5 Reasons Why Regency Square Mall's Days Are Numbered

[thelakelander]

So Belk is going to be a church and the west mall is going to be filled by International Décor Outlet vendors and an auto museum?  It will be interesting to see how this mix plays out.

By Karen Brune Mathis, Managing Editor

International Décor Outlet confirmed Monday it has signed a lease for 200,000 square feet of retail space in Regency Square Mall.
"We are taking over the entire west wing," said Sarah Verus, director of operations for Jacksonville-based International Décor Outlet.

She said the company will hold the master lease on the space and sublease it to international manufacturers and retailers who will set up showrooms to sell directly to consumers.

Verus estimates there will be about 57 units at Regency and expects construction to start on the spaces early next year.

"That is going to be filled in over the next year. We intend to fill up that space," she said.

She would not comment on lease terms.

Mall owner Mason Asset Management of Great Neck, N.Y., announced the lease Monday. Executives there did not return an email or telephone call for comment Monday.

The West Mall stretches from the former central-mall Belk space, now empty, west to the Sears store. The former Belk space is not included in the International Décor Outlet lease.

Celebration Church posted on its website that it plans a campus in the Belk space called "Celebration Regency."

Full article: http://www.jaxdailyrecord.com/showstory.php?Story_id=546584

[mtraininjax]

Love the auto museum. Should also include a bulldozer and allow patrons to ride through the mall taking out old shops.

[02roadking]

From
http://jaxdailyrecord.com/showstory.php?Story_id=546781

50 years ago this week:
• An all-day groundbreaking ceremony for Regency Square Mall, near the intersection of the Arlington Expressway and Atlantic Boulevard, began with a breakfast for 175 business leaders at the Thunderbird Inn hosted by Martin and Joan Stein, owners of the shopping center.

The day ended in a pouring rain as Gov. Haydon Burns and Joan Stein broke ground with chrome-plated shovels.

Burns, who was celebrating the first anniversary of his inauguration, said he never imagined Jacksonville would have air-conditioned streets Downtown.

"But you've come pretty close to it in Regency Square," he said.

The first major enclosed mall in the city, Regency Square would be the largest air-conditioned shopping center in the Southeast when it opened, scheduled in 1967.

Mayor Lou Ritter paid tribute to the Stein family for its contributions to the community.

"They are giving us the great things we need to make the Jacksonville area a regional center," he said.

[Ocklawaha]

While these things come and go in phases, it is interesting to me how quickly the citizenry has abandoned air conditioned malls in Florida and the desert Southwest for scorching sidewalks in faux 'town centers.' The creators of the faux fad apparently are for the most part too young to recall the wonderful canopies, porches and overhangs on the real downtown buildings. At least in 2 large malls in the Southwest included fixed transit with heritage open trolley cars. Since we seem to be more of a Walmart type market then a Saks 5Th my guess is we'll never see that in Jacksonville. Be interesting to see how long this trend lasts until some frustrated shopper decides this isn't the most comfortable way to go.

[spuwho]

While these things come and go in phases, it is interesting to me how quickly the citizenry has abandoned air conditioned malls in Florida and the desert Southwest for scorching sidewalks in faux 'town centers.' The creators of the faux fad apparently are for the most part too young to recall the wonderful canopies, porches and overhangs on the real downtown buildings. At least in 2 large malls in the Southwest included fixed transit with heritage open trolley cars. Since we seem to be more of a Walmart type market then a Saks 5Th my guess is we'll never see that in Jacksonville. Be interesting to see how long this trend lasts until some frustrated shopper decides this isn't the most comfortable way to go.

Retail doesnt want to pay such high CAM charges in their mall leases. So they went to strip malls.

So developers merged the indoor mall with the strip mall and created town centers, which essentially are strip malls facing each other.

Best of both worlds in rent, worse of both worlds in convenience.  Its not about the consumer you know, its about the bottom line.

[thelakelander]

Seems like things have come full circle. The open air "town centers" we see today aren't much different than the open air shopping centers that sprouted up around the country a decade before the enclosed mall took over.

[spuwho]

Seems like things have come full circle. The open air "town centers" we see today aren't much different than the open air shopping centers that sprouted up around the country a decade before the enclosed mall took over.

Agreed. Oakbrook Center in Oakbrook, Illinois and Northgate Center in Seattle all started off as "open air" malls in the 1950's.

Oakbrook is now semi-enclosed (about half is open/ half is inside) and Northgate built a massive roof overhead in the 70's.

[I-10east]

I don't look at differing mall types as 'fads' like many do in the present day, like this supposed theory; The early ultra urban department stores like May Cohens, to the indoor suburban shopping mall phase like Regency, to the outdoor suburban phase like the SJTC, and now back to the core with the urban shopping. In modern day present times, one shopping environment don't really have nothing to do with the other two (In the past that was the case), all three can be successful. 

The decline of SOME indoor shopping malls is all about shifting demographics (not always necessarily racially, but moreso a class issue). Malls don't close because of 'being too dim, no breeze' and other nonsense; In many cases the so called 'outdated indoor mall on the way out' is renovated but still fails because of demographic issues.

