Strip Redevelopnment in First Tier Suburbs: A Success Story
by Maura K. Ammenheuser
This article is the
fourth and final article in a series
about strip center redevelopment in first tier suburbs supported by NLC’s First
Tier Suburbs Council.
It probably
wasn’t what Carson Pirie Scott had in mind.
In 1957,
the department store opened Edens Plaza, at the time a 283,000-square-foot,
20-acre open-air community shopping center in Wilmette, Ill., an affluent
Chicago suburb. Carson’s was the sole anchor.
For a long
time, everything was fine. But as any commercial property will, Edens Plaza
aged. Carson’s generally does not develop and manage shopping centers, noted
Paul Ruby, who was vice president of real estate with Carson’s in the early
1990s, when a redevelopment effort began. Today he is senior vice president of
real estate with Bon Ton Stores, Carson’s parent.
Before that point, Edens Plaza for
years was “starved for capital and it wasn’t a high priority,” Ruby said.
“It died a
certain typical kind of slow death,” agreed John Adler, formerly director of
community development for the town of Wilmette; he now works for Mountain
Village, Colo.
Edens Plaza became outdated,
especially in the face of competition from what today is known as Westfield Old
Orchard, just south of Edens. Old Orchard opened in 1956 and is now anchored by
Bloomingdale’s, Macy’s, Nordstrom and Lord & Taylor. It was remodeled
several times, said Dennis Harder, vice president, development services with
Joseph Freed and Associates LLC, the Palatine, Ill.-based developer that
eventually reworked Edens Plaza.
Stagnating, Edens couldn’t compete with Old
Orchard, sources said, and by 1990, Edens was mostly vacant, except for
Carson’s. Even its restaurants “never succeeded,” Harder said.
Clearly an
overhaul was in order.
Freed saw
potential at Edens Plaza due to its “excellent location in the heart of
Chicago’s affluent North Shore,” Harder said.
On the other hand, “the site was
severely under-utilized and was never effectively merchandised,” a Freed fact
sheet summarized.
“We bought it in extremely decrepit
shape,” Harder said.
Carson’s retained ownership of its
store — today it also operates a furniture store at the center, and owns some
of the land — but sold the rest of the site to Freed. The land sale gave
Carson’s capital for a store upgrade, Ruby added.
Freed expanded Edens Plaza
to include 340,000 square feet of gross leasable area, and reconfigured the
center to capitalize on its visibility from nearby Interstate 94, known locally
as Edens Expressway. Freed turned stores outward to face the expressway, and
remerchandised the property as an open-air specialty shopping center, according
to a company fact sheet.
Anchors Freed recruited were
exactly the categories Wilmette was lacking, Adler said. For example, a
Wilmette bookstore was going out of business, he said; Freed added Borders
Books and Music. Residents previously had to leave town to shop for bed and
bath items; Freed brought in Bed Bath & Beyond.
Other tenants include Starbucks,
Corner Bakery, Birkenstock, Road Runner Sports, a day spa and more. The
redevelopment brought Edens
up to full occupancy, Harder said.
The work required demolishing a few
buildings while ensuring that Carson’s remained open and accessible throughout
construction, Harder said. But the bigger challenge was parking.
Wilmette’s rules required one
parking space for every 200 square feet of retail, Adler said. Town officials
recognized that parking could be problematic for Edens Plaza, because there is
no alternative off-site parking to accommodate overflow traffic on busy days,
Adler said.
The town worried that people would park elsewhere, then try
crossing major roadways surrounding Edens on foot, clearly an unsafe move. The
concern was not only over holiday shopping seasons but for more regular visits
by customers to the redeveloped center’s cluster of restaurants.
The town wanted underground
parking, but that was too expensive, Harder said.
Freed wanted to build a parking garage, he said, but the
town balked at what it felt would be an ugly, urban structure in what they
preferred to think of as a pastoral suburban setting.
Eventually, Freed got a variance
from the town for one parking spot per 220 square feet, Adler said. The center has 1,372 parking spaces.
Freed persuaded the town that, although parking could be problematic during
peak shopping days, the rest of the year, parking is in demand at different
times for stores and restaurants, so the center could shrink its parking lot
accordingly.
“It seems to have worked over time,” Harder
said – though today, discussions of adding outparcels are prompting more head-scratching over
how to squeeze more parking onto the site.
“Looking back on it, probably more
communities are saying, ‘Why did we make them build all that parking?’ ” Adler
said. Vast lots aren’t pretty and they’re typically only filled a few days per
year, he noted.
Edens Plaza held a grand reopening
in 1995. Since the redevelopment, the center has gained grocer The Fresh
Market.
Today Edens is fully leased, and
Harder notes that Freed always has more tenants ready to move in should a
vacancy occur. Freed’s fact sheet claims it “dramatically altered the retail
imbalance in the trade area.”
Edens Plaza
looks good, too, Harder said: “Our design and architecture have aged very
well.”
Details: For more
information, contact Christy McFarland at (202) 626-3036 or mcfarland@nlc.org.
All delegates at NLC's Congress of Cities and Exposition are invited to attend
the upcoming meeting of the First Tier Suburbs Council on November 15 from 2
p.m. to 5 p.m. The focus of the meeting will be strip center redevelopment and
will feature the Edens
Plaza case study.
Maura K. Ammenheuser is a regular contributor to Shopping
Centers Today, a publication of the International Council of Shopping Centers
(ICSC). ICSC, an NLC Corporate Partner, is working closely with the First Tier
Suburbs Council in a study of strip center redevelopment.
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