Shopping Centers Today is the news magazine of the International Council of Shopping Centers (ICSC)
Issue link: https://sct.epubxp.com/i/62026
Mexico and Britain. This sort of a deal makes a lot of sense, because so many regional malls have vacant space right now, says Ray Cirz, CEO of Integra Realty Resources, a New York City–based commercial real estate valuation firm. Opening free- standing sites is time-consuming, but working with pre-existing mall space in this way can save a chain lots of trouble and expense, he says. Bulk deals between developers and retailers are not unusual, Cirz says, but this one is, involving as it does a restau- rant chain. "I haven't seen it with res- taurants, probably because restaurants don't usually open a large number of units," he said — at least not in such a short period of time, he says, and ex- cluding the fast-food chains. Buca was a public company from 1999 until Planet Hollywood pur- chased it in 2008. Planet Holly- wood and Buca both remain private, though according to Nation's Restau- rant News, in fiscal 2007 (Buca's last full year as a public company), the chain posted a loss of $16.2 million on sales of $245.6 million. Published reports indicate that Buca had been struggling for some years before that. General Growth declined to specify about what it will be seeking, or about Opening freestanding sites is time-consuming, but working with pre-existing mall space in this way can save chains a lot of trouble and expense. anything it knows of Buca's annual sales. If Buca does thrive in these malls, however, the chain will probably enjoy further opportunities to open at more malls across the General Growth portfolio, Cirz says. Indeed, prepared materials from both com- panies say the deal is but the first of others they will be interested in pursuing. General Growth operates nearly 140 regional and super-re- gional malls. So now General Growth shoppers have some very serious decisions to make: Will it be lasagna? Shrimp fra diavolo? Or maybe the veal saltim- bocca? You can't go wrong with spa- ghetti and meatballs, Barocas says. "Pasta's pasta, a meatball's a meat- ball," he said. "They seem to have got- ten the sauce right!" SCT 48 SCT / MAY 2012