GK Development to expand, renovate Iowa mall

BARRINGTON, IL, May 10, 2006 --- A long awaited expansion and renovation is coming to North Grand Mall, a 340,000 square foot regional mall located in Ames, Iowa, announced the mall’s owner, GK Development, Inc.

The redevelopment project will add a new, open-air lifestyle component to be called The Streets of North Grand. The pedestrian friendly center will include extensive streetscaping and high-end architectural design. It will include a variety of lifestyle center merchants that currently do not have a presence in Ames.

The enclosed portion of North Grand Mall will undergo an extensive makeover that will give the mall a fresh, updated look.
GK Development expects to invest $30 million in the project that will add or reconfigure a total of 150,000 square feet.

This hybrid redevelopment project will blend the best of North Grand’s indoor shopping environment with the lifestyle open-air concept offering consumers pleasant, convenient shopping choices.

“It is time to refresh North Grand’s appearance,” said Dan Sullivan, senior vice president-development of the real estate company and the mall’s parent company. “The mall renovation, coupled with the lifestyle addition, is a strong multi-million dollar investment in the Ames community.”

“The addition of lifestyle center tenants to the same shopping area as the enclosed mall is the best of both worlds for the consumer and the city.”

“We’ve recently received positive direction from the city and retailers so the time is right to move forward. We are eager and excited to begin this project,” he said.

The real estate company expects to unveil formal plans by the end of the year and begin construction early in 2007.

GK Development has a history of acquiring and aggressively redeveloping regional shopping centers. In December 2004, the real estate company invested $120 million to acquire four Iowa malls – North Grand, College Square Mall in Cedar Falls, Westland Mall in Burlington and Marshall Town Center in Marshalltown.

The firm recently began an interior renovation of College Square Mall. That project also includes a Hy-Vee relocation and expansion and a proposed expansion of the Cinema Entertainment Theater, representing a combined $20.5 million investment.
The real estate company also completed a significant redevelopment at Columbia Mall, Grand Forks, N.D., after acquiring the property in April 2004. That project included the addition of an 11,500 square foot Dakota Café food court, new restrooms, a family restroom and a children’s play area.