Recently we discussed with Stevie Paulson of Platinum Properties about their planned retail center, Platinum Plaza, that he and his company are developing across from the Miller Hill Mall. There were a few potential leases a few months ago regarding the project, however the perfect mix of retail tenants for the development is still being created.
With that being said construction of Platinum Plaza has been put on the back burner until further notice. It was made very clear though that the question is not if the project will happen but more so when. If you think about it when you're investing millions into a project it's most likely the best idea to be safe than sorry in making sure that all your space can be filled and filled with tenants that are right for the surrounding community.
Taking a look at the national trends for retail development across the country, Duluthians have nothing to be concerned about regarding the future of Platinum Plaza... or retail development in Duluth for that matter. Building "spec" buildings (meaning without any pre-signed occupants) can be a huge gamble. After the recession a few years ago building spec is almost unheard of in the development world as retail centers like to have a certain percent of retail space committed to, usually around 30-40%, before construction of the physical building begins.
Platinum Properties is still busy with development as they are moving forward with their second retail phase of Sugar Maple Crossings in Hermantown with construction expected to start immediately. We'll have a few tenants to announce early next week regarding that project.
Once the additional phase of development at Sugar Maple Crossings has been completed by next spring plans for Platinum Plaza will be revisited with construction possibly beginning as soon as next year. The tenant mix for Platinum Plaza is still expected to feature a mix of fast casual restaurants, a dessert eatery of some sort, and a possible jeweler and or salon among other retailers. Make sure to check back right here at CDINDULUTH for more details.