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Thursday, Mar 28, 2024

Retail Mix Develops for Mall

With Westfield’s Warner Center mall expansion project making its way through the city’s review and approval process, the mall operator is focusing on developing the right portfolio of businesses for the site. The mixed-use project, called The Village at Westfield Topanga, has just reached a new stage of the regulatory process with the release of its environmental impact report. The 1 million-square-foot development is set to include nearly 100 specialty restaurants and stores, including a Costco as its retail anchor; a 275-room boutique hotel; and a multi-story “first class” office complex. The project will be located between Westfield’s Topanga and Promenade malls, which are occupied about 92 percent and 90 percent, respectively, according to mall officials. While the retail company has been having discussions with potential tenants over the past couple of years, this activity is increasing now and will ramp up even more in the next 12 to 16 months, said Larry Green, senior vice president of U.S. development for Westfield. So far, the company has achieved about 25 percent of its business outreach goal. “We’ve started reaching out to have retail community and restaurateurs and grocery stores,” Green said. “We’re going to have a fitness component here, so we’re in that process. There will be a mix of the best local retailers with some of the best national and international retailers, but (they’re) going to have to be performing at a high level.” Green said that while The Village will offer a mixture of price points for shoppers, each retailer will be held to a certain quality standard. The company prides itself in having popular retailers such as Neiman Marcus, Urban Outfitters, Anthropology and Target at its Topanga and Promenade malls. Boutique hotel Activity has also been brewing in the search for a hotelier. “We actually had some good discussions with a number of the top hotel chains in the country and are really pleased with the level of activity there,” he said, adding that Westfield is planning to incorporate a boutique hotel since there are already full-service hotels in the area. Westfield has also been reaching out to residents in a new way. The company recently mailed about 60,000 brochures to residents residing near the project. It has received thousands of response cards back with comments and suggestions, which Westfield officials plan to use to help guide its retail and restaurant selections. The company is also continuing to hold meetings with local business and community organizations. There has been opposition by some in the community over potential blight and traffic issues surrounding a proposed Costco and a 20-pump gas station on the corner of Victory Boulevard and Owensmouth Avenue. However, Green said Westfield is planning to spend millions of dollars to make improvements to road networks around the property to mitigate traffic congestion. The company is also working on a plan to include art installations, such as murals, around the Costco building. Despite the Costco concerns, others think the project as a whole will be an economic boost to the area. “The Canoga Park/West Hills Chamber of Commerce wants to support more business coming into our West Valley area, bringing with it more jobs,” said Jack Dawson, president of the chamber. “Therefore, we support the Westfield Village as long as traffic concerns are mitigated and the architectural design adds to the beauty of Warner Center.” Westfield projects that the expansion will create 3,046 construction jobs and 4,454 permanent jobs after the project’s completion. It also projects the expansion will lead to $636 million in total economic output and $9.4 million in added revenue to the city of Los Angeles each year. Hub for visitors Dawson added that the expansion could help the Warner Center area become more of a hub for visitors. Peter Ruiz, the San Fernando Valley regional manager for the Los Angeles County Economic Development Corp., agreed. “If there’s more options, there’s more reason for people to shop in the area,” Ruiz said. “It keeps the dollars flowing within the community. … Now that the economy is starting to pick up, I’m excited to hear that companies such as Westfield are adding new retail or developing again.” Ruiz plans to meet with Westfield soon to discuss the project in more detail. The expansion is expected to be completed in two phases. The first phase, slated to be completed by 2013, includes the development of the anchor retailer and the majority of the retail and restaurant space, which could include pedestrian and community gathering space. The second phase, which is slated to be completed by 2016, includes the hotel and office community center. Public hearings start for the expansion plan this summer, and Westfield officials are hoping the project’s entitlements will be approved by the city by the end of 2011 or the beginning of 2012. If so, construction would likely start during the first half of 2012.

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