A new model for dying malls? Developers plan reuse of Concord Mall in Elkhart
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An Ohio developer is hoping to breathe new life into Elkhart’s emptying Concord Mall.
An extension of the traditional shopping mall experience, however, is not in the cards for the once-bustling center.
Developers with Cleveland-based Industrial Commercial Properties (ICP) have proposed taking steps to transform the mall in south Elkhart into a business park with a mix of light industrial use, smaller retail units and apartments.
The original complex, built in 1972, has seen its busier days. Only a handful of storefronts remain open today, and major retailers like Carson’s and JOANN Fabrics closed or relocated years ago.
Proposals in 2016 to revitalize the mall with an outdoor shopping center concept never materialized due to a lack of financial backing, one Elkhart common councilmember said. And, a prolonged ownership dispute extending into last year signaled to many that the one-time destination’s days were numbered.
After JCPenney announced its intention to close earlier this year, ICP decided to study the property. The development firm has made a model of scoping out failing malls and department stores across the country ripe for repurposing.
ICP Executive Vice President Keith Brandt said his team typically looks for properties with a strong regional draw and workable physical structure in cities where the company feels it can garner support from public officials.
They’ve picked up similar projects in Akron and Springfield, Ohio, as well as the St. Louis suburbs. Concord Mall, the developer says, will be ICP’s entry to Indiana.
“Elkhart checked every box that we needed to have,” Brandt said.
ICP is under contract now to take ownership of the 500,000-square-foot property, which includes more than 80 acres of developed mall space, parking lots and adjacent outparcel land. Brandt said he expects ICP will close later this year.
The ICP executive declined to disclose the price of the sale and the company’s total estimate for renovations to Inside Indiana Business, but ICP owner Chris Semarjian told Elkhart leaders in a plan commission meeting last month that his company’s investment would be “tens of millions of dollars.”
ICP envisions a complete rethinking of the mall. The outdoor façade will be brightened with refreshed entry points and the inside will be sectioned off into separate units for light industrial use. Current plans call for eight individual spaces, but these can be adjusted as determined by businesses interested in moving in, Brandt said.
Much of the mall’s interior — still preserved from its original 1970s design — would be gutted to make way for the new units, and developers say they will work with small retailers, like the popular Enzo’s Pizza, to find space within future development on the site or elsewhere in the city. Large tenants like Hobby Lobby, ABC Warehouse and a local dentistry are expected to stay.
ICP doesn’t have any prospective tenants lined up yet to enter the mall space once converted. Developers say that’s by design. They would rather show clients a space closer to what they would be moving into rather than the mall as it sits today.
“Once they see it — the money that’s being spent and the investment that’s taking place — that’s the first step of the revitalization,” Brandt said.
Developers say work within the mall and on its exterior could begin before the year’s end. They also envision additional developments on the property, including new construction for apartments and retail in what are now empty parking lots no longer servicing the near-vacant shopping center.
City leaders are embracing the plans, which they see as an opportunity — along with the expected construction of a new railroad overpass directly across from the mall — to bring life to a more widely neglected section of the city. They say developers approached them early in the process and the prospect of new apartments held particular appeal as Elkhart looks to address a need for more affordable housing. The project also could be an economic driver, bringing potentially hundreds of jobs to the area.
“This could be a win-win for everybody,” Common Council President Arvis Dawson said. “Our housing market is low right now and we need more affordable housing, we need more workforce housing, and we need more market-rate housing. A combination of all those things I think it’ll be something that the community is going to benefit from.”
Elkhart Council President Arvis Dawson speaks on the decline at Concord Mall.
Some residents in the area, which abuts several neighborhoods close to Concord High School, have questioned proposals for light industrial use. Chief among their concerns are increased traffic, sound pollution and overall unsightliness depending on which businesses move in and how they decide to use the space. They’ve asked for a commitment to maintaining some type of a buffer — a wall or natural landscaping — to separate their neighborhood from the new development.
Developers say they don’t expect traffic to become any heavier than it was during the mall’s heyday, and say their vision for light industrial use is not smokestacks and heavy manufacturing.
City leaders have specifically outlined what is and isn’t allowed on the property in a zoning amendment request approved last week. Chemical processing and tire recycling, for example, will not be allowed on the site. Truck, tractor and trailer storage will only be allowed as an accessory to other businesses. And, any of that storage must meet buffering requirements.
Elkhart officials acknowledge the sentiment the building holds and say they want to approach the area with care.
“Our memories of being there for Christmas and Easter and shopping with our families are unfortunately long gone and the reality is they’re not coming back,” Councilmember Aaron Mishler said during a council meeting this week. “If we can use the memory of the mall almost to continue to support economic growth and to continue to help support our need for housing in the community, then I think it’s a good idea.”