crawley went on to obtain a master’s degree from Cardinal Stritch University, a small Catholic school at Milwaukee. He did employment policy, staffing and technology work in Milwaukee before moving to Los Angeles to work as a talent manager. After three strokes due to toxic black mold infestation, Crawley moved home to Blytheville.

“I came back to Blytheville to die, but God had other plans for me,” he said.

Books always provided a refuge for Crawley.

“My love affair with books began at an early age,” he said. “Reality was sometimes bleak and seemingly proscribed. I loved books because they gave me options. They piqued my interests. Even when I was avoiding school, I could often be found reading one of my favorite books. Even in my young teens, I thought owning a bookstore would be a little piece of heaven. … I see the bookstore as a mechanism to uplift the town’s spirit.”

Crawley described himself as a “resurrection, restoration and renovation project inspired by God. I want to be a resurrection, restoration and renovation project for That Bookstore in Blytheville and the surrounding communities. I want to improve the look of the store inside and out. I want to increase the inventory, expand product offerings beyond books, bring back the high-quality authors for book signings, conduct new author forums, reintroduce national book tours to Blytheville, present live music, host book and poetry clubs, grow the event calendar, have children’s reading hours, rebuild the website, increase the level of social media interaction and more.”

It’s an ambitious agenda for a man who thought he was coming home to die.

“I want to make the bookstore a place where people will visit and say, ‘That Book in Blytheville is wonderful. It’s more than just a bookstore.’”

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Examples for the Spa City

Thursday, April 17th, 2014

They held the third in a series of town meetings at Hot Springs on Monday night.

For three consecutive Mondays, the room was packed as the Downtown Game Plan Task Force heard from various entities.

This week’s meeting had a far different tone than the meeting the previous week.

On April 7, the crowd included some of the downtown property owners who are the very source of the sad state of affairs that afflicts what once was one of the most famous stretches of street in the South — the part of Central Avenue from Grand to Park. As I’ve written on this blog more than once, that stretch of street (which includes Bathhouse Row) is iconic.

It is to us what Beale Street and Music Row are to Tennessee.

It is to us what Bourbon Street and St. Charles Avenue are to Louisiana.

It is to us what the San Antonio River Walk is to Texas.

The River Walk is the No. 1 tourist attraction in the Lone Star State.

Hot Springs is the No. 1 tourist attraction in Arkansas.

Imagine how Texans would react if someone were to dump raw sewage day after day into that stretch of the San Antonio River.

Yet having thousands upon thousands of square feet of unused space in historic buildings that continue to deteriorate is the Arkansas equivalent of just that.

It is the shame of this entire state.

On April 7, we heard property owners whine about why they couldn’t do certain things. Some of them most likely will weigh in again in the comments section at the bottom of this post.

I’ve heard by telephone and email from many of those property owners and even the mayor. Because of my interest in downtown Hot Springs, I’ve read everything they’ve sent me. I’ve tried to keep an open mind. If the city has not communicated properly with them in the past, then shame on city government. Communication is vital.

You might have noticed that I haven’t written anything in several weeks in order to hear from as many people as possible. I’ve come to this conclusion: Despite the complaints of a few property owners, city manager David Watkins and Greater Hot Springs Chamber of Commerce executive director Jim Fram are two of the best things to happen to the city. They come from elsewhere. They have good track records. They’ve seen what works and what doesn’t work. They’re not beholden to the old power structure. They’re forcing change.

Change is never easy.

The message on April 7 from certain property owners was this: “We need to slow down.”

My message on April 14 was this: “We’ve been moving slowly in downtown Hot Springs for more than 40 years. If anything, it’s time to speed up.”

Yes, property owners’ voices must be heard. Government actions must be transparent. There must be a better job done promoting those businesses that are downtown. Ultimately, though, the property owners who want to blame their own inaction on the city have been unable to win my sympathy.

Here’s the bottom line: Either develop your properties or put them on the market at a reasonable price so we can see if there are people out there with the will and capital to do so. To have empty upper floors in so many downtown buildings is no longer acceptable. We as Arkansans are holding you directly accountable for the deterioration of the national treasure that is downtown Hot Springs.

As I said, the meeting’s tone on April 14 was different. It was optimistic. That’s because there were can-do people from three cities — one in the north third of the state, one in the central third of the state and one in the south third of the state. Those cities have become examples not just for other cities in Arkansas but also for communities across the country on how you accomplish downtown revitalization.

There was Mayor Bob McCaslin of Bentonville.

There was private developer Richard Mason of El Dorado.

And there was Brad Lacy, the president and CEO of the Conway Area Chamber of Commerce.

“If you wait for everybody to agree, it will never happen,” Lacy said.

Sound advice.

Some people won’t be happy. That’s no reason for the business, government and civic leadership of Hot Springs to slow down now.

In the 1970 census, Hot Springs had a population of 35,631 people. The city had grown steadily in every census since 1860.

Conway had a population of 15,510 in that 1970 census.

So Hot Springs was more than twice as large as Conway. Look at the two cities now.

In the 2010 census, Conway was at 58,908. The city’s population is estimated to be more than 63,000 now.

Hot Springs had 35,193 residents in the 2010 census, fewer than it had four decades earlier.

What happened?

In the knowledge-based economy of the 21st century, it’s a huge asset for Conway to be the home of three four-year institutions of higher education — Central Baptist College, Hendrix College (I represent both Central Baptist and Hendrix in my job as president of Arkansas’ Independent Colleges & Universities) and the University of Central Arkansas.

What Conway did was build an environment that would attract young, talented people who wanted to call the city home after college.

Hot Springs — with its many arts and entertainment venues — could also become a “hot spot” for the young and talented if it would create downtown residential opportunities.

In this century, economic development is all about attracting talent.

“We’ve been very deliberate in recruiting more white-collar employees to town,” Lacy said. “You have to get the coolness factor right. Young professionals want things that are different from what Conway traditionally offered.”

He said Conway experienced a crisis of confidence in the 1990s when high-tech Acxiom decided to move its corporate headquarters to Little Rock. Though Acxiom still employs far more people in Conway than in Little Rock, the fact that the company’s top executives would now be working in the capital city caused Conway’s leaders to examine their priorities.

Lacy went to work in 2000 and discovered that downtown Conway was dead at night.

“You could shoot a gun down the street at 6 p.m. and not hit anyone,” he said. “We were standing downtown one night and a car filled with people from out of state came by. One of the people in the car rolled down his window and screamed out, ‘Hey, nice downtown.’ He was being sarcastic. We got the message. It was another wake-up call for us.”

Hopefully, the fire that destroyed the oldest section of the Majestic Hotel in late February has provided a similar wake-up call for Hot Springs.

The Conway Downtown Partnership was formed in 2001, and the trajectory has been straight up since that time.

“We have more multifamily projects coming online,” Lacy said. “We want to extend that downtown feeling farther toward Interstate 40.”

Near downtown, the Village at Hendrix is among the best of the so-called New Urbanism projects in the country. Smart, talented people who could live in much larger cities are moving to Conway. And more and more of them are choosing to live in or near downtown.

McCaslin, the Bentonville mayor, is a native of Hot Springs. Like most Hot Springs natives, he loves the town and wants to see it prosper.

He was transferred by the food company for which he worked to Bentonville in 1996 to service the Walmart account — part of that “vendor revolution” that helped propel the explosive growth of Benton County and Washington County. McCaslin retired from the company in 2002 and ran for a city council position. Four years later, he was elected mayor. In 2007, voters in Bentonville overwhelmingly approved a massive bond issue (to be paid off by one cent of the city’s sales tax) for improvements in five areas. The bond issue included $85 million for street improvements and $15 million for park improvements. In identifying where to spend the money, the Bentonville city fathers pointed to downtown as one of the city’s strengths. There’s a charming town square, which was the home of Sam Walton’s five-and-dime store.

Streets were improved downtown. There was extensive landscaping done.

“Renovating downtown was the greatest investment we could have made with those taxpayer dollars,” McCaslin said. “There has to be a community and political will to make these kinds of things happen. I can tell you that Hot Springs has a lot better bones to work with than we did at the start. Hot Springs has more history. Your downtown footprint is bigger. You have a bigger palette to work on than we did.”

By the way, Bentonville had a population of 5,508 in that 1970 census. The population was 35,301 in the 2010 census.

Of course it helps to have the Walmart headquarters.

It helps to have Alice Walton create one of the world’s top art museums, Crystal Bridges Museum of American Art, and place it near downtown.

I can hear the whiners in Hot Springs now: “If only we had an Alice Walton.”

Consider what you DO have: The first “national reservation” (later to become a national park) in America; the hot springs; Bathhouse Row; the city’s rich history.

These are things no billionaire could buy. Build on those assets.

The story in El Dorado is different from the ones at Conway and Bentonville. If anything, it’s even more impressive given the years of population loss in far south Arkansas.

In the 1920 census, El Dorado had a population of 3,887 people. In January 1921, oil was discovered. By 1923, there were an estimated 40,000 people living in El Dorado. That had leveled off to a population of 16,421 by the 1940 census. In 1960, there were 25,292 El Dorado residents. The city has lost population in each census since then, falling to 18,884 by the 2010 census.

“We started a long decline in the 1960s,” said Mason, who has been involved for years in the oil and gas business. “Cities need a vision, and we didn’t have one.”

He talked of old families who made no improvements to the buildings they owned (does that sound familiar, Hot Springs?). Eventually, Mason purchased 17 buildings, renovating all of them along the way.

