Providence Place receivers looking for ‘new anchor presence’ as Macy’s evaluates future

Providence Place receivers looking for ‘new anchor presence’ as Macy’s evaluates future

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PROVIDENCE, R.I. (WPRI) — Will Macy’s be leaving the Providence Place mall?

ORIGINAL NOTE: https://www.wpri.com/business-news/providence-place-receivers-looking-for-new-anchor-presence-as-macys-evaluates-future/

That’s the question on shoppers’ minds after the anchor store was listed for sale this week.

While the shopping center’s court-appointed receivers say there are no immediate plans to make any changes, they could not “definitively confirm [the store’s] long-term presence,” especially given recent announcements from Macy’s corporate.

“To ensure alignment with Providence Place’s long-term goals, we have proactively reached out to Macy’s and plan to engage in discussions,” one of the mall’s receivers, W. Mark Russo, said in a statement to 12 News on Friday.

The company said no final decision has been made as it evaluates whether that store will be revamped into a modernized Macy’s or become one of the 150 locations that will close nationwide by 2026.

Russo said the company’s decision to reposition nationally was anticipated when the receivers took over.

“We view this development as an opportunity to work collaboratively with Macy’s to identify and attract a new anchor presence that aligns with Providence Place’s vision as a dynamic and unique retail destination,” Russo added.

The retailer was one of the mall’s original anchor tenants when it opened in 1999, though it was under the name Filene’s then.

Providence Place was put into receivership, a state-level version of bankruptcy, late last month after its management company defaulted on a $259 million debt.

“I’ve got to think that if you’re Macy’s, you’re going to probably see how that mall is performing,” JWU finance professor Tim Howes said. “And if the mall is performing OK, then maybe you say, ‘All right, we’ve got enough store traffic and whatnot that this is worthwhile.’ But, as we’ve seen, there’s been issues.”

As for the mall itself, one of the challenges it faces, along with growing competition from Cranston’s Garden City Center, is drawing in higher-end retailers, according to Howes.

The Macy’s store is expected to remain at the mall for the rest of the year. It’s still unclear how much it could be sold for, since the listing is private.

“We look forward to continuing to serve customers in a fresh and exciting retail environment at Macy’s Providence Mall,” the retailer said in a statement.