Macy's Northgate closing (Cincinnati, Dayton, Fairfield: 2015, lease, loan)

[mike1003]

Announced today.


Another dead mall gets deader!




I'm sure Tri-County is soon to follow

[Cincygrad2015]

Originally Posted by mike1003

Announced today.


Another dead mall gets deader!




I'm sure Tri-County is soon to follow

I’d say if anything the tri county one would move up to Liberty center. I think the West Chester residents keep that one alive.

[mike1003]

Originally Posted by Cincygrad2015

I’d say if anything the tri county one would move up to Liberty center. I think the West Chester residents keep that one alive.

Probably true.

[wrightflyer]

Originally Posted by mike1003

Probably true.

Maybe. Macy's is more concerned at renovating existing high-profile stores, such as Kenwood or Easton. I don't know if they would open a new location at Liberty, even if the Tri-County location closes. I could potentially see a Backstage (Macy's version of a Dillard's Clearance Center) in reduced floor-space at Tri-County or in a smaller but new space at Liberty. Going after the successful TJX stores has become the thing to do, especially since Forever 21 and to a lesser extent, the larger H&M stores have fallen to the generational wayside. Perhaps they are having mid-life crisis? Time will tell for them. But large scale department stores are not going to be anything new, unless the center is high-profile and high-dollar.

Liberty is weird. The demographics and money of the area works, but the management could not secure the needed tenants to really make it shine like Easton. I think the new management company replacing JLL has the experience and portfolio network to make it happen. Obviously the loan holders were not happy with Steiner as evident of being booted for JLL.

"Traditional" malls in the Cincinnati market are dead. Outside of Kenwood, Florence is the next best option, and it is not doing great. If you look further north to Dayton, only Fairfield Commons is doing better than any of the other "traditional" malls outside Kenwood.

Most new centers are lifestyle, or really nicely kept strip centers. Rookwood is a great example. It is probably about 90-95% leased. Has a number of high profile tenants, including the return-to-market West Elm location, as well as REI, Sur La Table, Banana Republic and Whole Foods. Plus they have the neighboring big-box center with Nordstrom Rack and TJ Maxx. Crestview is slightly more downmarket than Rookwood, but holds its own. If it wasn't for Crestview, many of those stores would probably be at Florence.

The funny thing is Crestview and Anderson both used to be indoor malls and both re-invented themselves and have been fairly successful. I think Northgate is probably better positioned to capitalize on a similar redevelopment, but it will never be a "premier" Cincinnati destination. More a local place to shop for things you don't want or can't find at Kroger Marketplace, Wal-Mart or Meijer's. It can certainly be done with Northgate, but it will take a good developer and time, patience and of course money.

I expect Tri-County or Eastgate to go by the wayside soon. Then perhaps Florence, especially if anything new is built further south in Union or even Walton.

[Coseau]

Liberty Center's problem is that it is surrounded by a sea of giant strip malls and big box stores that provides a similar function. On top of that all those strip malls and big box stores are on more heavily traveled main thoroughfares closer to the freeway exits. Liberty Center is on a road where the average speed is between 45 to 55 miles per hour similar to a highway. Combine that with Liberty Center's U shape layout where most of the stores are setback about 75 yards from the street meaning you'll pass by Liberty Center so quick as you zoom by at 50 miles an hour you won't even notice the place because it will look like all the other strip malls in the same vicinity .

[on3]

I'd like to see a DXL Big + Tall open up at Liberty Center. Not everyone is a tiny little manlet that drives around in a Dodge Diesel Dually in an attempt to over compensate.

[Misfit Toy]

I was in Northgate the other day. About half the store spaces are empty and it was pretty dead there even by weekday morning standards. The only viable place in the food court is Smoothie King. I've been wondering for years whether this is the year that Northgate finally goes belly up. Based on what I saw, that could very well be this year. It's kind of a miracle Macy's lasted there for as long as it did.