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Mall: Is out the new in? PDF Print E-mail
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Written by Erin Frustaci   
Thursday, 14 December 2006

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Above: The Promenade Shops at Centerra are reflected in a store window. Photo by Heidi Muller for NEXTnc. Second photo: Mall foot traffic, wire photo.
Growing up, the mall was the prime teenage hangout.
Boys congregated at the arcades and girls shopped until they, well — dropped. Fast forward to the present — we now have stylish shopping centers with restaurants and trendy stores in the great outdoors.

With outdoor shopping centers popping up like that zit before prom, you start to wonder: Are indoor malls out and outdoor malls in?

Northern Colorado already has two indoor malls, but The Promenade Shops at Centerra in Loveland is an indication of a growing trend.

If a new shopping center is coming into your neighborhood, there’s a good chance it will be outdoors.

Terry McEwen, president of Poag & McEwen Lifestyle Centers and co-owner of the Promenade Shops at Centerra, says the new outdoor shopping centers, referred to as “lifestyle centers,” are changing the way we think of shopping.

“People in Colorado love the outdoors and are not intimidated to shop in the outdoors,” he said. “In northern Colorado, shopping habits are changing to Centerra. We’ve done studies on where shoppers come from and found we are getting an equal percentage from Fort Collins, Greeley and Loveland, and are also getting shoppers from Longmont and Windsor.”

Poag & McEwen has developed 13 lifestyle centers across the country in the last 20 years. McEwen said these centers offer the convenience of parking near a specific store, safety and a pleasant outdoor environment.

“In today’s industry, lifestyle centers are in high demand,” he said. “Indoor malls are not being built anymore.”

Patrice Duker, manager of media relations for the International Council of Shopping Centers, said though nationally four large centers are scheduled for 2007, all are open-air projects.

McEwen said he suspects high-end indoor malls, such as Cherry Creek will remain successful, but mid- and low-end malls will close.

Melody Hartmann, 27, of Loveland, has half of her Christmas shopping in the bag. She’s done a little online, a lot at Barnes & Noble at Centerra and more at Foothills Mall in Fort Collins. Hartmann appreciates the convenience of Centerra being close to her home, but she still favors indoor malls.

“I think indoor malls are going, unfortunately,” she said.
Melissa Moran, marketing manager with Foothills Mall in Fort Collins sees it another way.

“I don’t think indoor malls will ever go out of fashion,” she said.
Though the mall would not release sales numbers, Moran said some retailers are doing really well this year and some may not be doing as well as they maybe had hoped.

“A lot of factors go into the success of a shopping center,” she said.
For example, the overall experience, amenities and variety of special events and programs have helped carve a niche for Foothills Mall.

And when the weather dips into the frigid teens, people pour in, Moran said.
As the mother of a not-quite-
2-year-old, Hartmann says outdoor shopping in Colorado’s unpredictable weather is not always an option.

“It’s hard to take him out in the cold,” she said. “It’s too cold to shop outside all the time.”

Last year, Moran said, about a million shoppers visited Foothills Mall between Thanksgiving and the beginning of January. Still, competition is inevitable.

“With our region growing as rapidly as it has, competition was expected,” she said.
And though she could not go into detail, she added that the mall has plans that will help it maintain a competitive edge.

Meanwhile, yet another outdoor shopping complex has been purposed for the region. The Front Range Village, a 910,000-square-foot project of Bayer Properties, is scheduled to open at Harmony and Ziegler roads in Fort Collins in June 2008. Anchor tenants will include a Super Target and Lowe’s Home Improvement.

Because the project is still in the beginning phases, the impact it will have on Foothills Mall and other shopping centers is unknown. One thing is certain though, the traditional indoor malls are not giving up yet. Centers across the country are finding ways to adapt. Some add outdoor components, like what is found at FlatIron Crossing in Broomfield.

In 2003, the Greeley Mall undertook a renovation which included a new food court complete with a fireplace, comfortable seating areas throughout the mall, a new children’s play area and family restrooms. In 2004, a 12-screen Cinemark movie theater opened, and the Greeley Mall joined about 10 percent of regional malls in the nation which have a cinema as an anchor.

“The mall’s remodeling achieved it’s goal of offering the types of amenities attractive to today’s busy shoppers,” said Meg Patenaude, marketing manager for the Greeley Mall.

Patenaude said indoor shopping centers and outdoor centers are two different environments, and therefore both have their own place.

While the future of indoor malls as we know them may be somewhat uncertain, Patenaude and Moran are confident in future existence.

“Foothills has been here since 1973 and is planning to be a strong part of the community for many, many more years,” Moran said.


———
Some department stores leaving malls to grow business

By Erin Frustaci
Call it irreconcilable differences, many malls and department stores are going their separate ways. Department stores are popping up in off-mall locations and malls are less reliant than ever on these stores as anchors.

Northern Colorado has seen industry changes recently with JCPenney’s moving from the Foothills Mall to an off-mall location on College Avenue and Macy’s joining The Promenade Shops at Centerra.

Kim Giedd, store manager of the JCPenney in Fort Collins, said the new location at 135 Bockman Dr. — the old ShopKo building — is expected to double business. The store moved from Foothills Mall in October as part of a company-wide accelerated growth strategy. Twenty JCPenney stores celebrated grand openings nationwide the same day, with two others also in Colorado.

“We are doing very well,” said Giedd, who has worked for the company for 21 years.

Some of the new changes include a larger store, the addition of houseware and appliances lines and more convenient parking.

According to a release, 80 percent to 90 percent of JCPenney stores scheduled to open between 2007-2009 will adopt the off-mall format.

“The biggest thing is easier access,” Giedd said. “Because we are right here on College, we get a lot of traffic. It’s easier to find.”

Though department store sales have been down in recent years, some experts say they are making a comeback. Sales were up 5 percent this November from 2005 figures, according to the International Council of Shopping Centers.

Melissa Moran, marketing manager of Foothills Mall, said because it has only been a few months since JCPenney left the mall, the impact is not clear yet.

“What it does mean for our company is it allows us to do what we want to do with that space,” Moran said. “It allows us to say, ‘What would be a good fit for the community and for the center?’ Ultimately, it’s a positive for Foothills.”

About 20 percent of mall anchors are retail other than department stores, such as discount stores, big-box home stores, restaurants, cinemas and sporting goods stores, according to the International Council of Shopping Centers.

Meg Patenaude, marketing manager at the Greeley Mall said every store is important.

“Having a cross-section of national, regional and local merchants allows the mall to offer a wide variety of merchandise to shoppers.”
Erin Frustaci
———
COLORADO'S LARGEST MALLS

Park Meadows, Littleton, opened 1996
1,646,739 square feet

FlatIron Crossing, Broomfield, opened 2000
1,544,397 square feet

Westminster Mall
Westminster, opened 1977
1,500,000 square feet

The Southlands, Aurora, opened 2005
1,500,000 square feet

Southwest Plaza, Littleton, opened 1983
1,285,095 square feet

Colorado Mills, Lakewood, opened 2002
1,200,000 square feet

Chapel Hills Mall, Colorado Springs, opened 1982
1,174,070 square feet

The Citadel, Colorado Springs, opened 1972
1,045,469 square feet

Aurora Mall, Aurora, opened 1974
1,016,000 square feet

Cherry Creek Mall, Denver, opened 1990
1,016,000 square feet

Source: International Council of Shopping Centers
----
HOW WE COMPARE

Foothills Mall, Fort Collins
, opened 1973
600,000 square feet

Promenade Shops at Centerra, Loveland, opened 2005
678,000 square feet

Greeley Mall, Greeley, opened 1973
500,000 square feet






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