Valley West Mall is finally sold
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Valley West Mall food court. Photo: Linh Ta/Axios
After years of delays, Valley West Mall has finally sold, though JCPenney's longstanding lease could hold up redevelopment.
Why it matters: The 58-acre site is in a popular traffic area ripe for commercial and residential development, but the empty, aging mall structure is a major impediment.
- "The slum and blight is going to start to spread if we can't start redeveloping that site," Mayor Russ Trimble tells Axios.
State of play: Threshold Capital, a real estate company based in West Des Moines, completed the $11 million purchase on Monday, CEO Brian Martin tells Axios. His company is behind Spectrum 36 in Ankeny.
- Martin wants to demolish the mall and turn the site into a mixed-use development, including housing, an outdoor music venue, shopping, restaurants and bars.
- But he says he can't move forward at the moment because JCPenney, the lone anchor left at the mall, has a lease through 2032 that doesn't allow redevelopment.
- He's asking a district judge for declaratory relief on the 50-year lease and clarification on restrictions.
What they're saying: The city is willing to invest $110 million into the site if Martin creates something "out of the box" that's pedestrian friendly and appealing to residents, Trimble says.
- He wants a site where people living in the area can walk to everything they need, like shopping, coffee shops and a gym.
- "I've got such fond memories of Valley West Mall, but it's time has come and gone," Trimble says, noting the affect of online shopping on retail.
The big picture: West Des Moines is also reimagining the areas surrounding the mall, including the Valley West Drive and Westown Parkway area.
What's next: Martin says JCPenney doesn't need to leave the property, but with how the lease is currently written, he can't even make changes to the parking lot.
- The lease was signed decades ago, when JCPenney was at its prime popularity and mall owners were willing to accommodate even restrictive terms, Trimble says.
- "We can develop around them," Martin says.
📣 Shoutout: What are some of your favorite Valley West Mall memories? Hit reply and let us know!