Dick's Sporting Goods will open a store in the former Sears anchor building at PREIT's Capital City Mall, in Harrisburg, Pa. The sporting goods chain is relocating its store from elsewhere in the market, and will join Field & Stream at Capital City Mall in the fourth quarter of 2017.
Earlier this year, PREIT announced it had reached agreement with Sears to recapture three stores at three of its properties: Capital City, Woodland and Magnolia Malls. PREIT has now executed leases for all three of these locations.
"We are excited to have executed leases for all three Sears stores we recaptured. Capital City Mall's position as the dominant retail center in the region will be strengthened with the addition of DICK's Sporting Goods, complementing its many first-to-market and exclusive retailers and creating a retail mix that aligns with the interests of today's consumer," said Joseph F. Coradino, CEO of PREIT.
"This project is another step in our plan to continue upgrading our portfolio of properties following our aggressive disposition and repositioning program which has created a quality platform that is more compelling to retailers and shoppers."
PREIT anticipates sales and traffic generated from the newly configured space will substantially outpace what is currently being delivered. For the three stores PREIT previously announced recapturing from Sears, the Company expects to generate incremental returns of 7 – 9 %.
PREIT has reduced the number of Sears and Kmart stores in its portfolio from 27 to 10 since 2012. Currently, a former Sears at Viewmont Mall in Scranton, PA, is under construction, where Dick's Sporting Goods, Field & Stream and HomeGoods will open this year.
Additionally, at Exton Square in Chester County, Pa., construction continues on Whole Foods which will replace a former K Mart, while Round 1 Entertainment recently opened in a former JC Penney space.