Sears has made three new "opportunities" available within the Twin Ports for retailers, developers/investors, and real estate brokers.
Sears Holdings Corporation, the real estate portion of the Sears/K-Mart company, has made available last three properties within the Twin Ports. This includes their 86,611 square foot K-Mart store at 215 North Central Ave in West Duluth along with their 98,938 square Sears store and the attached 9,131 square foot automative center at the Miller Hill Mall.
Throughout the state of Minnesota Sears Holdings has listed 11 K-Mart stores, 2 K-Mart Automotive Centers, 10 Sears stores and 10 Sears Automotive centers as available. Overall 33 properties were made available within Minnesota, one of those properties being the Sears flagship location at the Mall of America.
A CHANGE IN THE RETAIL GAME
As competition from online retailers and new retailers heats up Sears and K-Mart have seen a continued decline. This has resulted in a number of closings in the past few years with one of those being the K-Mart location near the Miller Hill Mall (now a Hobby Lobby and soon a PetSmart). More recently the company has begun to re-evaluate their company's real estate to see which properties the company can relieve themselves of resulting in large savings.
In some locations across the country Sears is downsizing their stores, many of which are over 100,000 square feet, to around 40,000 square feet leaving the rest up for redevelopment.
In some cases British retailer Primark is snatching up the extra space and opening some of their first locations within the United States. In others cases malls are using it as an excuse to expand their retail offerings with new retail space along with renovations.
NOW WHAT ABOUT DULUTH?
With the K-Mart space being listed in West Duluth it implies that that store would close. There is a chance the a real estate company could purchase the space and rent it back to K-Mart which would relieve Sears from a number of costs associated with owning a building rather than leasing it.
If K-Mart does close, it would be the biggest retail space to become available in the West End in decades and it would be a prime opportunity for a redevelopment and re-positioning of the Spirit Valley Shopping Center.
At the Miller Hill Mall the closing of Sears would be a major hit... or a major gain depending on the way you look at it. While the automotive center seems like it might be a little tougher spot to fill at it sits at the back of the mall, the Sears space is another story.
You might not have noticed it but there is a MAJOR lack of space at the Miller Hill Mall recently. The downsizing of Sears or a closure could result in a huge opportunity for the Miller Hill Mall to expand it's retail space.
All three spaces are available for inquiries here. In the future when more information becomes available on the potential future uses of these spaces you'll be able to find it right here on CDINDULUTH!