Dillard’s has agreed to be the first of four anticipated anchors at Palisene, Macerich’s one-million-square-foot enclosed shopping center with a retractable roof in north Phoenix.
This story first appeared in the October 1, 2008 issue of WWD. Subscribe Today.
The retail chain is the first announced tenant for the development intended to target clientele from one of Arizona’s wealthiest areas. Within three miles of Palisene, the average annual household income is $114,471.
The initial design plan allows for outdoor elements, including storefronts designed as typical street-style facades.
Macerich was the sole bidder in a $32 million auction in June for the 112-acre parcel earmarked for Palisene. Rival developer Related Cos. and Thomas J. Klutznick Co., partners in a competing CityNorth development, bowed out after unsuccessfully contesting the auction.
Macerich already owns 18 million square feet of retail space in 11 regional shopping centers in the Phoenix area. In March, Macerich announced a venture for the 120-acre One Scottsdale mixed-use development, partnering with competitor DMB Associates Inc. to build adjacent to the Palisene site.
Palisene and One Scottsdale are part of a planned cluster of upscale developments that also includes Biltmore Fashion Park, acquired from Taubman Centers in 2003, and Scottsdale Fashion Square, which is undergoing a 160,000-square-foot expansion.