The 136,010-sf Target joins anchors Hecht's and J.C. Penney along with more than 100 specialty stores here. The Target unit occupies a space formerly occupied by GC Murphy, one of the mall's original 1959 tenants, which vacated the space in 1999. "We were thrilled, because it gave us a great opportunity to bring in a major national retailer," says Cheryl K. Dougherty, VP of marketing. "This kind of redevelopment is our key strategy," she explains. "We purchase assets to improve shareholder value and value to shoppers in an area. We identify the upside potential of an asset and then work to realize that potential."

The GC Murphy structure was demolished last summer to make way for Target. A new 74,000-sf space has been developed on the space at ground-level for specialty stores. PREIT constructed the shell for Target, which inked a 20-year ground lease for $300,000, and outfitted the interior space. According to Joseph Coradino, EVP of PREIT's retail division, PREIT deliberately took time to secure what he called "a prominent, noteworthy tenant. We knew Target would make a considerable impact on the region's retail landscape," he says.

Among the other tenants are Old Navy, Gap and Gap Kids, Children's Place and Office Depot. The mall is better than 95% leased. "This is one of our most successful malls," says Dougherty. This July it was generating just under $400 per sf. After a quick call to the manager, Dougherty tells GlobeStRETAIL, "sales per sf are now averaging $430 per sf. Target had its soft opening today (Oct. 6) and without any advertising or announcements, customers were lined up at the door this morning."

Renovations include new decorative tiles throughout, updated indoor and outdoor lighting, new benches, upgraded trays and trashcans in the food court, as well as a new grand entrance in the rear parking lot with elevators and escalators to Target. The center is currently better than 95% leased, according to Dougherty.

PREIT acquired Prince Georges in 1997 after managing it for a year. "It was one of our first acquisitions after acquiring the Rubin organization," she says. Echelon Mall was acquired in a multi-property portfolio from the Rouse Co. in June 2003. A new 147,550-sf Wal-Mart kicks off its redevelopment, which is currently underway at a cost estimated between $12 million and $15 million, not including the cost of the Wal-Mart unit, which is being constructed by the retailer.

Wal-Mart will occupy an outparcel previously occupied by J.C. Penney. Existing anchors are Strawbridges and Boscov's. The redevelopment also calls for remerchandising a former Sears anchor location. In addition, PREIT is creating a new court and mall entrance at the eastern end of the mall, facing Echelon Road and the new Wal-Mart.

"Wal-Mart is always interested in opportunities where we can re-use or recycle underperforming properties that will accommodate our layouts," says Mia Masten, Wal-Mart's director of community affairs. In 2003, the retailer located in a former Bradlee's unit at PREIT's Northeast Tower Center in Philadelphia and "would like to replicate that success on another in-fill, re-use opportunity," she adds.

This August, PREIT announced plans to redevelop Patrick Henry Mall to the tune of $25 million. It was in the Crown American Realty Trust portfolio when PREIT acquired Crown through a merger last year. "We're finalizing the redevelopment plans and scope now," Dougherty says.

That center is currently 99.5% leased and is one of PREIT's top producers with sales of $437 per sf. It is anchored by Hecht's, J.C. Penney and two Dillard's department stores. Plans call for closing the 65,000-sf Dillard's Men's store to make way for an expansion of the second story by 26,000 sf, creating a single 142,000-sf Dillard's unit.

In addition, Dick's Sporting Goods has leased a to-be-built 50,000-sf store, and PREIT is adding a 22,000-sf junior anchor and approximately 48,000 sf of new, small-shop, leaseable area. PREIT is in discussions with "upscale fashion and accessory stores and a themed restaurant" for this new wing, according to Coradino. Approximately $6 million is being devoted to improvements in the existing mall area. They include new flooring, lighting, mall entries and additional skylighting.