[thelakelander]

What's your reasoning for enclosed malls failing, only to be converted into outdoor strip centers/lifestyle centers and being successful again?  You probably have just as many of these situations across the country as new centers being built from the ground up. Here's one of example that challenges your position:

Winter Park Mall

Before:


After:

[spuwho]

I don't look at differing mall types as 'fads' like many do in the present day, like this supposed theory; The early ultra urban department stores like May Cohens, to the indoor suburban shopping mall phase like Regency, to the outdoor suburban phase like the SJTC, and now back to the core with the urban shopping. In modern day present times, one shopping environment don't really have nothing to do with the other two (In the past that was the case), all three can be successful. 

The decline of SOME indoor shopping malls is all about shifting demographics (not always necessarily racially, but moreso a class issue). Malls don't close because of 'being too dim, no breeze' and other nonsense; In many cases the so called 'outdated indoor mall on the way out' is renovated but still fails because of demographic issues.

Dixie Square Mall in Harvey Illinois is a good example of a mall failing due to changing demographics. It was closed after only 13 years. Also famous because it was used in the movie Blues Brothers.

Randall Park Mall outside Cleveland is another good example.

Randall Park Mall was surpassed by a town center format mall less than 10 miles away.

Dixie Square wasnt replaced as much as the demographic left Harvey so quickly. If anything Lincoln Mall in Matteson would be its replacement. Its a traditional mall in every sense.

Yorktown Mall in Lombard Illinois was near death, but a new owner bought it and completely revitalized it and brought in 2 new anchors. But it took almost 10 years to turn it around.

[I-10east]

What's your reasoning for enclosed malls failing, only to be converted into outdoor strip centers/lifestyle centers and being successful again?  You probably have just as many of these situations across the country as new centers being built from the ground up. Here's one of example that challenges your position:

I still think that the number of failed indoor malls due to demo shifts heavily outweighs any old indoor mall to lifestyle center changes. I don't know when that old pic was taken of the Winter Park Mall, but it looked extremely outdated, even moreso than Gateway's Mall. Had they even have a renovation as a indoor mall (before the lifestyle phase)? Although not every economy is as resilient as the touristy Orlando area economy.

I'm not denying that lifestyle phases with some dead indoor malls could prove to be a success; That maybe what the Doc ordered for Regency. Just looking at the lifestyle center vs an indoor mall (for a business point of view, not one from a humanitarian) I can see how it (lifestyle center) has an advantage, is it pretty much forces one to shop, and deters any 'hanging around' that can occur inside of an indoor mall.

[thelakelander]

I still think that the number of failed indoor malls due to demo shifts heavily outweighs any old indoor mall to lifestyle center changes.

From what I've seen over the last 20 years, I'd say they're more equal that heavily weighted either way. It's almost a case-by-case basis. If the demographics are receptive, many developers convert the failed indoor malls into outdoor centers. Jax's Roosevelt Square is an example of this. If there's a demographic shift and a main anchor or two close, the older smaller indoor mall typically fails.  Gateway would fall in this category.

I don't know when that old pic was taken of the Winter Park Mall, but it looked extremely outdated, even moreso than Gateway's Mall. Had they even have a renovation as a indoor mall (before the lifestyle phase)? Although not every economy is as resilient as the touristy Orlando area economy.

That pic was from when the mall first opened. It had been updated a few times before it was converted into a lifestyle center in the 1990s. In its case, increased competition from newer, larger malls, like Altamonte, ultimately killed it. The center today, has more restaurants and entertainment uses and less retail than the original concept. This tends to be the case for most renovated and newer centers successfully operating today.

I'm not denying that lifestyle phases with some dead indoor malls could prove to be a success; That maybe what the Doc ordered for Regency. Just looking at the lifestyle center vs an indoor mall (for a business point of view, not one from a humanitarian) I can see how it (lifestyle center) has an advantage, is it pretty much forces one to shop, and deters any 'hanging around' that can occur inside of an indoor mall.

I can see it the O&M being much cheaper for the developer because they would not have to operate and maintain a non-revenue producing enclosed pedestrian promenade.

[coredumped]

The area is still not a great destination for either food or entertainment, despite having the demographics that would support it, given a careful reappraisal of the tastes and needs of the area.

Nailed it right on the head there Stephen. The area is very densely populated with everything from section 8 housing to million dollar homes. The residents of Arlington drive past Regency on their way to the town center. They're spending money, just not at Regency. As you put it, it's going to take a radical redesign to bring it back.

That's not to say Arlington residents don't shop in their neighborhood - go to chik-fil-a, moes, grinders, university diner, home depot, lowes, bealls and target in the area and you'll find it full of local residents. But they really need a reason to go in to the mall itself, and regency hasn't done so.

[I-10east]

What's the deal with the Int'l Decor Outlet? Is it ever gonna come, or what?

[spuwho]

Indoor malls are dying because many can't generate the sales psf to support the lease rates and CAM malls demand.

Strip malls are much cheaper psf and the CAM is negligible.

Those mall tenants have to pay CAM which covers the indoor A/C, the plants and beautification of the halls and the parking lot upkeep, security, etc.

Strip mall tenants pay for the space, pay for their A/C and small CAM to cover signage and parking lot upkeep.

This has reduced many malls to tenants that have such high margins, they can survive relative slowdowns in foot traffic. This includes jewerly stores, sports footwear, etc.

On top of that, people are refusing to pay full or near full price for clothing.  "off mall" chains like Marshalls, Kohls can undercut mall pricing easily.

Indoor Malls are a trend in retail that has come and is now leaving.  The "town center" approach, which essentially is a collection of strip malls bundled together, makes the best of both worlds.