American Dream, the mega entertainment and retail complex in East Rutherford, New Jersey, has come up with a new format — a specialty department store selling only “modest” clothing.
The innovative retail format, called ADdress, will open in phases beginning Feb. 14 with women’s clothing. Phase two will launch bridalwear and giftware, and phase three will introduce menswear to the assortment.
“ADdress at American Dream will be the world’s first modest clothing department store to cater to Orthodox Jews, Muslims and others who need styles that provide more cover up,” Don Ghermezian, the president and chief executive officer of American Dream, told WWD. “We have signed over 40 brands from all around the world.
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“Modest fashion continues to gain momentum and we saw a massive opportunity to address consumer demand in the tri-state area,” Ghermezian said.
The concept is geared to provide fashions that are designed stylishly, on trend, and fill the fit and stylistic requirements for people of certain faiths, religions, cultures and personal preferences. Typically, modest fashion brands are sold in small, local boutiques; online, or via social media.
In a statement, Ghermezian said The ADdress was developed by the American Dream team “because we understand our market, which we know is rich in culture. This was a way to bridge the fashion gap and provide a convenient one-stop shopping experience for the incredible, diverse community where we live and work.”
The ADdress, considered a “specialty department store” because it’s smaller in square footage and narrower in assortment than traditional department stores, will offer women’s and men’s fashion, footwear, jewelry, accessories, children’s clothing, home goods and gifts. Among the brands that will be offered are Noa jewelry, Byrd, House of Lankry, Point, Tal NY, By Tess, A soliani, Apparalel, Lil legs, Jupe, Udel, Impact Fashion and Bitz of Glitz.
“The concept stands to fill a substantial void in the market and make modest clothing more accessible,” Ghermezian said. “We know the modest trend has seen a global boom in mainstream fashion in recent years. This is a movement, and these savvy shoppers remain underserved by brick-and-mortar stores.”
While those who buy at ADdress may not be inclined to shop other fashion stores at American Dream, Ghermezian and his team would hope that they could shop such non-apparel brands as Toys “R” Us, Apple, Best Buy and Walgreens, which are in the complex. But they could cherry pick Lululemon, H&M, Uniqlo and Dolce & Gabbana, which are also in the mall and have been known to offer modest fashions.
An American Dream spokeswoman added, “While The ADdress expands brick-and-mortar options for the many religious and cultural populations we serve, this is a store for everyone. The ADdress is inclusive to all.”
It would also be hoped that those shopping The ADdress visit American Dream’s array of entertainment features such as the DreamWorks Water Park, Nickelodeon Universe Theme Park, the Big Snow ski slope, Legoland, Sea Life Aquarium and miniature golf. There are also four full-service restaurants and there will eventually be 12 more.
In keeping with American Dream’s emphasis on experiences, The ADdress is expected to stage fashion shows, and offer personal styling, as well as customer loyalty programs. The ADdress is located in Court C on level three in American Dream. (In the spelling of The ADdress, the AD is capitalized to reflect its American Dream home.)
The addition of The ADdress, as well as the signing of a lease with H Mart, the Korean grocery chain, are indications of efforts to cater to the region’s diversity. H Mart will, in late February or early March, open a 35,000-square-foot store that will include an Asian food hall.
It’s also a sign that the complex is gaining momentum after having a slow start and confronting speculation about its long-term viability. American Dream is owned by Triple Five Group, a developer led by the Ghermezian family that is also the operator of the Mall of America in Bloomington, Minnesota, and the West Edmonton Mall in Alberta, Canada, two other mega retail and entertainment complexes.
It took a long time to get the $6 billion, 3 million-square-foot American Dream operating and open for the public. There were construction delays, leasing and financing challenges and the timing of the center’s launch, October 2019, could not have been worse: Four months later, it had to temporarily shut down due to the pandemic. American Dream was initially expecting Barneys New York, Lord & Taylor and Century 21 Stores to move in but those retailers were all liquidated, forcing a search for alternative tenants and prolonging leasing efforts.
In November 2022, American Dream secured a four-year financing deal with a group led by JP Morgan.
“When you think about American Dream, my family and I became interested in this development over 10 years ago, and yes, it did take us several years to put the pieces together,” Ghermezian acknowledged in an interview with WWD last month.
Ghermezian also said Gucci and Balenciaga, both part of the Kering portfolio, will build 10,000-square-foot flagships in The Avenue luxury wing of the complex. The stores are expected to open in August or September this year. Back in November, Saint Laurent, another designer brand owned by Kering, expanded its store in American Dream from 3,500 square feet to just under 8,000 square feet.
Additionally, Canada Goose and Watches of Switzerland, which will include a Rolex shop-in-shop, will open stores in The Avenue in late summer or fall.
According to Ghermezian, the 300,000-square-foot luxury wing was about 70 percent leased as of last month. The wing also houses a 100,000-square-foot Saks Fifth Avenue, an 8,000-square-foot Hermès, as well as units for Dolce & Gabbana, Mulberryn and Carpaccio, an Italian restaurant from Bal Harbour, Florida.
Ghermezian said that American Dream is roughly 85 percent leased and by the end of 2023, the center will be north of 95 percent fully leased.