PHILADELPHIA, PA—Pennsylvania Real Estate Investment Trust and The Macerich Company say they have reached a tentative agreement with the City of Philadelphia on a redevelopment and re-branding of the historic Gallery shopping mall and transit center in the heart of Center City.

If approved by Philadelphia City Council, the Philadelphia School Reform Commission and the Philadelphia Redevelopment Authority, the Gallery will be rebranded as the Fashion Outlets of Philadelphia at Market East following a two-year renovation that will open the site to Market Street and completely reimagine the shopping, dining and entertainment experience for tourists, commuters, office workers, and residents throughout Philadelphia and the region. The project will offer a fusion of outlet retail taking the form of luxury and moderate brands, traditional mall retail, popular flagship retail, artisanal food experiences and entertainment offerings.

"We believe that the proposed redevelopment will position The Gallery as the next great urban marketplace in the United States, capitalizing on its central location where mass transit, tourism, the residential population and employment bases converge," says Joseph F. Coradino, CEO of PREIT. "The redeveloped property will become the foundation of a new, vibrant Market East District, and we are excited to lead this effort."