Halara’s Post

As one of the first to deploy this model for mall redevelopment, we can say first hand that reimagining mall spaces to meet the needs of the community, residents, and shoppers alike is a winning combination. Since delivering the first phase of multifamily additions at the Fox Valley and Hawthorn Malls last summer, both are over 80% and 65% leased respectively. Not only have the new apartment communities been well received, but the influx of residents, added ground floor retail, and new public green space has helped attract new and exciting retailers as well. At Hawthorn Mall for example, we've welcomed luxury retailers like Anthropologie, restaurants like Perry's Steakhouse & Grille and unique grocers like Dom's Fresh Market. Read more about the trend from the The Wall Street Journal. https://lnkd.in/ghhjzZ4R

Check out the next article in the series that Karen Meier wrote about regarding the Growth, Decline, and Rebirth of the American Mall in our Economic Development Navigator newsletter! It's a fascinating and very insightful read.

The top 25% of U.S. malls average $750 to $1,200 a square foot in sales compared with an average of $150 to $475 at lower-quality malls, according to Green Street, and Simon Property Group is on its way to making America’s oldest climate controlled enclosed mall one of those top-tier properties again. The formula for the once declining Southdale Center in suburban Minneapolis: - Reducing retail GLA. - Bringing in highly performing and luxury retailers, such as Apple Store, Burberry, Gucci, Moncler, Max Mara Fashion Group, Kate Spade, lululemon, Tory Burch, BREITLING and Coach. - Replacing all defunct and underperforming department stores with non-retail anchors like Life Time Inc. (upscale fitness) connected to a co-working facility, Kowalski's Markets (a local high-end grocer) and Puttshack (a minigolf chain). Macy's is the last standing department store located in the space originally occupied by Dayton’s. Department store chain Dayton-Hudson (now Target) built the mall in 1956. A subsidiary of Equitable Life Assurance Society bought it in the 1970s then sold it to O’Connor in the 1990s. - Spending $400 million for T.A. to attract desirable tenants and rip up floors, rejigger the layout, update the interior from its mid-1980s teal and flamingo-pink color scheme to more modern cherry-wood paneling. - Converting the once iconic 100% retail mall into a live-work-play community. - Bringing in more entertainment-focused tenants to complement the existing AMC Theatres and Puttshack. - Redeveloping or selling parts of the sprawling parking lot and out parcels with income generating luxury multifamily apartments, a Homewood Suites by Hilton, a Shake Shack and an RH. The overhaul of the 1.1 million-square-foot Southdale Center is still a work in progress, with construction noise reverberating throughout the mall but the conversion is promising for what malls can become with ingenuity and capital deployment.

As Kate King reported in The Wall Street Journal this week, top-tier shopping centers — like Macerich’s 43 top-quality properties across the country — reported record-high leasing volume last year. We believe that’s largely due to our strategy of listening to our customers and investing in what they want and need. At #Macerich, we know today’s shoppers want to touch, feel and see retail items before they buy. Just as important, our Regional Town Centers are properties with purpose: destinations where communities come together for entertainment, dining, fitness and fun.    We succeed by continually revitalizing our properties, viewing the changing retail landscape as an opportunity. For instance, the recently opened Scheels in a former big-box location at Chandler Fashion Center generates four times what the prior tenant did. Life Time Inc. is thriving at properties like Scottsdale Fashion Square (where membership sold out immediately) and Broadway Plaza. And with grocery, medical uses, coworking, hotels and residential uses, our properties are active from morning to night.    Floris van Dijkum, managing director, Compass Point Research & Trading, LLC, notes: “The good malls are thriving. If you have the capital to reinvest in your malls, that’s how you keep them vibrant and relevant.”    https://lnkd.in/dET2FhD8   #Macerich #WSJ #FutureofMalls #PropertiesWithPurpose #RetailRealEstate #ChandlerFashionCenter #ScottsdaleFashionSquare

We hear a lot about the death of malls. It is true that some malls are struggling, but that's not because consumers have given up on physical places and spaces. Indeed, the view that people don't like shopping in person is largely nonsense. Malls that struggle tend to be those that have simply not evolved with changing consumer tastes and needs. As they've become dated, shoppers have found other places to take their business. It's interesting to read about how Simon Property Group is trying to correct this at Southdale Center in suburban Minneapolis. It is investing $400 million to transform the center with pickleball, luxury apartments, a hotel, new stores, co-working spaces, and more. As The Wall Street Journal puts it: the Southdale overhaul reflects big shifts in how Americans are going to the mall. https://lnkd.in/ew3GmXZ8 #retail #retailnews #consumption #malls

