Retail Opportunities in Underserved Markets

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"Retail Opportunities in Underserved Markets"

• Chicago, Illinois

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Agenda

• A Study of the Redevelopment of the Brickyard
  Mall located in Chicago, Illinois

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City of Chicago
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History of Brickyard Mall Development

• Chaddick development

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Brickyard Mall Decline

• Deterioration
• Operational issues
• Loss of Market share/sales
• Kmart opens Harlem-Irving store in former Venture
  store site

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JC Penney and Montgomery Ward Announce Plans to
Close Stores

• Including Kmart, this means three anchors out of
  four are closing
• Mid-America hired by Whitehall to lease the
  Montgomery Ward, JC Penney and Kmart spaces

3/7/1975
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Traditional Department StoresNot Interested

• Sears
• Carson's
• Kohl's

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Discount Department StoresNon prototypical

• Wal-Mart
• Target
• Other

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Conceptual Idea Evolves for50-Acre Redevelopment
DevelopmentalSite-Plan
Brickyard Pre-Reconstruction
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DevelopmentalSite-Plan
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Due Diligence Items Outlined

• Jewel-Osco strategy
• Existing tenants (approximately 60) to be
  terminated
• Engineering considerations
• Environmental
• City of Chicago Interest
• TIF district created
• Alderman support
• Mayoral support
• Department of Planning support
• Real Estate Taxes Cook County
• Demolition
• New construction costs for 600,000 square feet

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Anchor Tenant Interest

• Jewel/Osco relocation to a new store at the
  site
• Target
• Marshalls
• Office Max
• Lowes

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Shop/Outlot Space Design
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Shop/Outlot Space Design
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Environmental
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Engineering
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Architectural
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Tax Increment Financing

• Redevelopment Agreement with the City of Chicago

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Tenant Occupancy andOpening Schedule
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Completion
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Underserved Market

• Summary of Project with emphasis on "underserved
  market" being highlighted.

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