Larry Feldman, CEO of the company that bears his name, tells GlobeSt.com the new owner will invest more than $40 million in capital expenditures and tenant upgrades at the property over the next two years.
Concurrent with the acquisition, Feldman inked leases for an aggregate 410,000 sf with two new major anchors and a long-term renewal with Hecht's for 180,000 sf. Springfield, MO-based Bass Pro Shops will convert space currently occupied by Lord & Taylor into a 225,000-sf fishing, hunting, camping and boating mecca. Bass Pro, which has gained "destination" status, attracts an estimated three million shoppers a year. The local unit will be the largest Bass Pro store other than its flagship location in Springfield.
Meanwhile, Boscov's will renovate and expand the mall's former JCPenney store into a 185,000-sf unit, its third in the metro area. In addition, Hecht's inks a long-term renewal for approximately 180,000 sf. Other current tenants are Gap, Victoria's Secret, Disney Store, Limited, American Eagle, Waldenbooks, CVS, Footlocker and Kay Jewelers.
The property, which was built in 1969 and renovated in the 1990s, is currently 86% occupied. It has space for significant mall and out-parcel development, including an arcade, entertainment theme restaurant or multiplex theater. Feldman says it "holds tremendous upside potential through the implementation of an aggressive leasing campaign to attract new tenancy and to retain its many existing quality tenants." It is "exactly the type of property Feldman Equities is currently targeting under our focused acquisition plan," he adds.
Feldman tells GlobeSt.com he expects pedestrian traffic to increase "ten-fold," based on the draw of Bass Pro and Boscov's and the planned renovation. "Because rental rates are based on store volume, we have not yet set rental rates," he says. Feldman is the former chairman and CEO of New York-based Tower Realty Trust. Feldman Equities recently acquired Foothills Mall in Tucson, AZ and invested more than $18 million in renovation and upgrades.
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