Pacific Retail Capital Partners’ Post

I see this trend continuing to yield positive results! "Many #mall owners are working to diversify their #properties with #entertainment, #offices and #educational #tenants, but a study published last year by #realestate firm JLL found #housing was the most popular use in these projects, as nearly 54% of mall #redevelopments in 2022 incorporated #residences. The same study found about one-third of redeveloped #anchor spaces in #malls, most often former Sears #stores, were scrapped for #residential uses such as #apartment towers. Residential projects can reenergize #retail properties with a new base of #customers on site who can boost #restaurants, #fitnesscenters and other businesses and also address the nation’s #housingshortage." #larrytheleasinglawyer

GGLO's James Bradley, AIA talks about the reinvention of malls and how the integration of housing into retail spaces represent a significant shift in urban planning and consumer behavior. Here’s how housing fits into the evolving landscape.

Great article on how developers are reviving old malls by replacing department stores with apartments. #modernretail #developers #TopRetailExpert #residential https://lnkd.in/gmmejBTq

Clybourn Place Development Update. Shopping Center Remake on Chicago’s North Side Could Include 500-Unit Apartment Tower Owner of Clybourn Place Says It Plans To Knock Down and Replace Most of Existing Retail Space. After losing the original Goose Island Beer brewpub, Patagonia and Bed Bath & Beyond as tenants, the owner of a shopping center on Chicago’s North Side is proposing a major redevelopment that eventually could include an apartment tower as tall as 520 feet. CRM Properties is drawing up major changes to the mostly vacant, 3-acre Clybourn Place shopping center in Lincoln Park, the largest of which would be the addition of up to 500 luxury apartments in a later phase, according to preliminary plans provided to CoStar News. If plans for an approximately 50-story tower are eventually approved by the city, it would bring significant changes to the Clybourn Corridor shopping district and nearby, low-rise residential streets east of Clybourn Avenue. https://lnkd.in/eUjb7EY3

Major Redevelopment Set for The Shops at Willow Bend in Plano Dallas-based real estate company Centennial is gearing up for a transformative redevelopment of The Shops at Willow Bend, Plano. Approved by the Plano City Council, this ambitious project, now dubbed "The Bend," aims to revitalize the mall into a vibrant mixed-use destination. *Key Highlights of The Bend Redevelopment:* - *Demolition and Construction:* Plans include demolishing up to 530,000 square feet of the current mall to make room for new residential, office, and green spaces, while retaining about 400,000 square feet of existing retail anchored by Macy’s, Dillard’s, and Neiman Marcus. - *Mixed-Use Vision:* The future of The Shops at Willow Bend includes a mix of up to 965 multifamily units, 40 townhome-like units, a seven-story office building, an 18-story hotel, and several retail buildings, enhancing the area's appeal and utility. - *Open Space Commitment:* A minimum of 10 acres is dedicated to open space, with 7 acres accessible to the public, ensuring the development not only caters to commercial needs but also enhances community well-being. - *Community Impact:* The redevelopment is expected to compete with major destinations like Legacy West and The Star in Frisco, aiming to retain and attract tax dollars within Plano. *What’s Next?* Construction is anticipated to start in early 2025, with the first phase projected to complete by mid-2027. This redevelopment is poised to become one of the most dynamic, community-focused destinations in the Dallas-Fort Worth area, promising a blend of retail, dining, and residential spaces. https://lnkd.in/dmGRHQka #BTR #dfwrealestate #cre

Brilliant to see another retail failure #debenhams getting converted into urban green space for the community. And even happier to see it gain the support it needs on Commonplace with overwhelming positive sentiment. Urban green space is such a hot topic across the millions of comments we receive on Commonplace about derelict / brownfield sites. We're able to keep track using our homegrown TrendsAI product which automatically analyses responses. What's hot? Green space Building height Car parking You might be surprised at how positive and constructive conversations are on brownfield development... when using Commonplace. https://lnkd.in/eqFKGjUm

The Century, a vertical mall located in #Chicago's Lakeview neighborhood has been put onto the market. While it is a historic piece of #RealEstate that has been renovated to its modernized state, it is also currently sitting at ~33% vacancy, when including tenants that have gone dark in the building. This building serves as an interesting case-study in the saga of urbanized vertical malls. Another vertical mall in Chicago's CBD, Block37, is also being marketed for sale, which is also experiencing high vacancy rates, despite arguably better connectivity because Block 37 has a subway station feeding directly into the building and directly connected to the Chicago pedway system. In Chicago, there seems to be a disconnect with consumers engaging with centralized shopping centers like these properties. Even with anchor attractions and amenities, like movie-theatres (which are found in both malls), both are adjacent to public transport and are located in densely populated areas of the city, there is something preventing people from spending their time inside these vertical malls. My guess is that this kind of retail experience has fallen out of trend with consumers. Both of these properties are in dense retail markets with ample competition of shops, restaurants and other retail experiences that do not involve navigating the interior maze of the vertical mall model. What do you think about these kinds of malls? FYI, I have recently caught movies at both of these locations and I can't say that movie theatres attract as much foot traffic as they used to. I'm not sure what kind of anchor attraction will restore foot traffic to these buildings, but whomever ends up buying them will have to figure out that piece of the puzzle. It probably does not help that The Century's front façade looks like it is only a movie theatre and not a broader mall.

https://lnkd.in/dNjtHYd8 Indoor malls, which usually have large surface parking lots, present a favorable opportunity for developers to build large mixed-use projects amid a scarcity of large developable tracts in dense neighborhoods, noted Jaime Sturgis with Native Realty, a Fort Lauderdale-based brokerage. “You have these big boxes and big pads on a tremendous amount of land that is underutilized,” Sturgis said. “These big retail centers are in prime locations that are well suited for some type of redevelopment, usually market-rate and affordable housing.”  Developers planning mall-to-mixed-use conversions also benefit from dealing with willing sellers that want to offload underperforming big box spaces, or that want to partner with a builder to add a residential component to an indoor shopping center, Sturgis said.  “As occupancy wanes, the debt service ratio for malls falls, and loans mature. Simultaneously, owners of those properties start exploring alternative exit strategies,” Sturgis said. “They can sell a portion to someone who can come in and do a better development, or they may do a joint venture by bringing in an equity partner to redevelop the asset.” Native Realty

Shopping Mall Conversions to Condos? Probably Not a Good Idea. I'm not sold on the concept of converting shopping malls into residential units. The quality and viability of these units as solutions for workforce housing are questionable. While the idea of repurposing unused spaces is interesting, it might not address the real needs of our communities effectively. What are your thoughts, yay or nay? #RealEstate #HousingCrisis #UrbanDevelopment #WorkforceHousing #CommunityPlanning #SouthFlorida