Brandon Holveck - Delaware Online
The Concord Mall is changing hands.
In a press release Friday afternoon, Allied Properties, the mall's owner and operator since 1998, announced it is selling the Concord Mall. Jim Oeste, the company's Vice President of Real Estate, said the new owners of the mall will be "Concord DE Holdings LLC." He said he does not believe the holdings corporation owns any properties in the area.
"Like many real estate investments, investments in general they go in cycles," Oeste said of the decision to sell. "You don’t typically own investment real estate forever."
The Concord Mall, built in 1968, occupies more than 800,000 square feet along Concord Pike in Brandywine Hundred. Its anchor tenants include Macy's, Boscov's and Sears.
The Concord Mall is the state's second-largest mall behind the Christiana Mall and, like its counterpart, draws shoppers across the border with the lure of tax-free shopping.
However, the mall's appearance has lagged significantly behind — its last major renovation was completed in 1994. It's vacancy rate is significantly greater than the Christiana Mall's and many of the open-air shopping centers in northern Delaware.
Multiple redevelopment plans, including one announced in 2017, have been floated over the past decade but none materialized.
MSC Retail, a national real estate broker, advertised a redevelopment as recent as the summer of 2019. A brochure for the project advertised full interior and exterior renovations.
"That’s always an option to do that," Oeste said Friday. "When you look at these investments, you either are going to sell or reinvest. We just felt as though it was in our best interest to sell."
An MSC Retail spokesperson declined to comment in May. The property was removed from MSC Retail's website shortly after.
Allied Properties will remain in control of the adjacent shopping center, which features Best Buy and Ulta. Sprouts Farmer's Market is due to open in place of the former Barnes and Noble in March.
Allied Properties expects to move its corporate headquarters from the mall to a larger space in the Delaware Corporate Center II down the block in March, according to the release.
The family-owned company manages many of Delaware's most popular shopping centers, including the Christiana Town Center off Del. 273 and the Christiana Fashion Center near the Christiana Mall.