Summerside's Waterfront Mall for sale
Asking price for the downtown mall is $2.9 million
Transcontinental Media
Once considered the jewel of downtown Summerside, the Waterfront Mall is officially listed for sale.
Michael Poczynek, a real estate specialist with Century 21, said the word is out that the property is available for just over half of its appraised value.
“There’s already been one offer but it’s off the table,” he said. “They may come back.”
Poczynek said the current asking price for the mall is $2.9 million. The appraised value is just under $4.5 million.
“Different companies buy things for different reasons and sometimes they buy assets just to appraise them. Like that mall, if it were fully rented it would be worth $15 million,” he said. “It’s worth triple that if you take it for land at square footage value.
“There has been a lot of interest.”
He suggested it would be ideal for a group of investors or for the tenants to come together as a co-operative.
It was purchased in February of 2006 by The Oran Group out of Cork, Ireland, with big plans to rebuild the retail space and add condominiums. But after three years of effort, tough economic times worldwide forced Oran Group to place the mall in receivership.
Tina Mundy is the mall’s operations manager and has the responsibility to bring the mall back to its former status as a major player in the Summerside economy. She was on the way to doing just that when the Oran Group pulled the plug.
Mundy had done the groundwork to begin revitalizing the mall and just three days after the receivers took over, she announced seven new businesses were opening their doors. More have come since and those efforts still continue.
Poczynek said even today, the mall is showing signs of life.
“The mall I feel is in better condition than it was when it was purchased (back in 2006),” he said. “They have done a lot of work. The economics are a lot better.”
There have been other changes in the area including the boardwalk and the bridge located behind the mall.
Poczynek sees a lot of potential in the mall, but admits there needs to be changes.
“Everybody seems to feel that there is too much square footage for retail space,” he said. “One of our people came up with a really good idea to rip half of the mall down and then do your building on the waterfront, because 85,000 square feet is more than enough and then build (housing) units that are economical. If you’re doing units for $100,000, $150,000, $200,000 max, I think you’d have a really good market there.”
MALL FACTS:
- Built in 1973
- Renovated 1999
- Upgraded 2006-2010
- Built on 11.44 acres
- 157,000-square-foot building
- Property includes about 890 feet of waterfront
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I think that a good idea would be to turn the mall into an outlet mall. This area of Summerside has lots of tourists, and it would be a big draw for visitors and Islanders alike. Also, who doesn't love outlets?
Or, they could tear down the half of the mall facing the waterfront and resurrect the plan to add condos / apartments, and have them right on the water. Either way, this could be a great opportunity to bring people back downtown Summerside.