“To attract a quality tenant, you have to have a quality piece of property,” Mason said. “I think you should look seriously at Central Avenue and encourage business owners to begin buying these properties up. You want downtown to be your key destination. It should be special because there’s only one downtown in each city. We now have one of the best retail districts in the state. We’ve recently raised $45 million to make El Dorado what we’re calling the Festival City of the South.”

More than 1,000 trees have been planted along the downtown streets in El Dorado, and there are planters filled with seasonal flowers. Mason talked of women who come from much larger cities such as Shreveport to do their Christmas shopping in El Dorado due to the festive atmosphere. He said he sees no reason why downtown Hot Springs couldn’t become a regional retail destination.

“Sooner or later, everybody in Arkansas is going to come to Hot Springs,” Mason said.

Here are words from Mason that everyone in Hot Springs must hear: “If the downtown is perceived to be dead and dying, the whole town is perceived as dead and dying. The downtown is more important than most people realize.”

Yes, for more than 40 years, Hot Springs has neglected its historic downtown in favor of development in other parts of the city. Now, a rare window of opportunity is open. Sometimes it just takes that first domino to fall and start other things happening in a neighborhood.

Perhaps that domino was the announcement Wednesday that Henderson State University will place an education center in the Landmark Building at the downtown intersection of Central Avenue, Market Street, Ouachita Avenue and Olive Street. The center will be ready in time for fall semester courses and bring new life to that part of downtown.

Bringing life back to a dying downtown.

Conway did it.

Bentonville did it.

El Dorado did it.

Hot Springs starts with so much more than those cities had at the start of their downtown revitalization efforts. Due to the historic nature of the buildings in downtown Hot Springs, I would contend that the owners of those properties have certain stewardship responsibilities that go beyond their bottom lines. They are called on to be something more than mere monthly rent collectors. If they cannot live up to those responsibilities, it’s time to give someone else a chance.

Who will be the Richard Mason of the Spa City?

It’s time to act. Hot Springs business, civic and political leaders: You’ve neglected the state’s most noted stretch of street for far too long.

People across the state are watching to see if you take advantage of this window of opportunity or squander it. History will not judge kindly those who were on the wrong side at this critical juncture in the history of Hot Springs.

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Little Rock’s downtown renaissance

Thursday, March 13th, 2014

It’s finally happening.

The pace of redevelopment in downtown Little Rock has reached critical mass.

It’s now safe to say that downtown is back.

The announcement came earlier this week that the Chi family of Little Rock — which already owns five restaurants and two motels in the capital city — has purchased the Boyle Building at the intersection of Capitol and Main and will transform it into a hotel.

In the nearby River Market District, construction will begin soon on a Hilton Garden Inn and a Hilton Homewood Suites. Add to the mix the millions of dollars in renovations being done at the Marriott Little Rock and upgrades made in recent years at the Doubletree Hotel. Also add in the addition of the Courtyard by Marriott in 2004, the Hampton Inn and Suites in 2008 and the Residence Inn by Marriott last year. A few blocks away, the Capital Hotel remains, quite simply, one of the finest hotels in the country.

The restaurant scene downtown is as busy as the hotel scene. In the River Market District, high-dollar Cache and down-home Gus’s are packing them in during their first months of business. On one end of Main Street, the reincarnation of Bruno’s Little Italy is doing a brisk business. On the other end of Main Street, South on Main is receiving rave reviews from foodies across the country.

Developer Scott Reed and his partners continue work on the Main Street Lofts and the K Lofts, which will bring hundreds of new residents to the street. The Mann on Main, the building that houses Bruno’s, has already brought more office workers during the day and residents at night.

Over on Capitol Avenue, Reed and his partners are about to transform the Hall-Davidson Building into more loft apartments. The ground floor of that complex reportedly will house a fancy restaurant known as The Still with Chef Donnie Ferneau at the helm. The new owners of the Lafayette Building, meanwhile, are promising to bring a restaurant to that historic facility and increase its role as a place for meetings, wedding receptions and the like.

Back on Main Street, expansions and relocations for organizations such as the Arkansas Symphony Orchestra, Ballet Arkansas and the Arkansas Repertory Theater are making the idea of a creative corridor a reality. That corridor also will be the home of Kent Walker Artisan Cheese. An underground space will include rooms for manufacturing and aging along with a tasting room that will serve cheese, wine and beer.

“It’s basically the opposite of a wine bar, where you have all of these awesome wines and five cheeses that they just grab,” Walker told Sync earlier this year. “Here you’ll have a whole bunch of awesome cheese, not just our own stuff. We’ll rotate out a few wines and beers, both local and from elsewhere. It’s a unique space and should provide a pretty neat look into the science of cheese aging.”

As the downtown lofts fill up with residents, expect even more upscale businesses — art galleries, wine bars, gourmet food stores and the like — to join Walker. As I said at the outset, critical mass is being reached. Success will begat success.

A bit further north on Main Street, the advertising and public relations firm Cranford Johnson Robinson Woods will move into the Fulk Building, where Bennett’s Military Supply long was located. Across the street, the building that housed Mr. Cool’s Clothing will be the home of Jones Film Video, a CJRW subsidiary. In other words, even more creative folks are coming to Main Street. Just down the street, the well-known bicycle manufacturer Orbea has opened a facility. There’s already a fancy cigar bar on Main Street.

Artisanal cheese, expensive bicycles, boutique hotels, ballet studios, hip restaurants, cigar bars.

Is this downtown Little Rock or is this Portland?

“Our agency has always been located in the heart of downtown, and we’ve been looking at several options for the better part of a year now,” says Wayne Woods of CJRW. “When we considered what we’ll need moving forward, the Third and Main location made all the sense in the world. To the extent that our move will advance all that is going on in the Main Street corridor, we’re very pleased.”

There’s something else you can factor into all of this development downtown. At some point soon, more than $20 million of city sales tax revenues will be invested downtown for a technology park. Yet more creative people. Yet more customers to eat cheese, smoke cigars and sip wine.

Doug Meyer of Terraforma, the development company renovating the two Main Street buildings for CJRW, told KATV-TV, Channel 7, this week: “It’s like $60 million under contract right now on Main Street. … With all the momentum on Main Street, this thing is snowballing. It’s wonderful.”

I’ll say.

Private investors and government aren’t the only ones getting in on the act, either. The nonprofit sector is also active.

Last month, the Junior League of Little Rock announced a $1.1 million capital campaign for the old Woman’s City Club, its headquarters at Fourth and Scott. The Junior League plans to transform the building’s third floor into a center for small and startup nonprofits. The center will have the capacity for six organizations and 17 employees. Also planned are landscape improvements, parking lot enhancements, iron fencing, new lights and structural upgrades to the 1910 building.

“This is a transformational project for our community,” says Mary-Margaret Marks, the Junior League president. “The nonprofit center will enhance job creation and economic development.”

Compare this revolution to where we were just a few years ago in downtown Little Rock.

Here’s how the Arkansas Historic Preservation Program described the downfall of downtown: “Starting in the late 1960s, downtown Little Rock experienced a marked decline that it has yet to recover from. This decline was caused by a number of factors. Starting with the post-World War II economic boom, the availability and affordability of automobiles allowed for a dramatic increase in ownership. With more cars on the road, downtown began to develop a traffic problem. These new cars allowed for the continued growth of suburban areas. Interstates 30 and 40 were constructed around Little Rock, making it even easier to live outside the city and still access the amenities of city life. This triggered westward growth and the development of suburbs like Maumelle in the 1970s.

“In addition to normal suburban growth, the 1980s was an era of white flight. This was due to the many desegregation issues that the area schools faced. The area desegregation program assigned students to neighborhood schools and allowed majority students to transfer into minority schools. However, this program led to de facto segregation as the racial makeup of most of the neighborhoods was homogenous.

“In 1982, the mostly African-American Little Rock School District sued the mostly white North Little Rock and Pulaski County school districts to create a singe district with a countywide busing program to end segregation. During the next three years, the districts were ordered to consolidate, and then that order was overturned. The instability of the districts and desegregation issues caused many parents to move their children to suburban districts.

“Between 1960 and 1980, Little Rock’s population grew by about 10 percent while the combined population of the suburban cities of Benton, Bryant, Cabot, Conway, Jacksonville, North Little Rock and Sherwood grew by almost 120 percent. Because of the suburbanization, strip malls and other types of retail centers developed, such as the 1959 construction of Park Plaza off University Avenue and the 1973 construction of McCain Mall in North Little Rock.

“The modern malls drew crowds of shoppers who wanted less complicated traffic, more convenient locations and more parking. These new shopping centers undermined the Capitol Avenue and Main Street commercial district, especially because many of the businesses in the district opened profitable branches in the new shopping centers, removing the customers’ need to travel to Main Street.”

As it turned out, the salvation of downtown Little Rock would not be the return of large retailers.

Instead, the comeback is based on small entrepreneurs, restaurants, bars, apartments, condominiums, hotels and the arts.

Downtown’s demise took decades.

Even the sunniest optimist could not have predicted that the renaissance would occur with such force.

 

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Building Pine Bluff — Ramsay, May, Makris

Wednesday, February 5th, 2014

I was delighted to open the Arkansas Democrat-Gazette early Sunday morning and see George Makris Jr. of Pine Bluff gracing the front of the newspaper’s High Profile section.

My weekly newspaper column just four days earlier had been devoted to Pine Bluff. I had noted how Makris fell in line with his predecessors as CEO of Simmons First National Corp. – Arkansas business legends Louis Ramsay and Tommy May.

Many people in the financial sector had speculated in recent years that Simmons would move its senior management team to Little Rock once May retired. The selection of Makris by the Simmons board — he’s a Pine Bluff native with deep roots in the community — as May’s successor sent a signal that Simmons will remain headquartered in Jefferson County.

