Potomac Mills Sees Current Expansion as Model

WOODBRIDGE, VA-Potomac Mills will be adding 50,000-sf of new restaurant and retail space, along with the development of a Neiman Marcus Last Call Clearance Center in existing retail space, over the next three years. The expansion, which includes a redesigned main entrance, will begin on the south side of the sprawling mall at the AMC Theaters and extend towards Costco. Potomac Mills is more than 1.6 million sf, anchored by 22 stores and contains more than 220 retail shops.

Development costs for all stages of the new project will exceed $10 million, Gregg Goodman, executive vice president, development for the Mills, which owns Potomac Mills, tells GlobeSt.com. He declined to be more specific. Goodman notes that this expansion is taking place at the site of the mall’s last significant development three years ago–when the AMC Theater was moved to the front location of the mall. That was a lease transaction and the theater was responsible for developing the building, he adds.

Goodman says the mall would like to see this current development to be the first stage of a bigger expansion. “Certain pieces of property and merchandise segments, such as food and beverages, have not been as highly leveraged as they could have been. We want to take each expansion phase and build on that success with future development.”