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."
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Erika Morphy
Erika Morphy has been writing about commercial real estate at GlobeSt.com for more than ten years, covering the capital markets, the Mid-Atlantic region and national topics. She's a nerd so favorite examples of the former include accounting standards, Basel III and what Congress is brewing.
