What's Driving the Retail Shift?

Bal Harbour Shops has updated its $400 million Enhancement Plan to village officials to create a high-end seaside shopping center.

MIAMI—Bal Harbour Shops are one step closer to expanding—and Matthew Whitman Lazenby , president CEO of Whitman Family Development , has his eye on retail trends as the company forges ahead. Whitman Family developed, owns and operates Bal Harbour Shops and is waiting on approval on plans for a $400 million investment in the open-air shopping center. GlobeSt.com caught up with Lazenby to find out what he sees in this exclusive interview. You can still rea part one: Five Years Later, Bal Habour Shops Still Trying to Expand . GlobeSt.com: In the past, luxury retailers have thrived in boutique and small-store settings. One of the reasons for your expansion is actually to give more space to some of these same retailers. What’s driving that shift? Lazenby: I think it goes right to demand: there’s now more demand for luxury goods in general. And on top of that, consumers are also demanding a greater variety of goods. Taken together, that’s pushing luxury retailers to dedicate more retail space to display and sell not just their products but to communicate the totality of their brand heritage, lifestyle, and experience through their store design and merchandising, meaning that larger stores are the order of the day. It’s pretty remarkable and a stark contrast to so many of the big-box type retailers who are closing down these days because of online competition. The fact that we’re in the luxury sector—and that our consumers very much want the shopping experience that we offer—has insulated us from that. GlobeSt.com: What kind of new retail will be coming to the Shops with this new plan? Lazenby: The Enhancement Plan will bring an exciting new dynamic to the Shops. First of all, our two longtime anchor tenants, Neiman Marcus and Saks Fifth Avenue, will be expanded and completely upgraded. Plans also call for the first Barneys New York flagship store in the southeastern US to open at the Shops. That’s a big get for us. And along with these larger tenants, we’ll be adding new boutique retailers to our shopping lineup and welcoming new restaurants into the mix, as well. We’re really excited about what all of these additions will mean for the Shops and of course for our tenants and customers.