Department Stores Cling to Power Over Landlords on Mall Upgrades
- Decades-old contracts give anchors say over property changes
- What made sense 30 years ago is now ‘a hindrance,’ lawyer says
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The owners of the Sunrise Mall in Northern California have a vision for updating the 45-year-old center. Tenants there are making it difficult to get it done.
Proposed changes have been held up by the property’s department stores, which include Macy’s, J.C. Penney and Sears. Shoppers in the area, meanwhile, are turning to other, more modern centers as the redevelopment stalls.