Metrocenter Mall located along Interstate 17 between Dunlap and Peoria Avenue in Phoenix is undergoing a $850 million redevelopment project. The Developer has recently announced plans to demolish the mall, including the former Dillard's store, and the former Macy's building now owned by U-Haul. Scottsdale-based Diversified Partners is planning 140,000 sq. ft. of retail stores for the site.
The 1.4 million sq. ft. Metrocenter mall opened in 1973. At the time, the land north of the 312-acre mall site was empty fields. It was at the northern edge of town. The site was originally in unincorporated Maricopa County until it was annexed into Phoenix because of the Metrocenter project. The mall was developed in partnership with local developer Westcor and Homart (the development arm of Sears). To start construction, the developers took out a construction loan from First National Bank (now Wells Fargo) for $21 million, it was the largest commercial loan ever made in Arizona to that time. The total cost of the mall was estimated to be $100 million.
Metrocenter was the first 2-level mall in the US with 5 anchor stores, Sears, Rhodes Brothers ( HQ Tacoma Washington), Diamond's, and Goldwater's department stores founded in Arizona and LA-based, The Broadway.
Not to be forgotten is the ice rink located within the mall.
Over the years houses were built in the surrounding fields, and eventually, the neighborhood matured, families grew up and moved on, or parents stayed in their homes. New families moved further north and west. The mall officially closed on June 30, 2020, a victim of COVID but the die had already been cast over the previous several years. In late June 2020, I made it a point to walk through the mall, to see what it looked like one more time. A few stores were open, including a Nike shoe store, and some other local retailers selling souvenirs. Most of the stores by then were closed, and entire empty sections were blocked off. An auction was held later that summer after the official closing to sell store fixtures.
The site now has a Walmart Supercenter, a public library, the Castles and Coasters theme park, and a Harkins movie theatre.
An estimated $24.5 million will cover the abatement/demolition of the structures and civil engineering work to start the new interior roadways. Over the past few years, preparation for demolition has been ongoing. While it might seem easy to bring an excavator to the site and start raising buildings, there is a lot of preparation before the first load of debris leaves the site.
Metrocenter was built before 1980, so asbestos-containing materials must identified within the structure and removed before demolition. If not, dust from demolition can carry asbestos particles into the atmosphere, creating health hazards for workers and the surrounding neighborhood. Asbestos is typically found in the drywall and joint compounds, and floor tile installed before 1980. Asbestos can also be found in the material that insulates cold/hot water and steam pipes. Utilities like electrical lines and natural gas pipes must be made safe before demolition can commence. Other environmental concerns could arise during the demolition of such a large facility. It will take 10-12 months to remove the structures and prepare the site for construction. The new 140,000 sq. ft retail development is planned to open in 2026.
The new 68-acre site will be called 'The Village' and will be a destination center for the area. In addition to the 140,000 sf of retail stores, 2,600 residential rental units with a parking garage will be built. A new hotel, public park, and entertainment will be added. A single-home development might also be built. The two-story Metrocenter design provides levels within the walkable urban village plan.
A $150 million light rail station at Metrocenter passes over Interstate 17 onto the site. The light rail station connects throughout much of the metro area to central, downtown, and south Phoenix, traversing to Tempe, ASU, and Mesa. While at the north end of the line, the former Metrocenter site will provide easy light rail access for residents to a large part of the Phoenix metro area.
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