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Edmonton City Centre Mall (Renovations) | ?m | 2s | LaSalle Investment Management

I disagree there is a lot of pressure. In lobbying La Salle directly about this asset and letting them know what other owners are doing in the area, they do not seem very motivated to do anything too drastic in the short to medium term, unless the Downtown market changes significantly and office workers come back.

They have 1.4m square feet of real estate, most of which is in two office towers that are 90% leased, and parkades that are about 50% used during the week, more on events nights. You could say the 300k in retail space is maybe 40% leased? To me this means there's not a lot of reason to move ahead with redevelopment plans. It's not like the majority of their space is empty. They are sensitive and are genuinely trying to come up with some shorter term ideas for the retail, as well have heavily invested in security, but that's just a part of their overall asset.
 
Greenspace said:
They are sensitive and are genuinely trying to come up with some shorter term ideas for the retail, as well have heavily invested in security, but that's just a part of their overall asset.
Click to expand...

In my own experience walking through the mall on a regular basis I've definitely observed this. You can see their attempts to use the space creatively in the arts display in the old McBain space and the "made in Edmonton" pop up, and there are so many security guards on-site I honestly worry about the cost. I was passing a minor incident the other day and three guards attending quickly became five at that one spot on a weekend. I hope all the investment pays off. One bright spot seems to be the hotel is busy all the time with guests. Hopefully this is also represented in their numbers.
 
I don't think it is so much external pressure, but it is the pressure of having an underutilized asset.

Someone smart enough will eventually come to the realization that having a lot of empty space does not make money and something will be done.

I get there is still a reluctance to put in a lot of money upfront to improve things, but at some point it might become a better option than just continuing to lose it over time.
 
MisterSartorial said:
In my own experience walking through the mall on a regular basis I've definitely observed this. You can see their attempts to use the space creatively in the arts display in the old McBain space and the "made in Edmonton" pop up, and there are so many security guards on-site I honestly worry about the cost. I was passing a minor incident the other day and three guards attending quickly became five at that one spot on a weekend. I hope all the investment pays off. One bright spot seems to be the hotel is busy all the time with guests. Hopefully this is also represented in their numbers.
Click to expand...
Their security costs are 300-400% higher than pre-COVID. It's being used as a defacto day shelter in the winter, and concerns about these costs bared by the private sector have been passed along to the Provincial Task Force.
 
Greenspace said:
Their security costs are 300-400% higher than pre-COVID. It's being used as a defacto day shelter in the winter, and concerns about these costs bared by the private sector have been passed along to the Provincial Task Force
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Sad to hear those costs. That's outrageous but not surprising. Glad to hear the feedback has been passed on. Downloading social challenges onto businesses is not very "pro business" as the UCP would like to claim they are.
 
Greenspace said:
^^That is why we met with LaSalle, to try to get across some of the other investments happening shortly Downtown and encourage them to look at investments sooner rather than later.
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My ears pricked up while reading your post and zeroed in on “some of the other investments happening shortly Downtown”.

What is the magnitude of this investment?
 
Greenspace said:
^^That is why we met with LaSalle, to try to get across some of the other investments happening shortly Downtown and encourage them to look at investments sooner rather than later.
Click to expand...

This is good to hear. We need more of that approach and tactic.I was reading something similar from Deborah Yedlin, a born and raised Edmontonian (UofA grad), who is now head of the Calgary Chamber of Commerce - and very vocal on YYC's behalf, who has been advocating for public investment for their arena deal:

"It demonstrates Calgary is investing in itself, and importantly, believes in its future. The truth is, if we don’t invest in ourselves, it’s harder to convince others — whether companies or talent — to choose Calgary as a place to live, work and play."

We need that here and someone like her would be great.

Fun fact, Danielle Smith and Yedlin were both competing for the job as chamber of commerce president, which Yedlin was selected for in Jan. 2022.
 
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