Work is being overseen by Swinerton Builders. Retailers formerly located in the demolished space -- Tipton's Gourmet Chocolates, Windancer Kite Shop and Ter Har's Clothing for Men -- will reopen next summer. The new project will have room for four additional retailers, as well as 180 public parking spaces.

Seaside is located just 79 miles west of Portland and is known as the official end of the Lewis & Clarke trail. The oceanfront resort encompasses approximately three acres in the coastal town. "We evaluated a number of sites and decided that Seaside was a community with the ambiance and many of the attractions that our owners value," said Bill Peare, president and CEO of Trendwest, when the ribbon cutting ceremony was held in March.

As the major stock indexes continue to drop and the travel and leisure industry takes an especially big hit, Trendwest, with its focus on selling to people within a few hours drive of their resorts, is bucking the trend. Its share price stood at $24.50 per share in afternoon trading Friday, $1 higher than its close the day before the terrorist attacks.