Simon, the nation's largest mall owner, is starting an apartment project at its Northgate Station in Seattle, the latest industry move to reimagine malls as mixed-use properties to repurpose unused space and drive foot traffic.
The Indianapolis-based real estate investment trust plans to break ground this month on a mid-rise building with 234 apartments at 10523 NE Fifth Ave., on the east side of the property that first opened in 1950 as what Simon touts as the nation's first regional shopping center.
Simon last year said it planned to invest $1.5 billion to add 2,000 hotel rooms and apartment units to its malls in the next five years. The initiative is part of a growing industry trend to add housing and create a new mix of store lineups at malls to adapt to e-commerce and other changing consumer shopping habits in an already tight U.S. retail market.
The multifamily development at Northgate is the latest phase in Simon's plan announced six years ago to redevelop the 55-acre mall into a transit-oriented, mixed-use hub with at least 420 apartments, two hotels, new shops, offices and a headquarters and practice facility for the Seattle Kraken NHL team.
The Kraken Community Iceplex in 2021 opened near Sound Transit's upgraded Northgate light-rail and bus station. Simon last year broke ground on a 167-room Residence Inn by Marriott at Northgate Station slated to open next spring, and a 170-room AC Hotel by Marriott is also planned.
Simon has similar redevelopments in various planning and construction phases at properties across the United States, including Atlanta's Phipps Plaza, Brea Mall in California’s Orange County and Southdale Center in Edina, Minnesota.
In May, Simon also announced plans to invest hundreds of millions of dollars to build apartments, new retail and dining in what would be among the biggest redevelopments in the 55-year history of Fashion Valley, San Diego’s largest regional mall.
The first 234-unit apartment building at Northgate Station is designed with 25,000 square feet of first-floor retail and dining space. Simon is planning a second building with 186 units, with the buildings to be connected by a three-level skybridge, according to project plans filed with the city.
The two-building development is designed to include fitness equipment and training studios, coworking space, pet washing and bike repair facilities, and concierge services, Simon said in a statement.
For the Record
Simon is collaborating with architectural firm GGLO and Compass Construction on the first phase of the multifamily project at Northgate.