SPRINGFIELD, VA—Pennsylvania REIT reports that Springfield Town Center has recorded $505 per square foot in sales for tenants with less than 10,000 square feet open during the center's first full year of operation after its renovation. Or put another way, sales by these tenants were 18% above the company's portfolio as of September 30, 2015.
The past year's performance was closely watched. The renovation of the 1.35-million mall, begun and largely completed by the previous owner, Vornado Property Trust, represented a significant financial investment as well as intutive bet that the affluent local market would respond positively to the redesign.
This year, retailers and restaurants have leased 87,000 square feet at Springfield Town Center, including Nordstrom RACK, Francesca's, Finish Line, New York & Co. and Wood Ranch BBQ.
Another 73,000 square feet of space is committed for 2016.
These leases represent another victory for the retail center, which reopened in October of 2014 with a 81% occupancy rate. The non-anchor space, at that point, had an occupancy rate of more than 60% but it was expected to reach 90% by the end of 2015.
PREIT acquired the mall from Vornado Realty Trust in 2014 in a $465-million transaction.
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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.
