BREAKING NEWS: Cappelli, SL Green join in redevelopment of White Plains Galleria

A plan to redevelop the Galleria shopping mall in downtown White Plains took another step closer to reality Nov. 3 when it was announced that the mall’s owners have joined forces with two other major real estate players to move ahead with the anticipated project.

The owners of the Galleria are California-based Pacific Retail Capital Partners and Aareal Bank Group, which is headquartered in Wiesbaden, Germany. It was announced that they are joining with White Plains-based developer Louis Cappelli’s The Cappelli Organization and  SL Green Realty Corp., which is billed as Manhattan’s largest office landlord, to redevelop the mall.

Various White Plains city officials have told the Business Journals that they were expecting that a plan for the Galleria would incorporate residential elements into the property, likely in the form of high rises at both the east and west ends of the property. It was felt that it  would be likely for the central part of the mall to be reimagined into a dining, entertainment and retail complex with a wide demographic appeal.

The Galleria’s former major anchor tenants, Macy’s and Sears, had occupied buildings at either end of the approximately 10-acre property that fronts on Main Street. The Galleria, which opened in 1980, brought 870,000 square feet of retail space to the city with a city-owned garage attached. The project was a cornerstone in the urban renewal redevelopment of White Plains’ downtown.

“This is one of the most exciting mixed-use development sites in the New York Metro Area,“ said Steve Plenge, CEO of PRCP. “We have worked over the past few years to acquire the Macy”™s fee interest at the site, along with the leasehold interest of the former Sears. Working with our new partners, we will reimagine the site as a vibrant mixed-use project that will be centered on residential development and amenity-based retail.”

Cappelli said, “We are extremely pleased for the opportunity to join with SL Green, Aareal Bank Group and Pacific Retail Capital Partners in the redevelopment of The Galleria site. The reimagining of this property is integral to the dramatic transformation of downtown White Plains that is well underway. We are fortunate to be able to play a role in recreating the property with mixed uses, which will link the city”™s transit center with the Mamaroneck Avenue corridor. The Galleria redevelopment comes as our company, is beginning the redevelopment of the former White Plains Mall property into Hamilton Green, also a mixed-use project.”

Plenge said that they anticipate closing a portion of the Galleria early next year to begin the redevelopment. Plans would need city approval. The Business Journals were told that the city has been in talks with Pacific Retail regarding how the municipal garage would dovetail with the redevelopment.