Yes, the Simmons name will be on the state’s tallest building — the 40-story Metropolitan Tower in downtown Little Rock — by late March. Simmons, which has operations in Missouri and Kansas in addition to its Arkansas operations, bought Metropolitan National Bank out of bankruptcy in November.  The two banking systems are to be integrated by March 21. But despite the fact that the big “S” will shine down on the capital city, Simmons will still be a Pine Bluff-based business.

Imagine what downtown Pine Bluff — already desolate along several blocks of Main Street — would be without the Simmons headquarters there?

The continued presence of the Simmons executive suite also is important psychologically in a city that has seen its population decline from 57,140 in the 1990 census to 55,085 in the 2000 census to 49,083 in the 2010 census.

Simmons National Bank opened its doors at the corner of Main and Barraque streets on March 23, 1903, with four employees. Total deposits were $3,338.22.

The trust department opened in June 1922. Simmons’ historians will tell you with pride that it was among the first Arkansas banks to reopen without restrictions following the federally imposed bank holiday in 1933 as Franklin Roosevelt set out to fight the Great Depression. The word “First” was added to the bank’s name in 1960. The move into Missouri and Kansas occurred in 2010.

Pine Bluff long was known for its strong business leadership. Ramsay was Mr. Pine Bluff, if not Mr. Arkansas.

When I first joined the board of the Arkansas Sports Hall of Fame almost two decades ago as the youngest board member, there were giants such as Ramsay who were part of the organization. I would sit quietly at board meetings and listen to those wise men.

Louis Ramsay was the only person to serve as president of both the Arkansas Bar Association and the Arkansas Bankers Association. At the time of his death in 2004 at age 85, he had been associated with Simmons for 52 years — as a director and later as president, chief executive officer and chairman. His former law partner, Bill Bridgforth, said of Ramsay: “He had a way of making the right result happen. In everything that he did, he exemplified the way people should conduct their personal and professional lives with integrity.”

May, who had known Ramsay for almost three decades, said at the time of Ramsay’s death: “He loved his church, his family, Arkansas, Pine Bluff and his beloved Razorbacks. He certainly will be remembered for his leadership in the legal profession, banking industry and higher education. Likewise, to many, he will be remembered for his compassion for others. He never met a stranger, and he always would spend time listening to anyone about their challenges or accomplishments. Mr. Ramsay always found a way to help others come up with the right decision when their challenges were greatest, and he found a way to share the enthusiasm when others found success.”

Those quotes reminded me of the quotes in that High Profile story about Makris. Everyone talked about Makris’ love for Pine Bluff and his ability to make things happen.

I have to believe that if Louis Ramsay were around today, he would be pleased by the choice of George Makris Jr. at Simmons.

May said it was Ramsay who coined the Simmons motto: “We don’t do extraordinary things; we simply do ordinary things extraordinarily well.”

“Mr. Ramsay was an ordinary man who spent a lifetime doing ordinary things extraordinarily well, and we are the beneficiaries of his work,” May said. “If I could take one person and say this is who I would like my children to be like, it would be Mr. Ramsay.”

Ramsay was inducted into the Arkansas Business Hall of Fame in 2003.

Like Makris, Ramsay was a son of south Arkansas whose early career choice wasn’t banking. Ramsay grew up at Fordyce and often would go to the Dallas County Courthouse to watch criminal trials. Following his high school graduation in 1937, he headed east on an athletic scholarship to the University of Alabama. But he missed Arkansas and came back to the state to play football at the University of Arkansas. Ramsay served during World War II and he wound up as a major in the Army Air Corps. He returned to Fayetteville after the war and received a law degree in 1947.

A friend from Pine Bluff, Harvey McGeorge, suggested that Ramsay consider joining the Pine Bluff law firm that had been founded by William Franklin Coleman and Nicholas J. Gantt Jr. in 1911. Ramsay did indeed join the firm and stayed there. He was a board member at Simmons in 1970 when other board members asked him to take over the bank.

“I told them that I wasn’t sure I was the right person,” Ramsay told Arkansas Business in 2003. “I always wanted to be a lawyer.”

A deal was made that allowed him to remain with the law firm while also running the bank “so I would have a job to come back to if the bank job didn’t work out.”

Things worked out in banking. Ramsay was the Simmons CEO by 1974 and the company’s chairman by 1978.

In that interview with Arkansas Business, Ramsay talked about his passion for advancing Arkansas: “I love this state. I believe it’s poised to overcome some of its past. I’m always disappointed when I see things that set us back. I remember back to Bob Burns and Lum and Abner. But it’s now poised — if we take advantage of the opportunities — to get a better reputation. I look at the growth in northwest Arkansas. I see the expansion at Wal-Mart and the trucking industry in the state, at businesses like Stephens and Dillard’s, and I see the state doing much better.”

Ramsay talked about the importance of unity in a state of fewer than 3 million people: “We need to unify in an all-out effort and support efforts to gain new business anywhere in the state. We need to stop the competition among ourselves. If Pine Bluff can help Marion get a Toyota assembly plant, do it. If we can help west Arkansas get Interstate 49, we should do it. Unity is important for the state. We can overcome a lot, but we need to work together.”

Ramsay was a member of the University of Arkansas Board of Trustees from 1971-81 and also served as the board chairman of the Arkansas Science  and Technology Authority, Arkansas Blue Cross Blue Shield and the University of Arkansas Foundation. When then-Gov. Bill Clinton appointed Ramsay to chair the state’s sesquicentennial celebration in 1986, he said that Ramsay “represented everything good about the state of Arkansas.”

Tommy May is also a son of south Arkansas. He was born at Prescott in December 1946 and raised at El Dorado.

May went to college at the University of Arkansas. His hard-nosed father, a lawyer named Buck May, pulled him out of school after two years because he was unhappy with his son’s grades. Tommy May worked on a pipeline project in the pine woods of south Arkansas before joining the U.S. Marine Corps in 1967. He served in Vietnam and then returned to Fayetteville after his discharge from military duty. A much more mature Tommy May had better grades this time around. He received his bachelor’s degree in 1971 and his master’s of business administration degree in 1972. The CEO of First National Bank of Commerce in New Orleans came to the Fayetteville campus for interviews and offered May a job in New Orleans.

May returned to El Dorado from the Crescent City in 1976 to work for Exchange Bank. He became the bank’s president and CEO in 1981. In 1987, Ramsay convinced May to make the move to Simmons. Like Ramsay before him, May spent a decade as a member of the University of Arkansas Board of Trustees. In 2007, he received the University of Arkansas Chancellor’s Medal and the Walton College of Business’ Lifetime Achievement Award.

May was inducted into the Arkansas Business Hall of Fame in February 2010.

During Simmons’ annual shareholders’ meeting last April, Makris announced that May would be the inaugural chairman of the Simmons First Foundation. The foundation is funded with an initial endowment of $1 million. Because of his weakened voice due to ALS, May addressed the crowd in a video and noted that Makris is “the right person at the right time to lead what I think is an exceptional management team.”

Makris, 57, has spent his career building his family’s Anheuser-Busch distributorship, M.K. Distributors Inc. He served 12 years as a director at Pine Bluff’s National Bank of Commerce and has been a Simmons director since 1997.

In a feature on Makris in Arkansas Business last May, Gwen Moritz wrote: “If there’s anything all that experience has taught George Makris, it’s that he is not a banker. … But he is a marketer — M.K. received regional and national awards from Anheuser-Busch in March — and marketing may be what Simmons First National Corp. needs now more than ever as it looks to untapped — if you’ll pardon the beer pun — markets in Missouri and Kansas for the growth that simply isn’t available back home.”

Makris’ father started the beer distributorship in 1964. The younger Makris attended the public schools in Pine Bluff, where he excelled in football and baseball. He began college at Washington and Lee University in Virginia — which has long had a connection to a number of notable Arkansas families — before transferring to what’s now Rhodes College (then Southwestern) at Memphis. He went on to earn an MBA at the University of Arkansas and was considering entering law school when his father told him: “You’ve been in school long enough.”

George Jr. returned home to Pine Bluff and joined the family business. He married Debbie Kirkpatrick, the daughter of Quality Foods founder Don Kirkpatrick, in 1980 and the couple had three sons.

Makris told Talk Business Arkansas last year: “What’s important to me is the relationship that Simmons has to Pine Bluff. It means so much to this community and, quite honestly, this community means quite a bit to Simmons.”

Roby Brock wrote in the story: “Makris acknowledges that the southeast Arkansas town has been hit hard by a decline in population and a loss of business leadership. In the past two decades, financial sector changes wiped out a swath of Pine Bluff banking executives. Some moved to central Arkansas endeavors, some passed away, others phased out as banks merged, and the savings and loan crisis of the late 1980s led to the exiting of others.”

“That’s a lot of lost leadership,” Makris said.

There’s a bit of gallows humor among the business leadership in Pine Bluff when it’s said: “What’s the nicest neighborhood in Pine Bluff? Lake Hamilton.”

Indeed, in the formerly ritzy neighborhoods near the Pine Bluff Country Club, “for sale” signs are common, and homes are a bargain.

Makris, though, sees a number of positive developments – new political leadership, a dynamic new chancellor at the University of Arkansas at Pine Bluff, a half-cent economic development sales tax that’s generating about $3.5 million annually.

“New is good when you need a change,” Makris said. “When you get all of that leadership together, we ought to be able to design a strategy for Jefferson County that puts us on a path to growth. I’m from Pine Bluff, and I’ve chosen to stay in Pine Bluff.”

