Business
Galleria unfazed by arrival of the Americana
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| The Glendale Galleria recently hung new banners trying to attract potential customers. (Alex Collins/ News-Press) |
By Ryan Vaillancourt
DOWNTOWN — While the recently opened Americana at Brand has been the center of attention for months in Glendale, the neighboring Glendale Galleria is quietly looking to benefit from new shoppers in the city and maintain its slot as a regional retail powerhouse.
Opening weekend at the Americana brought the expected flood of traffic to Brand Boulevard and Central Avenue that some have already lamented and others cheered as proof that the $435-million Caruso Affiliated project would deliver new shoppers to Glendale.
And while crowds nudged shoulder-to-shoulder in some walkways inside the Americana over the weekend and tables at some of the center’s restaurants required up to three-hour waits, a steady stream of consumers also crossed Central Avenue going between the outdoor mall and the indoor Galleria.
Weekend visitor numbers at the Galleria were up slightly compared with last year, but Galleria spokeswoman Janet LaFevre did not attribute the jump to the Americana’s draw.
“What you have to remember is that the Glendale Galleria already gets 26 million visitors a year . . . . So by far and away we are already a regional powerhouse,” she said. “We are already very dominant in the Southern California region.”
Galleria owner General Growth Properties fought hard against the Americana, arguing all the way to the California Supreme Court that the project’s environmental review was inadequate and bankrolling a signature-gathering campaign that led to the voter referendum on the project.
A jury also found last year that General Growth tried to strong-arm the Cheesecake Factory from signing a deal at the Americana, handing Caruso Affiliated $89 million in damages.
But despite the two companies’ history, city officials and local business leaders have repeatedly characterized the Americana as an opportunity for the Galleria. Even Rick Caruso, president and chief executive officer of Caruso Affiliated, has high hopes for the Galleria.
“I hope they make a lot of money,” Caruso said.
Still, Caruso and some city officials have questioned Galleria owner General Growth Properties’ apparent reluctance to invest in major infrastructure upgrades as the Americana broke ground and underwent construction for about 17 months.
“They need to do something over there,” Councilman Bob Yousefian said of the Galleria.
Yousefian said he planned to broach the topic with General Growth at the upcoming International Conference of Shopping Centers, which starts May 18 in Las Vegas.
But the mall’s marketing department hasn’t ignored the Americana. Less than a week before the Americana opened, the Galleria posted two banners and added a small grove of palm trees near its Central Avenue entrance. The signs hang on the brick facade above an entry point that historically has served as a back entrance, LaFevre said.
One of the banners lists some of the mall’s most popular retailers, like technology giant Apple and upscale fashion retailer Michael Kors.
“We definitely took the opportunity to add some lush landscaping on the outside of the door and make sure we just had our best foot forward,” LaFevre said.
But those signs could be coming down soon: The banners conflict with city code and, in order to stay, would require a variance, said Philip Lanzafame, the city’s director of Development Services.
The City Council, acting as the Redevelopment Agency, will consider whether to approve the variance on May 13. Signs or no signs, the mall expects to perform well — even if Americana shoppers don’t venture west to the Galleria.
“I think that there are always opportunities,” LaFevre said. “We are not and have not been immune to competition. We’re very used to competition . . . .It’s very early to tell, but absolutely we’ll pay attention and see what occurs, but I’d say we’re savvy retailers and we’ve been around the block.”
One thing that has the Galleria on edge is the new development’s paid parking, which could prompt shoppers to park for free at the Galleria and walk to the Americana.
“It’s absolutely something that we’re concerned about, and we’re going to be watching,” LaFevre said.
But even if shoppers exploit free parking at the Galleria, that could be a blessing in disguise, Lanzafame said.
“Once you get that customer in your door, regardless of where they park, then it’s up to the tenants to capture that customer,” Lanzafame said. “And we hope with the opening of the Americana, we bring more customers for all of the merchants, not just the Galleria.”
