A rendering of what the Fiesta Mall might look like after its $30 million capital improvements are complete. (Photo courtesy of Ray Cashen)
$30M slated for investment into recently sold Fiesta Mall
The mostly forgotten Fiesta Mall, near the U.S. 60 and Alma School Road, was sold for $6.72 million to Dimension Financial & Realty Investments Inc., according to Cashen Realty Advisors and CBRE, the brokerage firms that worked on the transaction.
Dimension, which owns 195,000 square feet of space across the street from Fiesta Mall, plans to spend $30 million in capital improvements on the mall.
Ray Cashen, president and designated broker of Cashen Realty Advisors, says Dimension plans to create synergy between the two properties with common branding and parking.
Dimension will turn the mall into an education and healthcare campus at the Fiesta Mall site.
The sale of the Fiesta Mall includes the enclosed mall, surrounding parking areas and three nearby leased retail pads, totaling 318,495 square feet, according to CBRE. The mall is less than 10 percent occupied.
Glenn Smigiel, Bob Young, Steve Brabant and Rick Abraham with CBRE’s Phoenix office and George Good with CBRE’s Chicago office represented the mall’s sell in the transaction, which was completed via Ten-X, an online commercial and residential real estate marketplace.
Originally developed by the Homart Development Company, Fiesta Mall was previously anchored by four department stores. A Dillard’s clearance center and Sears remain as the mall’s only major tenants but were not part of the current sale.
The campus Dimension plans to create contains over 1.2 million square feet including the Mesa Fiesta Corporate Center situated immediately to the east of the Mall, and currently owned by the Principals, which will be bridged into the Mall and become part of the main campus.
The campus will showplace an innovative facility for those who desire a state-of-the-art environment to commingle with their peers. It will be a vibrant community within itself, day and night, with all the amenities one would ever need. The primary focus will be on health and education with numerous areas designed for medical learning centers and colleges specializing in business, economics, engineering, global communications, law, nursing and liberal arts.
The campus at the mall may build specially designed housing and provide eating and entertainment venues located in key areas. These will also serve the offices, health club and a futuristic sanctuary that will cater to the entire community along with relaxing coffee, yogurt and specialty shops in internet-friendly gathering spaces and a German-style beer garden/sports venue for all to enjoy.
“Fiesta Mall is the in the heart of the Fiesta District and I am excited to welcome DFRI to the team of developers working to revitalize one of Mesa’s greatest assets,” said Mesa Mayor John Giles.