Kane County Reporter

Once thriving shopping malls in Illinois and across the nation are facing challenging times as online retailers and home delivery services gain popularity among shoppers. According to recent research, foot traffic and sales at shopping malls in the U.S. have increased from 2019 to 2022, indicating a potential resurgence in the industry. However, the number of malls has significantly decreased over the years, with an estimated 2,500 malls in the country in 1980, and now less than 700 remaining, which could further decline to just 150 in the next decade.

In Illinois, several shopping malls have successfully adapted to the changing landscape and found ways to thrive, while others have been abandoned or repurposed. Two former shopping mall locations in the Chicago area, Fox Valley in Aurora and Hawthorn in Vernon Hills, are being transformed into senior housing facilities. These communities, set to open in 2024, will provide age-restricted independent living options. Fox Valley will include 212 units, while Hawthorn will consist of 162 units.

Chicago's iconic Water Tower Place, known as the world's original urban vertical shopping mall, is also considering major changes. The eight-story mall, which opened in 1975, may see its upper floors redeveloped into offices or apartments. The rise of online shopping and the impact of the COVID-19 pandemic have contributed to high vacancy rates on North Michigan Avenue, with Macy's closing its department store at Water Tower Place in 2021.

The Skokie Mall embarked on a massive redevelopment plan in 2022, attracting new stores and restaurants while some anchor department stores closed. The mall is set to become a mixed-use space, including residences, health and wellness amenities, and an outdoor plaza. Detailed plans for the redevelopment are expected to be unveiled in early 2024.

Sandburg Mall in Galesburg, once a bustling hub with anchor stores like Bergner's, Sears, and JC Penney, has been mostly vacant since 2018. However, there are plans underway to revive the property by transforming it into a hotel and upscale restaurant. Additionally, the interior wings of the mall could potentially be converted into apartments or a multi-family independent living facility, with the owner working closely with the city to revitalize the area.

The Pekin Mall, opened in 1972 with 57 stores and 3,000 parking spaces, has undergone significant changes. Rebranded as East Court Village, the property now houses a shopping center with various retail stores. While many original mall structures have been repurposed, some areas remain abandoned and empty. All anchor stores, including Bergner's and JC Penney, have been closed for an extended period.

Illinois Centre Mall in Marion, a community staple since 1976, closed its doors in recent years. The property has been purchased and is currently undergoing renovations to become Oasis Motorsports, a retail and entertainment center. The mall, once home to 100 stores, including anchor stores Macy's, JC Penney, and Sears, will be transformed into a modern destination for shopping and entertainment.

Some former shopping malls in Illinois have met a different fate. Dixie Square Mall in the Chicago suburb of Harvey, famously used in the movie "The Blues Brothers," was closed permanently in 1978 and remained abandoned and neglected for decades. The property was finally demolished in 2012 after failed attempts to redevelop it. Charlestowne Mall in St. Charles closed in 2017 and remains abandoned at present.

Despite the challenges facing the industry, shopping malls in Illinois are not entirely obsolete. The Woodfield Mall in Schaumburg, located northwest of Chicago, remains the largest shopping mall in the state, boasting 234 stores and seven restaurants. Oakbrook Center in Oakbrook is the second-largest mall in Illinois, offering a variety of shopping and dining options.

Recent reports indicate that shopping mall traffic in the U.S. increased by over 10 percent in 2022 compared to 2019. This growth can be attributed to Generation Z, the young consumers born between 1995 and 2010, who are leading the charge in reviving the mall experience. These consumers, despite researching products online, are eager to visit physical stores for further exploration and social experiences. The high turnover rate of stores in malls allows for the inclusion of the latest trends and profitable retailers, attracting Gen Z consumers who value sustainability and environmentally conscious brands.

As shopping malls continue to adapt to the changing marketplace, it is evident that innovative strategies and appealing experiences are key to their survival. The success stories in Illinois demonstrate that with careful planning and creative repurposing, former shopping malls can find new life and contribute to the evolving retail landscape.

For additional details, please follow this link: https://repugaste.com/2023/11/16/former-shopping-malls-adapt-to-changing-marketplace-in-illinois/