Simmons’ growth — with the purchase of Metropolitan and rumors of the impending purchase of another Arkansas bank — and its decision to place a Pine Bluff native at the top of the company can only help as the city tries to reverse the population decline of recent decades.

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Grapette: A legendary Arkansas brand

Friday, January 10th, 2014

A version of this story appears in the January edition of Celebrate Arkansas magazine.

The nondescript metal building is on Industrial Drive in Malvern, just a mile or so from busy Interstate 30. There’s a small sign out front, but most of those who drive by likely don’t know that it’s now the home of one of the country’s iconic soft drink brands, Grapette.

When older Arkansans think of Grapette, they likely think of Camden rather than Malvern. And for good reason.

It was at Camden in 1926 that a service station owner named Benjamin Tyndle Fooks learned that a local bottling plant was for sale and decided to purchase the business. A customer at the service station, Henry Furlow, had told Fooks that he wanted to sell his plant on Adams Street in Camden. Fooks was ready for a change and wasted no time borrowing $4,000 from a local businessman named Charles Saxon so he could buy the bottling plant from Furlow.

Fooks soon became the first bottler in south Arkansas to make regular truck deliveries in rural areas.

Business was steady initially, and Fooks bought another plant at Arkadelphia in 1927. He purchased an additional bottling operation at Hope a year later.

With the onset of the Great Depression in 1929, however, Fooks’ fortunes took a hit. He sold the Arkadelphia and Hope operations. But he held onto his Camden plant and began driving through the piney woods of south Arkansas, north Louisiana and east Texas selling what were known as Fooks Flavors out of his car. He would take orders from local bottlers for the flavors and then return to Camden to mix the flavors. Fooks would work late into the night in the syrup room of his Camden plant.

Fooks continued to experiment with various flavors through the years. He drove trucks during the day and did his experiments at night. In the winter, when the demand for soft drinks fell off, Fooks made peanut patties and brittle.

Fooks developed a grape flavor in the late 1930s that he thought would be popular. He obtained a copyright for the name Grapette and began selling the drink at Camden in 1940. Grapette came in six-ounce clear bottles that showed off the drink’s beautiful color.

Lemonette, which contained a large amount of real citrus juice, came along in 1946. Fooks added an orange drink in 1947. Naturally, it was called Orangette.

“Realizing the potentialities of an outstanding grape drink, Mr. Fooks devoted a great deal of time and research to perfecting such a beverage,” Herbert C. Fooks wrote in a family history titled “Fooks Family.” “After thousands of experiments, he developed an unusually distinctive taste quality of the grape soft drink, which is known internationally today as Grapette. In May 1940, Grapette was first placed on the market at Camden. It was the beginning of a successful business. In 1950, after 10 short years, Grapette had become a most popular grape-flavored beverage. The Grapette Co. became the seventh-ranking beverage company in the industry.”

Fooks was an interesting character to say the least. He was born in 1901 on a farm near Paducah, Ky. His family moved to Camden in 1914, and Fooks finished high school there in 1918. He went back to Paducah to attend a business college and then returned to Camden to enter the lumber business with his father.

In 1920, Fooks decided to become a Methodist minister and headed to the Moody Bible Institute in Chicago. After three months, he changed his mind about becoming a minister. He instead became a prominent Methodist layman, later serving on the boards of Southern Methodist University and Hendrix College.

Fooks worked in the lumber industry for several years, operating sawmills in Louisiana and assisting his father with the family’s sawmill at Camden. He also operated a wholesale lumber business at Memphis before selling it in 1925 so he could return to Camden and buy a service station. Fooks later took an interest in cattle. His Fooks Farms near Camden covered almost 1,500 acres and had 300 head of Aberdeen-Angus cattle.

Fooks even introduced a challenger to Coca-Cola in 1962 with Mr. Cola, known for its distinctive 16-ounce bottles. He added a product known as Lymette in 1963. At its peak, Grapette had more than 600 bottlers in 38 states.

In 1972, Fooks sold the Grapette Co. to the Rheingold Corp., which brewed beer along with bottling regional soft drinks in California, New Mexico and Puerto Rico. Rheingold changed the company name to Flavette and moved the headquarters to Florida.

Pepsico began a hostile takeover of Rheingold in 1975, and the Federal Trade Commission ruled that Pepsico had to divest several soft drink lines. The Grapette brand was purchased in 1977 by Monarch, the bottler of NuGrape. The Grapette name was shelved, and industry observers believed Grapette had become a thing of the past in this country.

The Grapette brand lived on in other countries.

In 1942, an Arkansas oilman named R. Paul May persuaded Fooks to allow him to market Grapette in Latin America. Grapette, Orangette and Lemonette became highly popular in the region, especially in Guatemala. A separate company known as Grapette International was established in 1962. May retained the international ownership of Grapette after the brand was retired in the United States. Following May’s death, Grapette International was passed on to his son-in-law, Brooks Rice.

Rice had been an early Walmart stockholder and began considering ways to partner with the company. During a 1986 meeting with Rice, Walmart founder Sam Walton made it clear that he wanted Grapette in his stores. Rice couldn’t use the Grapette name, but he could provide the famous flavor.

In 1989, Grapette International began producing a line of drinks for Walmart under the Ozark Farms brand. The drinks were brought back on the market in 1993 under the Sam’s Choice brand, and Walmart was given the right to the flavors. Sam’s Choice grape was, in fact, Grapette.

In 2000, Monarch finally agreed to sell the Grapette name. Slowly, the Grapette and Orangette brands replaced the Sam’s Choice label. For the first time in more than two decades, Grapette was being sold in the United States.

___

Of the seven children of Brooks Rice, two were males — Paul and David Rice. They’re 11 years apart in age. The two brothers, along with their brother-in-law Ed King, now operate Grapette International.

The building that houses the company in Malvern covers 45,000 square feet and was built to house a plastic recycling firm that later closed. Grapette, needing more room, moved its operations from Hot Springs to Malvern in 1999.

“We had begun producing an isotonic sports drink for Walmart,” Paul says. “It really took off, and we needed a bigger facility almost overnight. This building fit the bill.”

There are no traffic lights around the building, and it’s easy for trucks to get in and out at all hours. Drinks aren’t actually bottled at the Malvern plant. The products coming out of Malvern are highly concentrated flavor compounds. A five-gallon drum of one of these compounds is enough for 20,000 12-ounce cans. The smells of the concentrates — which are quite pleasant — permeate the building.

“By concentrating the flavors so intensely, you reduce shipping costs,” Ed says.

The industry landscape has changed dramatically in recent decades with far fewer bottlers than there once were. The flavor compounds produced by Grapette International are used in everything from sports drinks to snow cone mixes to margarita mixes. For competitive reasons, the company is sensitive about revealing the private label flavors it produces. It’s not a large operation from an employee standpoint. There are only about 15 full-time employees, most of whom have been with the company for a number of years.

The company’s conference room is a bit of a Grapette museum. Visitors immediately are offered a cold Grapette. In a case, there’s a 1945 six-ounce Grapette bottle that has never been opened.

On the company’s website, there’s a “memory lane” section so people can write about their memories of drinking Grapette. A Grapette advertising campaign in Central America uses the tagline “the memories that make you smile.”

Nostalgia is important.

“There often are emotions associated with soft drinks,” Ed says. “It’s something fun, something different. Grapette is special to people because that name disappeared for almost a generation in this country. A lot of gratitude goes to Walmart. They are largely responsible for bringing it back.”

Sam Walton had said in the meeting with Brooks Rice: “I want Grapette in my stores.”

The name Grapette wasn’t in the stores until after Walton’s death in 1992. But company executives remembered the founder’s wishes.

The current flavor is a little less sweet and has a higher carbonation level than the original. The government has also restricted one of the ingredients that originally made the drink’s color so rich.

“The beauty of Grapette is that it affected so many of the senses,” David says. “It was bright. It was sweet. It had a great grape taste.”

Dozens and dozens of flavors now come out of the Malvern plant.

“We do everything from dill pickle to blueberry flavors,” Paul says. “We do flavors that are spicy and specific to the Latin-American market. We do flavors that are bitter with vinegar and specific to the Asian market. We ship worldwide.”

He notes that the company’s first shipment to the Netherlands occurred several days before my visit.

“There aren’t a bunch of moving parts here,” David says. “If somebody mentions the Grapette International headquarters, people probably expect a huge bottling operation. That’s just not what we do.”

Instead, there are labs where the company continually experiments with new flavors and colors.

“We work on new products and types of packaging for those products,” Ed says. “We’re even into frozen yogurt flavors and yogurt delivery systems. Our strength is our large flavor portfolio.”

An example of the innovation that goes on at Grapette International is a line of sugar-free frozen pops that can be used by athletes and industrial employees to hydrate rather than having to consume more traditional electrolyte drinks.

“Kids on youth sports teams like them, and their parents like them,” Paul says.

Another growth area is a line of frozen slush drinks that are sold in convenience stores. Convenience store owners like the drinks because they attract consumers into the store after they have paid for gas at the pump.

The three partners are astute businessmen. Ed and Paul once worked in the financial industry. Ed is a graduate of the University of Arkansas, Paul is a graduate of Hendrix College at Conway and David is a graduate of Rhodes College at Memphis.

Paul says: “We’re nimble, and we’re innovative. We don’t necessarily know what the next big thing is, but we’ll be ready to respond. We also have really smart people working here. They believe in what we’re doing. Several of them were chemistry majors in college.”

“In a good family company, you have a higher level of trust,” Ed says. “And this is a good family company. We have a very low employee turnover rate.”

