The operators of Bayshore Town Center in Glendale say that work has now begun on the highly anticipated multi-million dollar endeavor aimed at redeveloping the mall into “a state-of-the-art, connected project for the surrounding communities to enjoy.”
Updated project plans and renderings were submitted to the City of Glendale earlier this month and approved by its Community Development Authority on Monday, but on Wednesday Dallas-based developer Cypress Equities Managed Services L.P. announced some new details.
As part of the project, which is slated for a late 2020 completion, the mall will formally be renamed as “Bayshore.” Generally speaking, it will downsize the mall’s retail space and demolish or convert existing buildings for other uses.
Construction will occur in phases, starting with the outdoor town center followed by demolition of the northern enclosed mall portion after the first of the year, said Kirk Williams, managing director at Cypress Equities.
That demolition, which includes the former Boston Store site, will give way to a horizontal mixed-use development featuring multi-family residential units, senior housing and a “select service” hotel,
“We are currently in significant discussions with a hotel developer,” Williams said. “We will make announcements on a period basis, but do not expect to announce any detail on the hotel developer until after the first of the year.”
In addition, Bayshore’s current apartment units will all be remodeled as vacancies occur.
Williams said the total cost of the project is now priced at an upwards of $55 million. That number was approximately $75 million when the project was first proposed in November 2018.
Under a new financing plan Glendale approved in June, Bayshore’s owner New York-based AIG Global Real Estate Services will cover the entire cost of the project (without any immediate help from the city) in addition to paying off the city’s remaining $56.6 million in outstanding tax financing debt, which was incurred to help fund Bayshore’s original $300 million redevelopment project in 2002.
The plan also includes a public funding subsidy of up to $36.7 million, depending on the project’s progress and success.
“It is our hope that one of the core benefits of the new development will bring people together around elevated lifestyle and dining experiences, rich shopping opportunities, and hospitable living quarters,” Williams said. “We also see the potential and are actively pursuing a curated event space that will complement our merchants, eateries, and office environments.”