Considerations for Reviving Old Shopping Malls

​For decades, shopping centers and malls have been an undeniable part of people's social experience. However, in recent years, the traditional shopping mall has faced many challenges, and many are on the decline. E-commerce has dealt a heavy blow to these once thriving social hubs, with many experiencing a major anchor tenants’ exodus, leaving property developers with lots of unused space. Although some have closed permanently, developers have conceptualized many shopping malls.

Resuscitating a struggling or old shopping mall takes creativity to achieve cohesive development. Many of these shopping centers occupy huge tracts of land with multiple layers of entitlements, which makes it critical for developers to work with municipal and local authorities to ensure the process is streamlined and cohesive. Several considerations are worth taking into account when reviving old or struggling shopping malls.

Innovation is key to attracting today’s customers. To reestablish malls as prime destinations for shoppers, integrate new retail concepts. Design the shopping mall as a full concierge experience or personalized service that draws consumers. For example, adding entertainment facilities like amusement parks, movie theaters, and family recreational areas can transform a mall into more than just a shopping venue as it enhances appeal. Also, malls need to move from the suburbs and town outskirts, where many are located, back to communities as centers of the local economy.

A modern shopping mall needs a broad tenant mix to survive. For underperforming malls, developers may need to review their tenant mix and ensure they house different leading brands at strategic locations spread across the venue. This may, however, call for more in-depth market research to identify customer needs. As part of mall development, it may be worth considering incorporating housing units as they present an opportunity for both a shopping and an all-in-one living solution.

Shopping malls should cater to the needs of both renters/leases and retailers. Retaining a box and four walls won’t appeal to either of these parties. Therefore, as part of the offerings, shopping malls should consider mixing the space with diverse marketplace footprints and other pop-up features like covered verandas and stalls to attract smaller tenants that need something different from the square or rectangular space or even shorter leases. Farmers' markets and food halls should reflect local tastes.

For some communities, this could mean catering to the changing needs of millennials and Generation Z, such as working and playing spaces. In contrast, in others, it may require redesigning some elements and features to accommodate senior citizens. Yet for other communities, it simply could mean incorporating features and activities that help alleviate everyday pressures and time away from the all-pervading social media. Add greenspaces, local art exhibits, concert venues, and sporting activities. For kids, malls add park-like play areas and interactive video game spots.

Malls should incorporate cutting-edge technology to create a unique shopping experience to appeal to the growing number of tech-savvy consumers. Leverage technology to improve the operational efficiency and functionality of malls. To make old malls more appealing, consider relevant architectural design and aesthetic upgrades to boost their visual appeal. To enhance the mall's appeal, consider integrating medical clinics, gyms, and spas.

Shopping malls often have vast parking lots. Whereas they provide essential parking for mall workers and visitors, these expansive parking lots offer opportunities to transform them into valuable assets that can contribute to a revival. Instead of completely demolishing the parking structure, a key strategy should be repurposing the vast spaces and possibly integrating mixed-use developments or even multifamily housing.

Paulin Modi Michigan

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