It all goes back to Benjamin Tyndle Fooks, who decided decades ago that he had developed a grape soda that tasted the way a grape soda should taste.

Thanks to a helping hand from Walmart, consumers across the country are still enjoying the taste of Grapette.

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Presqu’ile: Almost an island

Wednesday, November 6th, 2013

Presqu’ile is a Creole word meaning “almost an island.”

For decades, it was the name of a gathering spot for the Murphy family of El Dorado at Henderson’s Point on the Mississippi Gulf Coast near Pass Christian.

Hurricane Katrina hit in late August 2005 and wiped Henderson’s Point clean.

In honor of that part of their family heritage, the Murphy family named a winery in the Santa Maria Valley of California after the Gulf Coast compound.

Many of those who attend the Nov. 21 Arkansas food and wine gala at the Capital Hotel in downtown Little Rock will be sampling Presqu’ile wines for the first time. The event will raise money for the new Arkansas exhibit at the Southern Food and Beverage Museum in New Orleans. Tickets are $125 each. Those desiring more information should call (501) 661-9911 or email morris.leslie@sbcglobal.net.

A bit of background on the Murphy family and Henderson’s Point is in order.

First, the Murphy family.

Charles Murphy Sr. already had extensive timber and banking interests in south Arkansas when oil was discovered in 1907 in the Caddo Field north of Shreveport.

“Murphy decided that his timber company should purchase land on a scattered, noncontiguous pattern to provide more exposure to any oil development,” John Ragsdale wrote in the online Encyclopedia of Arkansas History & Culture. “When the large Smackover Field in Ouachita and Union counties was discovered in 1922, Murphy had oil royalty interests in it. He and joint operators owned about 100,000 acres in the Union County area. In 1936, Phillips Petroleum discovered a small oil field at Snow Hill in Ouachita County, but the area’s extent was limited. Murphy preferred to spread drilling and production risks. He did not have an extensive operating company but rather owned interests in different operations.

“In 1937, an abandoned Phillips Petroleum well in western Union County, where some Murphy acreage was located, was re-entered by the Lion Oil Refining Co., which discovered deeper multiple zones between 5,000 and 8,000 feet below the surface in the Shuler Field. This included the Smackover limestone, which led to development of fields in the Smackover limestone throughout south Arkansas. Then, in 1944, Murphy land was included in the development of Louisiana’s Delhi Field, a major oil producer. This was the largest field for Murphy.”

Charles Murphy Sr. had moved to El Dorado in 1904 to operate a bank. By 1907, he owned 13 banks. He built a sawmill at Cargile in Union County and later established a railroad to supply the mill with timber from north Louisiana and south Arkansas.

Charles Murphy Jr. took over the family businesses in 1941 at the age of just 21 after his father suffered a stroke. Murphy Jr. had attended Gulf Coast Military Academy at Gulfport, Miss., at age 16 and had learned to love yachting. Much later in life, he would write two books on the sport, “Yachting Smart” and “Yachting Far.” He received expert tutoring, especially in French. Murphy Jr. graduated from El Dorado High School in 1938 and got married in October of that year.

Murphy Jr. spent three years in the Army during World War II. In 1946, he and his three sisters — Caroline Keller, Bertie Deming and Theodosia Nolan — pooled their interests to form C.H. Murphy & Co. In 1950, that company was transformed into the Murphy Corp., with Murphy Jr. as its president. He would serve as president until 1972 and as chairman of the board until 1994.

Murphy Corp., which had gone public in 1956, became Murphy Oil Corp. in 1964. The first foreign exploration for the company occurred in Venezuela in 1957. That was followed by production in Iran in 1966, the North Sea and Libya in 1969, Spain in 1979, Ecuador in 1987 and the Gulf of Mexico in 1988. Deltic Farm & Timber Co. was spun off from Murphy Oil Corp. in 1996 to form Deltic Timber Corp. Deltic is the developer of the Chenal neighborhood in west Little Rock and has timber holdings in Arkansas and Louisiana. Earlier this year, the Murphy USA subsidiary was spun off to form a company that focuses on retail sales, primarily at stores associated with Walmart.

Murphy Jr., an erudite man, served on the state Board of Higher Education and on the boards of Hendrix College at Conway and the Smithsonian Institution in Washington, D.C.. He established the Murphy Institute of Political Economy at Tulane University in New Orleans. He died at his home in El Dorado in March 2002.

Murphy Jr.’s son Madison would go on to become chairman of the powerful Arkansas Highway Commission.

Next, Pass Christian and Henderson’s Point.

Henderson’s Point on the Gulf Coast was named for John Henderson Sr., a U.S. senator from Mississippi from 1839-45. Along with several partners, Henderson acquired 15,000 acres and developed the coastal community of Pass Christian. He died in 1857. In 1903, descendants of Henderson formed the Mexican Gulf Land Co. to promote Henderson’s Point as a planned community. It was advertised to wealthy New Orleans residents as the only remaining undeveloped tract between New Orleans and Mobile with easy access to rail transportation. There would be parks, big lots and a streetcar line to Gulfport and Biloxi. Located at the western tip of the Pass Christian peninsula, Henderson’s Point had homeowners who were known for fighting annexation to Pass Christian, and the area thus remained unincorporated.

U.S. Highway 90 west of Pass Christian now separates Henderson Point from the Pass Christian Iles, a 1,400-acre development that began in 1926. Seven miles of canals and lagoons were dug while the marsh areas were filled with the dredged material. The Isles are totally residential while Henderson’s Point has a small commercial district.

The Murphy family compound consisted of 14 acres that stretched in the shape of an isthmus.

The family bought almost 200 acres in California in 2007 to establish the Presqu’ile Winery. The first estate grapes were planted in 2008. A San Francisco architectural firm was hired to design the winery and tasting room, which are connected by a cave that was built into a hillside.

“That the Murphy family’s new Santa Maria property is shaped a lot like an isthmus smacks of serendipity,” Gabe Saglie wrote last year in the Santa Barbara News-Press. “‘We were looking for a great piece of pinot noir-growing land with a little bit of soul,’ says vinter Matt Murphy with a distinct Southern inflection. His family find off East Clark Avenue in 2007, which came after a year’s worth of hunting through pinot hot spots like Carneros and Lompoc’s Santa Rita Hills, fit the bill for clear viticultural reasons. The plot’s pervasive sand-like soil drains extremely well, and its proximity to the Pacific Ocean (the Murphy’s property is the second western-most vineyard in the Santa Maria Valley) creates ideal maritime growing conditions.”

Matt Murphy, the son of Madison and Suzanne Murphy of El Dorado, says of the Mississippi compound: “It was home to us. And it will never be the same.”

The family compound in Mississippi was given its name by Charles Murphy Jr., who loved to use his French. It’s pronounced “press-keel” with the emphasis on the second syllable.

“Presqu’ile is led by president Matt Murphy, and features his wife, Amanda; his brother, Jonathan, and his wife, Lindsey; his sister Anna; and their parents, who still reside in Arkansas,” Laurie Jervis wrote in the Santa Maria Times. “Matt Murphy and winemaker Dieter Cronje, a native of South Africa, lead the winemaking and are vocal believers in the potential of the Santa Maria Valley to lead the West Coast in terroir-driven wines.”

The new tasting room opened in June.

In addition to the Mississippi Gulf Coast and now the California Pacific Coast, the Murphy family long has had close ties to New Orleans.

“New Orleans is, in essence, our second home,” Madison Murphy said recently. “This place is special to us.”

So it’s natural that the Murphy family — and its winery — is playing a leading role in the Nov. 21 Little Rock event to fund an Arkansas exhibit at the Southern Food and Beverage Museum.

Matt Murphy moved to California to learn the wine business.

“During the wine grape harvest of 2006, Matt found himself working at Bien Nacido Vineyard in Santa Barbara wine country,” Saglie wrote. “He’d already spent previous vintages in Napa, learning the business of growing grapes and selling wine. This was the year he’d get to know an increasingly renowned region called Santa Maria.

“The 2006 harvest had also brought Dieter Cronje to Bien Nacido. He’d already been trying his hand at winemaking for four years in his native South Africa and had developed a zeal for pinot noir. ‘I love to make it because it’s tough to make,’ he says with a Southern accent of a totally different kind. To stretch his wings, ‘it was either Burgundy or the United States for me, and since I knew my lack of French would make Burgundy tough, I came to the United States,’ he says with a laugh. The weather helped set his sights on Central California instead of Oregon.

“When Matt and Dieter met at the height of the grape-picking season, the unlikely duo quickly realized they shared a passion. And not just for pinot noir. The two will tell you they are fiercely focused on making wines that are balanced, not just big.”

The land purchased by the Murphy family in 2007 previously was being used to grow gladiolas.

Saglie wrote: “The promise for growing great grapes was palpable. And the fact it looked a heck of a lot like an isthmus was good fortune at least. They named their new property, for purely sentimental reasons, Presqu’ile.”

Matt and Amanda built a home on the property.

“Presqu’ile’s new, state-of-the-art winery and hospitality building — connected by a unique cave system — and the nearby residences could easily grace the pages of Architectural Digest,” Wendy Thies Sell wrote in the Santa Maria Sun. “The award-winning, San Francisco-based architectural firm Taylor Lombardo Architects designed the project. The design aesthetic is contemporary, sleek and elegant, incorporating stone, wood, concrete, glass and metal. Interesting modern art adorns the walls. They paid attention to every detail — just as Presqu’ile does in winemaking. Many of the building materials are sustainable and sourced from the West Coast. The sandstone used for the exterior and interior of the winery complex were harvested from a quarry in Lompoc. A local artisan labored for seven months hand-cutting and laying each stone.”

