14 | BUILDING DESIGN+CONSTRUCTION | October 2019
Last month, one of
the world’s most
well-known retailers
fi led for bankruptcy.
Barneys is almost 100
years old and will close 15
of its 22 stores as part of
a major restructure, and
they aren’t alone. Barneys
is among dozens of other
retailers fi ling for
bankruptcy this year. The
question is, How do
landlords transform this
valuable empty space? The
solution lies in repurposing
existing square footage.
Brick-and-mortar
environments can no
longer offer consumers
a singular purpose.
Developments must
be multi-functional
destinations, hybrid
facilities that support
retail’s changing landscape
and benefi t the consumer,
retailer, and developer. The
goal is to create physical
environments that offer a
differentiated customer
experience, but also one
that allows for faster
product access.
With a national vacancy
rate of more than 10% and
a market that’s inundated
with empty anchor space,
the challenge will be to
repurpose these once
thriving mall beacons to
become multipurpose
destinations that are both
functional and aesthetically
pleasing for developers
and remaining anchor
tenants.
The solution for dark
anchors should not be to
simply plug the hole with
traditional solutions, but
to look toward out-of-the-
box concepts. A more
innovative distribution
center concept can offer
a longer-lasting, versatile
solution focused on
engagement, helping with
supply chain, and better
addressing today’s speed
of transaction. The ideal
repurposed distribution
center offers three distinct
uses.
First, is a warehouse
“lite” facility offering
last-mile delivery
services—a smaller-
format transportation
hub focused on last-mile
logistics to deliver items
to the end user as fast as
possible. The repurposed
distribution center could
leverage key elements
from previous anchors, like
the loading dock, receiving
area, and freight elevators.
And keeping truck traffi c
to the backside of the
development, ideally with
a separate entrance,
prevents a disruption to
guest traffi c fl ow.
Next, a robust click-
and-collect facility, from
parcel lockers to drive-
through pick-ups, will allow
customers and third-party
delivery vendors faster
access to merchandise.
This could also support
newer concepts like cloud
kitchens that rely on
multiple delivery providers
and a seamless pick-up
process. Supporting new
business models, from
ridesharing to BOPIS (buy
online pickup in store), will
keep the concept fresh
and fl exible to support
the growing ecommerce
market.
The third usage will
be to leverage the
street-facing façade for
small-format retail and
restaurants. Providing
unique localized offerings
and a varied tenant mix
will keep the development
feeling current. These
new consumer-facing
environments should offer
| THINK TANK | By Eric Arter, AIA, LEED AP, Vice President, Mixed-Use Studio Leader, NELSON Worldwide
ANOTHER WELL-KNOWN RETAILER FILES
FOR BANKRUPTCY: HERE’S THE SOLUTION
TO MORE EMPTY ANCHOR STORES
One solution for dark anchors is to convert them to warehouse “lite” facilities, which offer last-mile delivery
services. The repurposed distribution center could leverage key elements from previous anchors, like the
loading dock, receiving area, and freight elevators.
RENDERING: NELSON