When Caruso opened The Grove in Los Angeles in February 2002, everyone said the concept would not work. Now everyone wants to be like them… Last week I talked about how the parent company of IKEA is investing in malls and making Ikea an anchor tenant. Now Simon Property Group just announced that it is investing $400M into Southdale Center in suburban Minneapolis, one of the oldest malls in America. They want to position it as the “Mall of the Future.” “…malls need to become live-work-play communities,” said Bahram Akradi, CEO of Life Time Inc. who opened a location at Southdale Center in late 2019 where the JCPenney once stood. Now it’s the busiest location for the company with the average member going 17 times a month, compared to 11 for other locations. Some of the other additions coming: 💻 A co-working space (of course) 🛒 An upscale grocery store 💰 A luxury wing that will include Burberry, Gucci and Moncler As well as adding these retailers: 🛍 Coach 🛍 Kate Spade 🛍 Lululemon 🛍 Tory Burch 🛍 Max Mara 🛍 Breitling Plus a hotel and apartment building. Malls are going from being these enclosed spaces where you would have to go to make a purchase, to now becoming lifestyle centers where you go to eat, enjoy happy hour, work, live, see a movie, and more. This is why at Universal Media we’re excited for the future. We started in shopping malls over 40 years ago and continue to evolve right alongside them as they become more lifestyle centers. We’re seeing it with The Americana at Brand in Glendale, CA. The Village at Totem Lake in Kirkland, WA. And even here in Utah with the new Mountain View Village in Riverton. Do you agree the mall of the future is a live/work/play destination? #robynsthoughts #futureofretail #lifestylebrand (Photo c/o Town & Country Magazine)

When Korean beauty retailer PURESEOUL • Korean Beauty needed to secure a prime location in Oxford’s Westgate Shopping Centre before the Christmas rush, they turned to Greenwoods for swift, expert assistance from our Real Estate team. Don’t let complex leases and tight deadlines hold your expansion plans back. Contact us to learn how we can help you secure the locations you need for your business and keep your roll out on track. Find our more below ⬇ #RealEstate #LeaseNegotiations

Sydney Spectra: Plates Enriching Shopping Malls! In Sydney, where diversity and style converge, shopping malls aren't just destinations; they're hubs of experiences.Curated by the visionary mall manager Olivia Anderson, this shopping mall isn't just about retail; it's a journey of exploration.What graces the ambiance? Crazy Metal's Stainless steel color plate. Infusing vibrancy, embodying versatility, and echoing Sydney's vibrance, these plates redefine the essence of shopping spaces. Shoppers don't just browse; they immerse themselves in environments where each color plate adds a touch of contemporary allure to their retail journey.Shop in Sydney. Where spectra enrich shopping malls. #SydneySpectra #PlatesEnriching #CrazyMetalCraft

Big Retail Moves in NYC in 2024! Retail is an important feature of most neighborhoods in NYC and proximity to shopping, restaurants etc factor in to choosing where buyers & renters want to live. While many NYers are mourning the departure of retailer #BedBathAndBeyond in their neighborhoods, there is good news, especially for home improvement fanatics! #HomeDepot has announced that it is moving from its location near Bloomingdales on Third Ave, into the expansive retail space vacated by BB&B on First Ave /61st St & plans to open sometime next year. Bed, Bath & Beyond has permanently closed their retail outlets and has chosen to continue as an online retailer. 2023 was a painful year for many retailers, but the new year is bringing encouraging news, particularly among the luxury brands. The owners of #Gucci have just 715-717 Fifth Avenue, a retail property for a whopping $963 million — and it could mean giving the boot to rival fashion house #Armani from its flagship location. Armani, on Madison Ave has already made a bold move and is a part of a new luxury residential development offering bearing the brand’s name! https://lnkd.in/eyMiUM-d #douglasellimanrealestate #retailrealestate

Art is an important part of our built environment, no matter if it's public or private space. Our Senior Associate, Benjamin Arcia talks about this concept specifically for commercial real estate spaces such as shopping centers in this article for #WesternRealEstateBusiness. Great job, Ben! 😎🌿