The newspaper describe Cronje as “a wine rock star — literally. Cronje not only handcrafts vibrant, complex wines, but he actually has a rock band, The Tepusquet Tornadoes, made up of wine industry friends.”

“We really do want it to be an easy rapport and a place where people can interact,” Madison Murphy said of the winery. “As they say on the Gulf Coast, ‘pass a good time.”’

From the pine woods and the oil patch of south Arkansas and north Louisiana to the Mississippi Gulf Coast to New Orleans and now to the Pacific Coast, the Murphy family of El Dorado has made its mark.

It all comes together on the evening of Nov. 21 at the Capital Hotel in Little Rock.

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Rush Harding: The coach’s son

Friday, October 11th, 2013

Rush Harding is the son of a coach and proud of it.

Harding, the chief executive officer of the Little Rock-based investment banking firm Crews & Associates Inc., grew up at Clarendon, a historic east Arkansas city on the banks of the lower White River.

Clarendon, which is located near where the Cache River flows into the White River, was first settled in the late 1700s by French hunters and trappers. They recognized the bounty that came from those two slow-moving rivers and the surrounding bottomland hardwood forests. Clarendon’s importance increased in the 1820s when the builders of the Military Road from Memphis to Little Rock chose it as the White River crossing point. A ferry was operating there on a regular basis by 1828.

When Monroe County was created out of parts of Arkansas and Phillips counties in November 1829 by the Arkansas Territorial Legislature, Clarendon was chosen as the county seat. It remains so to this day. The town became an important port for cotton and other commodities. A factory was established to produce buttons from the millions of mussel shells found in the rivers. The hardwood forests were harvested for lumber. Some of that wood was used to make baseball bats for a time in the early 1900s at the Moss Brothers Bat Co.

Rush Harding still loves Clarendon. That love is evident to anyone who has ever visited with him.

As a boy, Harding thrived there. He hunted, fished, swam and played multiple sports. An upscale restaurant that the Harding family will open New Year’s Eve in Little Rock will be named Cache in honor of the area where Harding spent his boyhood.

“I thought Clarendon was the Garden of Eden,” Harding says as he sits in his office high atop the First Security Building in downtown Little Rock’s River Market District. “We were Methodists and never missed church. And I never missed an athletic event in town. If I wasn’t playing in it, I was attending it with my dad.”

Harding’s father, a legendary coach who went by the name of Buddy, was inducted into the Arkansas Sports Hall of Fame in 2002 in recognition of the almost four decades he worked with high school athletes. The elder Harding, whose football teams were 151-57 at Clarendon, also built the school into a track powerhouse.

The seventh-grade teams were called the Alley Cats. The junior high teams were the Cubs. The high school teams were the Lions.

His father’s work ethic was transferred to Rush Harding, who hasn’t missed a day of work for being sick in the past 37 years. Harding also has been active in the community. He’s a past president of the Arkansas Sports Hall of Fame and continues to serve on the Hall of Fame board. He also has served on the University of Central Arkansas Board of Trustees and on the board of the Arkansas Arts Center.

The Arkansas Sports Hall of Fame will honor Harding when it holds its annual fall salute on Thursday, Oct. 24. The event will begin at 6 p.m. in the Jack Stephens Center on the campus of the University of Arkansas at Little Rock.

This will be the fifth consecutive year for the Hall of Fame to put on a fall salute. Past honorees are Conway businessman Stephen L. Strange Sr., former University of Arkansas basketball star Joe Kleine, former University of Arkansas football star Jim Lindsey and former University of Arkansas track and field coach John McDonnell.

“My dad coached through my ninth-grade year, and then the principal’s job came open,” Harding says. “He had wanted to coach me all the way through high school, but the increased salary was important to our family. My mom was the guidance counselor and the home economics teacher. With two teachers in the family, you just couldn’t turn down a big pay increase.”

Clarendon went 5-5 in football during Harding’s sophomore and junior seasons.

Ronnie Kerr, who later would become a head coach at the college level at Henderson State University in Arkadelphia, came to town in the fall of 1971 for Harding’s senior year. With Kerr as the coach and Harding as the quarterback, Clarendon compiled an 8-2-2 record. The only losses were in the first game to Augusta, which was coached by east Arkansas icon Curtis King (a 1980 Arkansas Sports Hall of Fame inductee), and in the final game to Walnut Ridge in the semifinals of the state playoffs. The tie games were against Brinkley and Carlisle.

“We tied Brinkley 7-7, and I threw two touchdown passes,” Harding says. “I threw an interception to Brinkley’s Jerry Eckwood, which he took all the way for a touchdown. I threw the other touchdown pass to Gary Cook on our team.”

Eckwood went on to become a football star at the University of Arkansas.

Cook went on to play a major role in Harding’s life.

“Gary wanted to go to West Point and play football for Army,” Harding says. “He talked me into going to West Point with him. People told us that it would be unheard of for two boys from the same school to get appointments to the U.S. Military Academy, but we did. That was Gary’s dream, not mine, but I decided to go along.”

During the summer prior to his senior year, Harding was elected governor of Arkansas Boys State, a one-week program in civics that’s sponsored by the American Legion. A year later, he would hand the gavel over to the new Boys State governor, a high school student from Hope named Mike Huckabee.

During their senior year, Harding and Cook were the co-valedictorians at Clarendon High School.

In late May, three days after the graduation ceremony, Harding received word that Cook, who lived near the small community of Monroe, had drowned. He had been swimming in a rice irrigation ditch. It was Coach Ronnie Kerr who took Harding to the scene of the accident that awful day.

Heartbroken, Harding reported to the U.S. Military Academy on June 15 for the start of a grueling summer as a plebe.

“I had wanted to go to UCA, not West Point,” Harding says. “But people I respected said that I had received a coveted appointment and needed to follow through. I decided to prove that I could do it. They would haze the plebes in those days, but I stuck it out. I reported for football but frankly was too slow to play at that level. The coaches suggested that I join the sprint football team.”

Army has a rich football tradition with three national championships, three Heisman Trophy winners and 26 Hall of Famers. The sprint football team, which has been around since 1957, has a tradition of its own.

Few Arkansans even know there is such a sport. What’s known now as the Collegiate Sprint Football League was started in 1934 by George Little of Rutgers. The league’s seven charter members were Cornell, Lafayette, Rutgers, Pennsylvania, Princeton, Villanova and Yale. Yale and Lafayette disbanded their programs at the start of World War II. Play was halted for all schools from 1943-45 due to the war.

In 1946, the U.S. Naval Academy joined the conference and dominated play until the Black Knights came along 11 years later. In its first six years in the league, Army put together a 32-3-1 record and won four titles. After a losing season in 1963, the Black Knights won 17 of their next 18 games. Army had 21 consecutive victories between 1972, when Harding played, and 1975.

The rules of sprint football are largely the same as those for varsity football. Four days prior to a game, though, all sprint football players must weigh in at 172 pounds or less. They must weigh in again two days before a game. Scouting opponents is forbidden, and practice cannot start until three weeks before the first game.

Harding enjoyed playing sprint football. His heart, however, wasn’t in finishing school at West Point without Cook and then serving as an Army officer.

“I started my sophomore year that next summer, but I was miserable,” Harding says. “I didn’t want to become a career military officer. I had spent some time in Conway with friends and decided that I wanted to be a real college student and do the kinds of things most college students do. So I resigned my commission at West Point and enrolled in college at Conway.”

The Bear football team had an outstanding quarterback named Sam Coleman coming in. Harding knew he would never start at quarterback in the Arkansas Intercollegiate Conference. He decided instead to join the basketball team, which was coached by Don Nixon, who was inducted earlier this year into the Arkansas Sports Hall of Fame.

“I mainly sat by Coach Nixon and kept the shot charts,” Harding says. “I wasn’t eligible the first semester. I did play a bit during the next semester. It was a great experience for me. I got to be around guys like James Dickey, Joe Couch and John Hutchcraft.”

After playing basketball during the 1973-74 season, Harding decided to concentrate on his studies. He graduated in 1976, having majored in math and English. The son of a coach, Harding had once thought he too would teach and coach. He had, after all, grown up around coaches and sports. His Thanksgivings were spent attending Clarendon’s rivalry games against Holly Grove. His summer memories were of attending the annual coaches’ clinic and the all-star football practices in early August with his father.

“My father knew how to connect with young people,” Harding says. “To be honest with you, I was kind of scared of Daddy, but I always knew he loved me. My mom was the nurturer and the encourager. My dad was the boss. No one in Clarendon ever challenged his authority. Yeah, he was the boss.”

Harding’s father had lined up a job for him teaching and coaching at Forrest City at a salary of $8,400 a year.

“I just couldn’t make the math work in my head,” Harding says. “I didn’t know how I could live on that. I was in Little Rock one night and a guy asked me what I would do with $12,000. I thought he meant $12,000 a year and told him that would be wonderful. He said, ‘I’m talking about $12,000 a month selling bonds.’ I decided to give it a try. They would pay me $450 a month plus commissions. I asked my dad for a loan of $300 to rent an apartment, and he wouldn’t do it. I had to go to the bank and get the loan.”

Few people have ever outworked Rush Harding, the overachiever who had been Boys State governor, an Eagle Scout and the high school valedictorian. He joined T.J. Raney & Sons Inc. of Little Rock and, through hard work, soon was experiencing financial success.

“I had never taken a business class,” Harding says. “Things just worked out. When Bob Raney Sr. died in 1979, seven of us left the company and went out on our own.”

