Chain Store Age - July 2009

REDEVELOPMENT

bringing an aesthetic appeal to the property that is more aligned with what the customer wants today.”

A center’s architecture, amenities, community components such as gathering areas, the restaurant lineup, as well as a tenant merchandising plan designed for customer convenience are “all part of the formula to enhance the customer shopping experience,” said Coradino.

Cherry Hill Mall, a PREIT property in Cherry Hill, N.J., is a 1 million-plus-sq.-ft. mall in southern New Jersey that boasts the highest gross volume in the region. Opened in

1961, the mall has been in the throes of a $220-mil- lion redevelopment that has added Nordstrom to an already noteworthy department store lineup that features the No. 1

Macy’s in the region.

“There really are three pieces to this redevelopment that were crucial,” Coradino said. “First was introducing the first-class dining experience with

Maggiano’s Little Italy, Capital Grille, Seasons 52, California Pizza Kitchen — all with outdoor seating.” In addition, PREIT created a compelling physical environment at the mall and, just as important,

“We brought in first-to-market retailers, of which the best example is Nordstrom, which set the tone for the shopping center and allowed us to attract any number of retailers,”

Coradino said.

To date, 20 first-to-market retailers have joined the Cherry Hill Mall tenant list, including Crate & Barrel and Urban Outfitters.

Breaking the ceiling: In its multi-million-dollar remodel of South Hill Mall in Puyallup, Wash., owner The Cafaro

Co. defied convention by hosting a ceiling-breaking event
to kick off the project last March, rather than celebrating
with a traditional ground-breaking ceremony.

There was some logistical rationale behind the move, in that new ceiling treatments will be incorporated into the renovation of the 1,041,428-sq.-ft. enclosed regional mall. But the symbolic nature of the unorthodox demolition start can’t be ignored.

“At a time when many real estate developers are delaying — or abandoning altogether — projects for lack of financing,

we are able to forge ahead,” said Don DeSalvo, Cafaro northwest partner. The 60-year-old, Youngstown, Ohio-based company is using its own capital to fund the massive project, which will include — besides new ceilings — flooring treatments, skylighting and an improved interior lighting plan, a natural stone-fin-ished exterior and new entrance features, contemporary signage with a new mall logo, soft-seating areas with televisions and Internet access that Cafaro is calling “relaxation stations” and a new food court design that centers around an oversized stone fireplace.

Anchored by Macy’s, Target, J.C. Penney, Sears and Regal Cinemas, the mall complex has been a fixture in the Puyallup/Tacoma area for 20 years, and while it was still popular, it had become outdated. Its newly modernized look will be achieved at night so that current tenants can conduct business as usual during the construction. Slated for a November 2009 unveiling, South Hill Mall is expected to do a brisk holiday business.

“A renovation of this type does so much for not only
the tenants and the mall’s customers, but for the munici-
pality itself,” said DeSalvo. ■
kfield@chainstoreage.com

A ‘ceiling-breaking’ event
marked the multi-million-
dollar redevelopment launch
of South Hill Mall, a
1 million-plus-sq.-ft. enclosed
regional mall in Payullup, Wash.

Continued from page 82

In a trade area where competi- tion with other shopping malls is intense, Cafaro Co. has been able to thoroughly transform the appearance and amenities of a 31- year-old facility without interrupting the flow of commerce. All work is being done at night, outside of regular mall hours, and includes new floor and ceiling treatments, skylighting, new entrance features, contemporary signage, soft-seating areas and an inviting new food-court design with a stone fireplace.

Particularly noteworthy is the fact that Cafaro has required no outside financing for the project, funding the renovation out of the company’s operating reserves.

South Hill Mall

Location: Puyallup, Wash.

Size: 1,041,428 sq. ft.

Developer: The Cafaro Co.

Major tenants: Macy’s, Target, Sears, J.C. Penney, Regal Cinemas and Old Navy; at presstime, another major national retailer was expected to finalize its lease. Status: Construction is under way, with completion slated for Oct. 31, 2009.