David P. Willis

@dpwillis732

A Toms River developer who waged a 13-year battle to build a Walmart store on the township's border with Manchester will find another use for the property, now that the retail giant has decided to move on.

Developer Jay Grunin said he wished Walmart "nothing but success" in the company's decision to invest in improvements to its other stores, including an existing Walmart store on Route 37 in Toms River.

"We are confident that we will find another use for this property in the very near figure that will add jobs, services and ratables to our local economy," Grunin said in a statement.

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On Wednesday, Walmart cited "several business factors" behind its decision to end its efforts to build a 228,000-square-foot supercenter on 43 acres on the westbound side of Route 37. "Although we no longer plan to build a new store in Toms River, we are committed to continuing our growth and investment in New Jersey," Walmart spokesman Phillip Keene said.

Developers Jay and Linda Grunin began seeking environmental permits in 2004 for the Walmart project. It wound its way through the planning boards in Toms River and Manchester, the state Department of Environmental Protection, the governor's office and the courts. It was opposed by environmentalists, who contended the large supercenter would disturb threatened northern pine snakes on the property, and the Perlmutter family who operate ShopRite supermarkets in Ocean County.

In his statement, Grunin hailed Walmart and the efforts to build the store.

"Walmart has been a great partner for the last 13 years as we have worked together to develop a challenging parcel of land in a soon to be fully approved site capable for accommodating up to 200,000 square feet of retail," he said. "Together, we have navigated through sensitive environmental issues in the ultimate hope of adding to the tax base of Ocean County, still reeling from the effects of superstorm Sandy."

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Walmart's decision comes as the company contends with intense competition from other retailers and online stores.

Walmart is focused on investing in new ways to serve customers, both in the store and on the web, by improving existing stores and enhancing employee training.

Last fall, Walmart remodeled its existing Toms River store, adding a self-checkout area, revamping its fresh produce offerings and remodeling the pharmacy. A new customer service center was unveiled to focus on money services and Walmart Pickup, which allows customers to buy something online at Walmart.com and ship it to the store for free.

Howard Davidowitz, chairman of Davidowitz & Associates, a New York-based national retail consulting and investment banking firm, said retailers are downsizing as online sales surge.

"Online is exploding," he said. "They don’t need bigger stores. They need smaller stores."

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Retail analyst Burt Flickinger III said Walmart faces intense competition from other retailers. He cited the expected entrance of German discounter Lidl in the middle Atlantic states as a reason why Walmart would decide to not to build a store in a challenging environment.

"Walmart has been losing to Lidl in Europe for 20 consecutive years," said Flickinger, managing director of Strategic Resource Group.. "Walmart is already having a tough time with ShopRite on one side and BJ's Wholesale Club on the other side."

​ ​David P. Willis: 732-643-4039; dwillis@gannettnj.com; facebook.com/dpwillis732.