Wednesday, December 3, 2014

La Colombe completes new vision for Independence Mall building



La Colombe has signed a lease for approximately 1,700 square feet of ground-floor retail space at the Dow building on the corner of 6th and Market streets, completing an overall $20 million reinvestment strategy for the Independence Mall location. ( See renderings.)


"[That corner] was devoid of any energy; it was quiet and had nothing going on, yet you were directly across the street from the park, the Liberty Bell, the Independence Visitors Center and the National Constitution Center," said Richard S. Gottlieb, senior vice president of operations and development at Keystone Property Group. "Basically, it was a pass-through, and it was a quiet corner. ... We saw an opportunity in that."

La Colombe completes the vision created by a partnership consisting of Keystone Property Group, Mack-Cali Realty Corp. and Parkway Corp. to create a new destination and reinvent the pedestrian promenade on Independence Mall. The investment includes upgrades to the building, the addition of a 20,000-square-foot permanent beer garden and a parking garage.

The addition of the Philadelphia-based coffee retailer fills up the first floor of the Dow building. No more additional retailers are expected in the building.

A national chain showed interest in leasing the space, but the partnership wanted a local operator.

"It's a Philadelphia story," Gottlieb said. "And, frankly, having a local operator is hipper and cooler than going with a national chain."

As part of creating an open space for visitors, the barricade on the corner of 6th and Market streets will be broken down and converted into stairs. (See renderings.)

"We're basically walled from the sidewalk; there's a barrier separating the building, and the sidewalk and the patio area. That was a style [similar to] Dilworth Plaza [where] it was a big wall separating City Hall," Gottlieb said. "We want to break down the barriers as best as we can."

Plans to transform the corner into stairs is going through the approval process now, with construction targeted for the first quarter of 2015.

The Independence Mall location is part of the coffee retailer's aggressive $28.5 million, multi-unit expansion plan. It recently opened its new flagship facility in Fishtown at 1335 Frankford Ave.

Coffee and Beer ... For the Tourists and Professional Set

When looking at a piece of real estate, Gottlieb said Keystone imagines what the area can be in the future, how foot traffic can be increased and what attracts the best tenants and makes for a "successful" property on a pedestrian and economic level.

"There weren't enough options for people in that immediate vicinity. If you look at coffee, there's very little alternatives in a one- or two-block radius from that building. [There were] local business people walking around everyday, but you've got a huge tourist population there that didn't have enough options," he said. "These types of places bring energy both morning and afternoon with the coffee, and then all the way through until the evening with the beer garden."

The Independence Beer Garden, which opened earlier this summer, is closed for the colder seasons, but Gottlieb said that won't prevent the space from becoming a destination.

"There's a lot to be said for closing it down and saying, 'I'll see you next season,' and creating that anticipation of that new opening, making it scarce and making people looking forward to it," he said. "Secondly, it's extremely comfortable environment to be in the summertime. In the winter, it's just not that comfortable to be out there. It's better to close and keep it a destination in the warmer months."

The addition of restaurants on Independence Mall is a "brilliant move," said James Cuorato, president and CEO of the Independence Visitors Center.

"There are literally hundreds of thousands of people that walk that block every year. ... It's such a visible block because you have all of the people that come to the visitors center and the Liberty Bell. A lot of them leave our building and head right down that block," he said. "From the standpoint of foot traffic, I'm hard-pressed to think of another block in the area that offers such an advantage."

Cuorato also said: "To have them across the street will benefit the visitors who come to the area, especially in the morning. ... They're going to get a nice mix of office workers, locals and visitors."

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