The Regional Mall is a property which flourished in the latter half of the 20th century. Many large cities in the United States boast of having multiple Regional Shopping Malls and some small cities have them as well. Most of these malls were built in the 1970s and 1980s. While many Regional Malls have been and continue to be very successful, others have fallen on hard times in recent years making way for the more popular Strip Mall. This has particularly been the case in the smaller towns. Some have been successfully converted to mixed type uses which include offices and other non- retail space. In geographic areas where these properties have struggled, the challenges have included reduced customer acceptance, security and common area maintenance costs.
Appraising the Regional Mall can be a challenge to the appraiser not experienced in appraising these properties. This is especially true of the property experiencing challenges of occupancy. Determining the Highest and Best Use sometimes can be a serious question where alternative uses are under consideration.
We at ELLIOTT® are qualified to evaluate Regional Malls anywhere in the United States. We have an understanding of the market, and where challenges exist relative to Highest and Best Use, we are capable of establishing not only an appropriate use but realistic value conclusion.