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4 Growing Retailers, Mall of America Incubates Small Businesses, Resale and 11 More Tenant Updates

April 15, 2022

Community Commons: The cooperative retail space at Mall of America, donated by the landlord for businesses impacted by the pandemic and civil unrest in the area, is entering its fourth round of new tenants. Local entrepreneurs revolve through the space, giving brands the opportunity to test their concepts at the complex and expand to new audiences. The small businesses get free rent for the first three months. After that, they can remain in Community Commons with percentage rent. After six months, brands may have the opportunity to open independent spaces within Mall of America. The most recent additions include a Latin-influenced fashion label and a gourmet African coffee roaster.

Bergdorf Goodman Women’s Store: Luxury conglomerate Neiman Marcus Group is installing two 500-ton water-cooled Trane chillers at the high-profile Bergdorf Goodman Women’s Store at the foot of Central Park in Manhattan. The chillers are part of an environmentally friendly makeover of the 94-year-old building and will save $61,000 in energy costs annually, according to the company. They’ll enable the retailer to cut natural gas use and electrification and contribute to New York City’s goal of reaching net-zero greenhouse gas emissions by 2050. The Neiman Marcus Group has committed to 100% renewable energy use by 2030.

Buck Mason: This casual Los Angeles clothing brand, which sells 12 styles of T-shirts, will open a store at NorthPark in Dallas this summer. It will join the brand’s high street locations on Newbury Street in Boston; Georgetown in Washington, D.C.; and South Congress in Austin, Texas.

Dave & Buster’s Entertainment: The company will acquire Main Event from Ardent Leisure and RedBird Capital Partners in a transaction valued at $835 million. Both Dave & Buster’s and Main Event are based in Dallas. Main Event operates 50 centers in 17 states offering bowling, laser tag, arcade games and virtual reality. Dave & Buster’s has 150 units. The acquisition is expected to close this year. Main Event CEO Chris Morris will become the combined entity’s CEO. Each brand is expected to operate independently. Dave & Buster’s interim CEO Kevin Sheehan noted: “This is a transformational combination for both brands. From a strategic fit perspective, Main Event’s business model, footprint and asset quality aligns well with Dave & Buster’s. Main Event targets a different demographic, families with younger children, while Dave & Buster’s has primarily targeted young adults.”

Ganni: The Danish women’s fashion brand will open a store this summer at NorthPark in Dallas and one on South Congress in Austin, Texas. The brand already operates U.S. stores in the Miami Design District, Los Angeles’ Melrose Avenue and Williamsburg, Brooklyn.

Hive & Colony: The Boston-based bespoke menswear brand, which uses a body scanner to custom-design suits, will open this fall at NorthPark in Dallas. The retailer already operates units at luxury locations like Copley Place in Boston; SoHo in New York City; Westfield Garden State Plaza in Paramus, New Jersey; King of Prussia mall near Philadelphia; Aventura Mall in Miami; Westfield Valley Fair in San Jose, California; Tysons Galleria near Washington, D.C.; and SouthPark in Charlotte, North Carolina.

HBC: The Canadian retail group is taking a majority stake in flexible office and meetings company Convene. HBC plans to help Convene grow its footprint in office buildings and retail centers, including HBC-owned spaces. It also will convert its existing SaksWorks locations to Convene. HBC aims to merge trends in retail and office to meet the needs of employees that split their time between their companies’ offices and remote work. The pandemic and the rise of e-commerce have pushed up retail vacancy rates, but many former department stores offer a unique opportunity to add office space for collaboration and remote working.

Mango: The Spanish fast-fashion chain plans to open 30 stores in the U.S. this year. Mango has six U.S. locations and 2,447 stores worldwide.

Outdoor Voices: In the second half of the year, the activewear brand will launch its 12th store, its first Minnesota location, in the historic Colonial Warehouse building in Minneapolis’ trendy North Loop.

PacSun: The teen specialty retailer is the latest retailer to jump on the resale bandwagon. PacSun is letting its sustainability-minded customers swap their used purchases for credit and other merchandise via a proprietary channel created with online secondhand shopping platform ThredUp. Called Pre-Loved Pac, the platform encourages customers to rotate their wardrobes sustainably, buy secondhand and receive credit to repeat the process. PacSun joins Target and Lululemon on the growing list of retailers with apparel-resale programs. The past two years have seen a rise in secondhand shopping, and more brands are taking advantage. Target quietly has teamed up with ThredUp to sell used apparel, accessories and shoes. Target has over 400,000 items listed for resale, making it the largest branded resale shop on the site.

Parachute: Parachute has opened 15 stores since 2016 and plans to add 15 this year. In markets where the company has stores, traffic to its website climbs by 50%, founder and CEO Ariel Kaye told NBC News.

Park Manor 75: In Chicago, two entrepreneurs dedicated to promoting the work of Black artists and other creatives will open a South Side hub in a neo-speakeasy-style wine and charcuterie bar. Jacare Thomas and Charlette Stanton have showcased Black artists’ work since 2003, when they founded the Noir Urban Arts Collective, and are trying to provide a locus for this community with two spaces at 600 E. 75th St.: The Park and The Manor. They plan to open in August, featuring beer from Black brewers, spirits from Black distillers and work from creatives around Chicago. The project also will invite Black businesses to see the importance of pouring into the South Side community, Black Enterprise reported.

Quality Mart: At five of its fuel station convenience stores in North Carolina, Quality Oil Co. is adding “virtual drive-thru” tech that will allow customers to order items from the store to be delivered to their cars.

Robeks: The California-based juice and smoothie franchise has 90 units and is in growth mode after sales surged during the pandemic, according to vice president of real estate Jimmer Bolden. “Store sales are up 35 to 50% since March 2020,” Bolden said on Phillips Edison & Co.’s Retail Intel podcast. “We’re on a real growth pattern after pulling in the reins for several years and focusing on success of existing franchisees.” The company is pursuing multiunit franchise deals in new markets like Cincinnati, Ohio; Dallas; Denver; Kansas City, Kansas; Miami; and Salt Lake City.

Rite Aid: The pharmacy chain will cut costs by closing 145 of its 2,400 stores this year, including the 63 announced last quarter. The company lost $538 million in its most recently ended fiscal year.

Scotch & Soda: The Amsterdam-based lifestyle and fashion brand will open 20 stores globally within the next six months, including in the Union Market area of Washington, D.C., in May; at Somerset Collection outside Detroit in June; and at The Shops at La Cantera in San Antonio, Texas, in July. The company already has opened a store at Arizona’s Scottsdale Fashion Square and one in Boston’s Seaport District this year. By the end of September, the brand will have 46 stores in the U.S. and four in Canada.

Zimmermann: The Australian fashion brand is opening a store at Hyde Park Village in Tampa, Florida, this summer. The company has 14 stores across the U.S. in locales like New York City, Las Vegas, Miami and Palm Beach, Florida. The first U.S. store opened in 2011 in Beverly Hills, California.

—Additional reporting by ICSC Small Business Center executive editor Will Swarts

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