Outdoor Centers Find Place in Desert Sun

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PHOENIX-Vestar Development Corp.’s announcement that its 1.3-million-sf Tempe Marketplace has hit 95% occupancy, with one year to go before it opens, is news. But to those who follow the retail trends, the quick lease-up isn’t surprising.

Tempe Marketplace, Vestar’s 1.2-million-sf Desert Ridge and Macerich’s one-million-sf Biltmore Fashion Park renovation are prime examples of the industry’s ability to move from traditional power centers and enclosed malls to heavily landscaped, open-air venues with lifestyle components such as dining and entertainment. “We call it a power center on steroids,” says Tom Wood, senior vice president of marketing for Colliers International Inc. in Phoenix.