Adron Crews, John Bailey, Rick Chitwood, Jim Jones, James Lake, Rob Owens and Harding formed Crews & Associates.

Adron Crews died in May 1996 while on a business trip to New Orleans. In 2000, Crews & Associates became a wholly owned subsidiary of First Security Bancorp.

When Rush Harding was a boy, his father would take him on his birthday in late July to Spaulding Sporting Goods in downtown Little Rock to buy baseball bats from Lee Rogers. Harding has vivid memories of visiting with Rogers, who had starred in multiple sports at the University of Alabama and settled in Little Rock after having pitched for Doc Prothro’s Little Rock Travelers. Rogers was inducted into the Arkansas Sports Hall of Fame in 1983.

Not only birthdays revolved around sports for Rush Harding. So did the other days of the year.

Sports have remained important in Harding’s life. In 1986, Harding’s father retired from school administration. Rush Harding’s parents moved to Little Rock so they could watch Rush’s sons, Buddy and Payne, grow up and participate in sports.

“Team sports have been a top influence on me, and that’s because of the relationships I’ve had with teammates and coaches,” Rush Harding says. “One of the best compliments I ever received came from J.B. Grimes, who was a year behind me at Clarendon and went on to be a college football coach. I wasn’t the greatest athlete to ever come through that school, but J.B. once said to me: ‘You were a leader. You led our team.’ Participation in sports made me a better husband, a better friend and a better employer. In a sense, I’m still kind of a quarterback. I like to have a positive impact on the young people who work here. I do a lot of coaching down here at this office each day.”

Harding’s son Buddy recently had a son of his own. The baby’s name: Rush Harding V.

The grandfather isn’t quite ready to slow down.

“I got certified to teach several years back because I figured that I would get out of the business by this age,” says the man who will be honored later this month by the Arkansas Sports Hall of Fame. “I later decided to stick with this. We have about 250 employees who are my teammates. I didn’t take that job my dad got me at Forrest City all those years ago, but I’m still teaching and coaching. It’s just not in a classroom or on the sideline.”

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Downtown Fort Smith — vibrant is the word

Thursday, July 18th, 2013

I devoted my Wednesday newspaper column to downtown Fort Smith this week and heard from everyone from the mayor on down it seemed.

They were pleased to see something other than a business section story about a manufacturing plant either laying off some of its workers or closing completely.

Fort Smith long has been our state’s manufacturing center. With the decline in American manufacturing in recent years, there has been a steady stream of such stories coming out of Sebastian County.

Living in central Arkansas, I can see how people who don’t travel much can stereotype other parts of our state. The average Little Rock resident probably would tell you that Benton and Washington counties are booming while Sebastian County is losing population.

The fact is that Sebastian County had an almost 6 percent population increase from the 2000 census to the 2010 census. That doesn’t come close to the growth in the northwest corner of the state, but you can see that the Fort Smith area isn’t losing population.

All of this brings us to downtown Fort Smith.

Following a lunch meeting in Siloam Springs last Friday, I decided to weave my way down U.S. 59 through the Ozark National Forest to Van Buren. I needed a change of pace from the usual route down Interstate 540.

Because of construction on Interstate 540 into Fort Smith, I took Interstate 40 west out of Van Buren to the Dora exit on the Oklahoma state line. I like that entrance into downtown Fort Smith. You drive through the corn and winter wheat fields along the Arkansas River for a few miles after leaving the interstate and then cross the Garrison Avenue Bridge into Fort Smith.

What immediately struck me was how busy things were along Garrison Avenue late on a Friday afternoon.

Go into the downtowns of most Arkansas cities on a slow Friday afternoon in the middle of the summer and you will see few people on the streets.

That wasn’t the case along Garrison Avenue. The parking spots were full, and there was bumper-to-bumper traffic.

That’s when the thought struck me: The folks trying to revitalize Main Street in Little Rock could learn a lesson or two from business and civic leaders in our state’s second-largest city.

It was just after 11 p.m. on a Sunday — April 21, 1996, to be exact — when a strong F2 tornado took dead aim at downtown Fort Smith. That tornado caused $300 million of damage.

A lot of downtowns across Arkansas would not have recovered from such a blow. But the leadership of Fort Smith — pushed by a visionary developer named Richard Griffin — decided not only to rebuild the buildings that had been destroyed but also to renovate historic properties that long had been neglected.

The city’s Central Business Improvement District became much more aggressive in marketing downtown, updating design guidelines and trying to attract downtown residents with projects such as the West End Lofts.

Traditional retailers such as Newton’s Jewelers — which has been around since 1914 — were encouraged to stay downtown while new restaurants and entertainment venues such as the Varsity Sports Grill & Adelaide Ballroom, Rolando’s Nuevo Latino Restaurante, R. Landry’s New Orleans Cafe, Doe’s Eat Place, 21 West End and Neumeier’s Rib Room ensured there was life along Garrison Avenue and adjoining streets at night and on weekends.

Down by the Garrison Avenue Bridge, the Park at West End was opened, featuring a 1950s Ferris wheel and an Italian carousel.

Riverfront Amphitheater was built to accommodate more than 1,100 people for outdoor concerts and other events.

Ross Pendergraft Park opened adjacent to the Fort Smith National Historic Site in 2001, offering visitors restrooms, parking, benches and a pavilion. A statue of famed U.S. Marshal Bass Reeves was recently erected in the park.

Further east at North 10th Street and Garrison Avenue, Cisterna Park — named after Cisterna, Italy, which is Fort Smith’s sister city — opened with a fountain, nature area and picnic tables.

Visitors to the Fort Smith National Historic Site now can spend an entire day downtown if they choose to do so. There’s the excellent Fort Smith Museum of History in the 1907 Atkinson-Williams Warehouse Building adjacent to the National Park Service site. There’s the Fort Smith Trolley Museum. There are plenty of restaurants and shops within walking distance.

Sixteen new businesses opened downtown last year, including two antique stores in the 700 block of Garrison Avenue.

Fort Smith received an unexpected boost when True West magazine rated the city No. 1 on its list of “Top True Western Towns” for 2013.

Already, more of what’s known in the business as “cultural heritage tourists” had been attracted to Fort Smith by the remake of the movie “True Grit.”

And how many cities have a former bordello as a visitors’ center? To further enhance the visitor experience, a series of historical plaques was placed in downtown Fort Smith last year.

The next major step forward for downtown Fort Smith will be completion of the $50 million U.S. Marshals Museum. If the current fundraising effort succeeds, that museum will open along the banks of the Arkansas River in the fall of 2016.

Groundbreaking for the 52,260-square-foot museum will be Sept. 24, 2014, to coincide with the release by the U.S. Mint of a commemorative coin marking the 225th anniversary of the Marshals Service. There’s still about $27.5 million left to be raised.

While the nationwide fundraising effort for the Marshals Museum continues, Griffin Properties is moving forward with projects elsewhere downtown. Last year, the company completed an upscale market and cafe at the northwest corner of Garrison Avenue and North Fifth Street on an open lot where the KWHN radio studios once stood. The store, designed to provide groceries and other services to downtown residents, is in front of St. Charles Place, an office building developed by Griffin Properties.

Richard Griffin has said there are three keys to getting more people to live downtown:

– Buildings must be modernized

– Quality accommodations must then be added inside those buildings

– Things like grocery and fuel must be available in the neighborhood

In April, Griffin Properties announced that it will spend at least $3 million to renovate six buildings in the 400 block of Garrison Avenue. There will be retail space and 12 apartments once the project, known as Garrison Pointe West, is completed.

In May, it was announced that Fort Smith-based Propak Logistics will renovate the 1911 Friedman-Mincer Building — known by locals as the old OTASCO building — for its headquarters. The company will spend about $2 million to convert the three-story, 24,000-square-foot bulding into offices for 40 employees.

The company’s owner, Steve Clark, told Michael Tilley of The City Wire: “With each building we see removed in that area, it removes some of the heart of our history. So I see this as a preservation of a truly iconic building on a historic corner.”

Clark said he will use a Fayetteville-based architect with Fort Smith ties to “create a buzz in northwest Arkansas about what’s going on in Fort Smith.”

Clark took a trip with architects to Cincinnati to visit that city’s national historic districts.

Fort Smith native Ben Boulden, an expert on the city’s history, told Tilley: “It’s a real special building on the avenue. It has that triangular, mini-Flatiron appearance. … This is good news because we don’t need to lose any more historic architectural assets on the avenue.”

There also are preliminary plans to light and repaint the Garrison Avenue Bridge. Add to that efforts to relocate a railroad maintenance facility behind the vistors’ center, build a pedestrian bridge over the railroad tracks there, install a splash pad for children and add green space.

You know the old saying: Perception is reality.

But if you perceive Fort Smith as nothing but a declining industrial town, take a walk down Garrison Avenue. Your perception will change.

Once the Marshals Museum is completed, that perception will change for thousands of other people in the region.

The Marshals Museum should mean to downtown Fort Smith what the Clinton Presidential Center has meant to downtown Little Rock and the Crystal Bridges Museum of American Art has meant to downtown Bentonville.

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Don Munro: Gentleman and scholar

Thursday, July 11th, 2013

This story originally was published in the July issue of Celebrate Arkansas magazine:

Arkansas was a far different place in 1959 than it is today.

The state’s image was tied to the 1957 desegregation crisis at Little Rock Central High School, Orval Faubus was in the governor’s office and thousands of Arkansas homes were still without electricity.