RYAN VAILLANCOURT covers business, politics and the foothills. He may be reached at (818) 637-3215 or by e-mail at ryan.vaillancourt@latimes.com.
Opening weekend at the Americana brought the expected flood of traffic to Brand Boulevard and Central Avenue that some have already lamented and others cheered as proof that the $435-million Caruso Affiliated project would deliver new shoppers to Glendale.
And while crowds nudged shoulder-to-shoulder in some walkways inside the Americana over the weekend and tables at some of the center’s restaurants required up to three-hour waits, a steady stream of consumers also crossed Central Avenue going between the outdoor mall and the indoor Galleria.
Weekend visitor numbers at the Galleria were up slightly compared with last year, but Galleria spokeswoman Janet LaFevre did not attribute the jump to the Americana’s draw.
“What you have to remember is that the Glendale Galleria already gets 26 million visitors a year . . . . So by far and away we are already a regional powerhouse,” she said. “We are already very dominant in the Southern California region.”
Galleria owner General Growth Properties fought hard against the Americana, arguing all the way to the California Supreme Court that the project’s environmental review was inadequate and bankrolling a signature-gathering campaign that led to the voter referendum on the project.
A jury also found last year that General Growth tried to strong-arm the Cheesecake Factory from signing a deal at the Americana, handing Caruso Affiliated $89 million in damages.
But despite the two companies’ history, city officials and local business leaders have repeatedly characterized the Americana as an opportunity for the Galleria. Even Rick Caruso, president and chief executive officer of Caruso Affiliated, has high hopes for the Galleria.
“I hope they make a lot of money,” Caruso said.
Still, Caruso and some city officials have questioned Galleria owner General Growth Properties’ apparent reluctance to invest in major infrastructure upgrades as the Americana broke ground and underwent construction for about 17 months.
“They need to do something over there,” Councilman Bob Yousefian said of the Galleria.
Yousefian said he planned to broach the topic with General Growth at the upcoming International Conference of Shopping Centers, which starts May 18 in Las Vegas.
But the mall’s marketing department hasn’t ignored the Americana. Less than a week before the Americana opened, the Galleria posted two banners and added a small grove of palm trees near its Central Avenue entrance. The signs hang on the brick facade above an entry point that historically has served as a back entrance, LaFevre said.
One of the banners lists some of the mall’s most popular retailers, like technology giant Apple and upscale fashion retailer Michael Kors.
“We definitely took the opportunity to add some lush landscaping on the outside of the door and make sure we just had our best foot forward,” LaFevre said.
But those signs could be coming down soon: The banners conflict with city code and, in order to stay, would require a variance, said Philip Lanzafame, the city’s director of Development Services.
The City Council, acting as the Redevelopment Agency, will consider whether to approve the variance on May 13. Signs or no signs, the mall expects to perform well — even if Americana shoppers don’t venture west to the Galleria.
“I think that there are always opportunities,” LaFevre said. “We are not and have not been immune to competition. We’re very used to competition . . . .It’s very early to tell, but absolutely we’ll pay attention and see what occurs, but I’d say we’re savvy retailers and we’ve been around the block.”
One thing that has the Galleria on edge is the new development’s paid parking, which could prompt shoppers to park for free at the Galleria and walk to the Americana.
“It’s absolutely something that we’re concerned about, and we’re going to be watching,” LaFevre said.
But even if shoppers exploit free parking at the Galleria, that could be a blessing in disguise, Lanzafame said.
“Once you get that customer in your door, regardless of where they park, then it’s up to the tenants to capture that customer,” Lanzafame said. “And we hope with the opening of the Americana, we bring more customers for all of the merchants, not just the Galleria.”
RYAN VAILLANCOURT covers business, politics and the foothills. He may be reached at (818) 637-3215 or by e-mail at ryan.vaillancourt@latimes.com.
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