INDIAN RIVER COUNTY — While some shoppers mourned the announcement that Sears is closing its Indian River Mall location, others see it as a chance to revitalize the mall.
The 23-year-old Sears store is expected to close late October. Liquidation is expected to begin Aug. 15. It is the last Sears store on the Treasure Coast following closure of the Sears at Treasure Coast Square earlier this year.
Some retailers, however, have been waiting for this kind of "break" — the closing of an outdated retail store such as Sears and the chance to bring in a more current tenant, said Nate Cutchin, senior director of retail services in Orlando for Colliers International, the real estate firm hired about six months ago to find tenants to fill the mall's empty stores.
There's a long list of potential new tenants ready to take Sears' place, Cutchin said.
Retail is a changing business, said Katy Welsh, senior director of retail in South Florida with Colliers International. Stores such as Sears are going the way of Woolworth's, she said.
Malls, too, are evolving into entertainment centers and town centers — places people can shop, have fun, work and maybe even live, she said.
"Retail is always evolving," Welsh said. "We find it as an opportunity to re-tenant it with more currency."
Within the next year, Cutchin said, Indian River Mall will be making a transformation.
"It's very exciting. It's an opportunity to really create something for the community," Welsh said. "This place will be back-filled with something more current."
Replacing Sears with another apparel store is unlikely, Welsh said. Instead, she sees a home goods store, a discounter such as TJ Maxx or a family entertainment center, which is becoming a more common sight at malls.
Trampoline parks or large fitness centers are part of a new trend of "retailtainment" filling mall spaces, especially spots vacated by anchor stores, she said.
"A lot of people are waiting for these dated retailers to go out," Cutchin said. "It's the first step in bringing the mall back to life."
Still, the news of Sears' impending closure surprised shoppers such as Grace Sanchez and her husband, Jorge Suarez, of Vero Beach, who enjoyed the large store.
"Any time you see a big store like this closing, you think, 'What are people going to think?'," said Sanchez. "People are going to think, 'What's happening to the mall? Who's next?'"
The mall, which opened in 1996, has struggled throughout its history. Its Gap, Disney Store and RJ Gator's closed in 2008. In 2014, Simon Property Group defaulted on its $71.3 million mortgage for the mall and the adjacent Indian River Commons Plaza.
In April 2016, the bank sold the plaza — which includes Best Buy, Ross, Michael's and Bed Bath & Beyond — for $16.5 million.
Kohan Retail Investment Group of Great Neck, New York, bought the mall for $12.1 million.
The mall's four anchor stores — Dilliard's, JCPenney, Macy's and Sears — owned their own buildings and parts of the parking lot. In February, Sear's Roebuck sold its building to Transform Dove Holdings of Bay Harbor Springs, for $9.4 million, according to the Indian River County Property Appraiser. The sale included the 120,384-square-foot store and 250,000-square-foot parking lot, property appraiser records show.