A young New Hampshire native named Don Munro moved to this rural state in 1959 to establish Lake Catherine Footwear, a division of the New Hampshire-based shoe manufacturer that employed him.

In early 1953, another East Coast native — Winthrop Rockefeller — had moved to Arkansas to escape a failed marriage and the prying New York media.

In 1955, Faubus — who was in the first of six two-year terms — decided to capitalize on Rockefeller’s famous name. He appointed Rockefeller to head the Arkansas Industrial Development Commission.

Rockefeller took the assignment seriously during his nine years in the job, bringing almost 600 new industrial plants to the state. Industrial employment grew by 47.5 percent and manufacturing wages grew by 88 percent in Arkansas during that era.

“Sears Roebuck & Co. was our biggest customer,” says Don Munro, now 85. “I always suspected that Winthrop Rockefeller was friendly with someone on the Sears board and that’s how the shoe company got to Arkansas from New Hampshire.”

The two partners in the shoe manufacturing company traveled to Arkansas to scout locations with AIDC (now the Arkansas Economic Development Commission) representatives. They visited small towns such as Lepanto and DeWitt during the day. They came back to Hot Springs each night.

Gambling was technically illegal but wide open in the Spa City in those days. There were nice hotels, good restaurants and live entertainment. The AIDC representatives undoubtedly felt that Hot Springs would be the best place to impress the visitors from New England at night.

Eventually, those visitors also decided Hot Springs would be the best place for a plant.

“It was either out here on Lake Catherine or over by the airport,” Don says of the two locations that were the finalists for the manufacturing facility. “This location has a lake, and the other location didn’t. So we ended up here. It has been a good spot for us.”

Back home in New Hampshire, Don and his wife Barbara had four children — daughter Lindy, son Bruce, son Neil and daughter Mollie. Another daughter, Christine, later would be born in Arkansas.

It would no doubt be a culture shock for this New England family.

“Most of the people we knew in New England had never even heard of Arkansas,” Don says. “It was a foreign land to them. They were a bit shocked we would move the family here.”

To prepare for his move to the South, Don read W.J. Cash’s exploration of the region, “The Mind of the South.” The book originally was published by Alfred Knopf in 1941 and was widely acclaimed for the way it explored Southern culture.

Cash wrote in the book’s concluding paragraph: “Proud, brave, honorable by its lights, courteous, personally generous, loyal, swift to act, often too swift, but signally effective … such was the South at its best.”

Don Munro sometimes is described as the ultimate Southern gentleman who just happens to hail from New England.

Through the decades, he has earned the reputation of being one of the state’s leading businessmen and philanthropists.

Through it all, he has never forgotten his obligations to his family.

“I had some advantages growing up that my children didn’t have,” Don says. “By that I mean that there were a lot of relatives around. We moved to Arkansas and my kids didn’t have all of those relatives. Family time was always important to me.”

He says the move to Arkansas proved easier than expected. He spent $24,000 on a lakefront home but only on the condition that the previous owners throw in their wooden Chris Craft boat. Munro family members brought a love of the water with them from New Hampshire.

“Reading ‘The Mind of the South’ was helpful,” Don says. “It made everything more understandable. But from the first, people here were very accommodating. And the terrain was much like that in New Hampshire. It wasn’t as big of an adjustment as you might think.”

Bruce Munro says of his father: “The first thing you recognize in him is his respect for other people. He looks at everyone the same. He has that innate respect for each individual.”

Indeed, Don Munro became famous for knowing hundreds of employees on a first-name basis along with remembering the names of their spouses and children.

“It wasn’t something that just came naturally,” Bruce says. “He worked hard at it. His respect for people is one thing that makes us different as a company.”

Don replies matter of factly: “People like to be called by their names.”

He says learning his employees’ names was part of “the bigger picture” during those early years in Arkansas.

“I was the only person who had ever made a shoe when we started,” Don says. “I had to be intimately involved in every part of the process. You get to know people when you’re working by them.”

More than a third of Munro & Co. employees have been with the company for at least 20 years.

There have been plenty of honors that have come Don Munro’s way through the years. All of them were well-deserved. In 2005, he was inducted into the Arkansas Business Hall of Fame. At a time when his competitors were moving their operations to other countries, he remained determined to make shoes in this country.

He purchased the Southern division of his longtime employer, Connors & Hoffmann Footwear Co., in 1972, establishing Munro & Co. That family company grew into the country’s largest shoe manufacturer and maintains operations at Hot Springs, Mount Ida and Clarksville.

Neil Munro bought the Wynne plant and now has his own company, NMF.

Bruce is the president and chief executive officer of Munro & Co.

Mollie is the company’s executive vice president and marketing mastermind.

At age 85, Don puts on a tie each morning and comes to work.

“He gets here at 6:45 a.m. and doesn’t leave until 5:15 p.m.,” Bruce says.

He then smiles and adds, “Don is starting to slack off a bit, though. He leaves by noon on Saturday. I’ve never known him not to wear a tie, but he was never formal and proper in a stuffy sort of way. He always had a sense of adventure. He was always taking us on trips.”

Don Munro is remarkably fit for his age. He has earned his good health. For years, he would swim at least a mile a day in area lakes. When swimming at night, he would wear a strobe light on his wrist to ensure he wasn’t hit by a boat.

“He has never slowed down,” Bruce says. “He’s our hardest worker.”

His father replies: “I pretend to work, and they pretend to pay me.”

The Munro American brand comes in 75 size and width combinations. The typical shoe producer makes only 17 sizes per style. Many of the shoes made by the company are women’s professional footwear, and Nordstrom is the biggest customer these days.

Mollie has worked to develop a modern website for the company, and both she and Bruce travel extensively so they’ll better understand customer wants and needs.

All the while, Don is there to offer advice and insight.

Despite his exercise habits, Don claims that his wife Barbara is the real “health nut” in the family. At age 83, she often kayaks on area lakes for two to three hours at a time. She also walks three to four miles each day.

“We never had what I would describe as goodies around the house when we were children,” Bruce says. “But here’s a secret: Don has a sweet tooth. He usually would keep some candy stashed away.”

Don had left college at Yale to serve in the Army and was sent to Japan soon after the end of World War II. He was the news editor of the Pacific Stars & Stripes and thought he might become a journalist. He wrote a story that displeased at least one general, and his journalism career came to an early end.

He returned to Yale to finish his degree and then went to work in the shoe manufacturing business.

“I used to think that writing would be my creative outlet,” Don says. “I later discovered you also could be creative in the world of business.”

After opening the Lake Catherine Footwear facility at Hot Springs for his employer in 1960, Don added the Addison Shoe Co. in Wynne and Mount Ida Footwear in 1967. Munro & Co. continued to operate those three plants following its establishment in 1972.

In 1979, DeWitt Footwear and Clarendon Footwear were added to produce children’s shoes.

Clear Lake Footwear was started at England in Lonoke County in 1975 to produce work boots for men. That plant closed in 1995.

In 1960, more than 90 percent of the shoes sold in the United States were made in this country. It’s now less than 1 percent.

As other shoe companies moved production out of the country, the Munro family knew changes would have to be made at Munro & Co.

“American companies were paying their workers $4 to $5 an hour for a 40-hour week, and Chinese workers were paid $10 a month for a 56-hour week,” Theresa Sullivan Barger wrote in the Saturday Evening Post in 2009. “Munro & Co. faced pressure to lower it prices or lose business. Munro founder Don Munro did not want to go overseas. He believed in buying American, insisting on purchasing American cars and TVs. He did not want to close factories, lay off workers and move jobs out of the counry.”

Many major retailers were no longer willing to pay what it cost to buy shoes from domestic manufacturers.

Mollie says her father once told her: “There are two reasons to own a business. One is to make money, and one is to be in business. I always chose the latter. My decisions have been predicated on staying in business.”

Don says: “We had hundreds of people working for us and depending on us for their living. I always wanted to be fair to those people and their families. I didn’t want to desert them.”

“Around here, ASAP means ‘After Sears and After Penney’s,’” Bruce says. “As the business changed, Don recognized in the early 1980s that we were going to have to get into the branding business. We have been able to establish an extremely loyal customer base. It’s probably unique in the shoe business. The first things to really go south on people as they age are their feet. We recognize that and thus work to provide superior support, comfort and fit. That’s what we’re known for.”

Rather than making shoes that were later sold under store brands, the company began establishing in-house brands.

The women’s brand now known as Munro American was started in 1984.

Two years later, the Child Life brand was acquired. In 1991, Jumping Jack Shoes was purchased.

The major niche is now women with thin, wide, small or long feet.

The company’s workforce did, however, shrink from more than 2,200 people in the early 1980s to fewer than 1,000 today. In the 1970s, there were more than 1,000 U.S. shoe factories. There now are fewer than 50.

Munro & Co. always had the advantage of not having to answer to shareholders. Don Munro and his family could do it their way. They take pride in being responsive to retailers. If a retailer calls early in the morning to place an order, the order is shipped that day.

“We use what we learned from Don to focus on consumers and get them on the Munro team,” says Bruce, who joined the company at age 25.

Looking at his son, Don says: “He always wanted to introduce more sizes and more widths. That’s what led to Nordstrom being our main customer.”

It’s obvious that Don Munro is proud of his children.

“Each one is unique and each one brings different skills to the table,” he says. “They have all been successful in their own way and seem to be happy. That’s the most you can ask for.”

On a sunny late-spring morning on the shores of Lake Catherine, it’s evident that this isn’t just a business story.

It’s a story about family — Don Munro’s immediate family and his extended family of hundreds of employees.

“Don has set the standard here since the start,” Bruce says. “And he continues to do that every day.”

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