CAPE GIRARDEAU, MO
On May 1 and June 2, River City Centre, LLC (RCC) publicly shared plans to redevelop West Park Mall with the City of Cape Girardeau TIF Commission. RCC aims to reimagine the underutilized property, classified as a blighted area in an April 2023 study, and revitalize this asset in the City’s primary shopping area, providing residents and visitors with an exciting mix of retail offerings.
“At $107 million, the West Park Mall redevelopment will be the largest private investment in our city since the hospitals were built,” said city manager Kenneth Haskin. “The River City Centre team has an exciting vision to remake the mall into a true destination with shopping and entertainment options. In the last eight months, they have been fantastic partners and we are very confident in the development plan. The revived mall will attract more shoppers and boost activity in and around the mall with a ripple affect across the city. With online sales and changing consumer habits shuttering malls across the country, we are so lucky to have local investors bringing new energy and private funds to the project and our community.”
RCC plans include a multiphase redevelopment of the entire property. Phase 1 includes new, individual exterior store entrances and façade enhancements designed to fulfill the needs of national retail brands, as well as extensive improvements to the east wing to offset the decline of the property since the Macy’s closure in 2021. The initial phase also addresses mechanical, electrical, and plumbing infrastructure work, added loading dock space and landscaping improvements.
Additional outparcel development along the east side of the mall is planned for franchises to increase food and beverage options on-site.
“River City Centre has taken public demand and comments into account when attracting new retailers and tenants to the property, including several of those listed in a recent poll by B Magazine,” said RCC representative Lucas Haley. “We believe the public will be excited to see the retail offerings available in this community for the first time. We look forward to making the tenant lineup public at the first available opportunity.”
The $107 million development is proposed to be supported, in part, by Tax Increment Financing (TIF), Community Improvement Districts (CID) and Transportation Development Districts (TDD).
Once construction is completed, the TIF structure provides for the property to be reassessed for tax purposes and a portion of the incremental increase in new tax revenue created by the project is available for reimbursement of eligible project costs. Under the proposed financing structure, no taxing jurisdiction gives up any existing tax revenue, and no taxing jurisdiction guarantees any incentive revenue reimbursement to the project. Only a portion of the increase in tax revenue generated by the project is used for the project costs, with the remaining portion continuing to go to local tax districts.
TIF reimbursements make up less than 18% of the total estimated cost and facilitate the redevelopment of a property that would otherwise remain in a deteriorating state, reducing vacancy and repositioning the mall for decades to come.
The RCC plan projects more than $80 million in new tax revenue over 30 years to all local taxing districts with $51 million to the City, $28 million to the County, and $3 million to the Public School District. The plan is projected to create 750 jobs during construction and establish and retain more than 700 permanent retail jobs. RCC expects the redevelopment to have significant indirect benefits on the surrounding properties as well, attracting additional consumers and spending into the Cape Girardeau market.
“The West Park Mall revitalization will add to the economic vitality of Cape Girardeau and the entire area. It is a large project, but similar plans have been accomplished by others in the region. One city’s project was approximately $123 million, which included TIF. Since that project, their area has grown, developed and continues to develop,” said assistant city manager Trevor Pulley. “I have personally and professionally worked with the River City Centre developers on prior projects. In each project, they delivered what they proposed.”
RCC is partnered with The Lawrence Group, Pace Properties, Integra Realty Resources, Pilot Construction Solutions and, most recently, Robinson Industrial, Heavy & Commercial Contracting (RIHC), a locally-based construction company.
“River City Centre has assembled a tremendous team to deliver this project, and RIHC Contracting is both excited and thankful to be part of it,” said Paul Findlay, president of Robinson Construction. “We have been fortunate to be part of many impactful projects over the years, and we believe that this project will be incredibly impactful for the City of Cape and the broader Southeast Missouri region.”
RCC is a group of local real estate developers and strategic partners. The group is owned and managed by Lucas Haley, Michael Williams and Ben Ressel, with additional investment from Matthew Mills, Natalie Riley, and Steve Holden, through trusts and affiliates. Combined, they have developed assets across 37 states with a portfolio that includes big box retail, grocery-anchored retail, triple-net retail, multi-family, hotels, health care, agriculture, renewable energy and historic rehabilitation. The group has extensive experience in large-scale developments and public-private partnerships, and are active investors in several early-stage companies, including multiple businesses based in Southeast Missouri.
For more information about the redevelopment of West Park Mall, contact RCC representatives Nick Martin or Lucas Haley at:
Nick Martin
(573) 979-3836
Nick.Martin@pilot-cs.net
Lucas Haley
(573) 335-3316
lhaley@limbaughlaw.com