In This Corner, Tanger/Childress Klein Group Goes Up Against Simon/Paragon for Dominance of Charlotte Market
The race to build outlet centers is on in Charlotte, with Tanger Factory Outlet Centers, Inc. and a joint center of Simon Property Group, Inc. (NYSE: SPG
) and Baltimore, MD-based Paragon Outlet Partners announcing projects within two days of each other.
Simon and Paragon announced Friday they have signed a letter of intent to jointly develop Charlotte Premium Outlets, a 400,000-square-foot center expected to open in 2014.
The outlet center, proposed for Stallings, NC at Interstate 485 and Idlewild Road, will house about 100 designer and name-brand stores and is expected to break ground next spring. The project is a 50/50 joint venture between Simon and Paragon.
Simon Property is familiar with the Charlotte market, owning SouthPark and Concord Mills, noted John R. Klein, president of Simon's Premium Outlets division.
Just two days earlier, Tanger announced plans to build a 350,000-square-foot center eight miles southwest of uptown Charlotte at the interchange of I-485 and Steele Creek Road, with plans for a possible 50,000-square-foot extension.
Tanger is developing the 90-store outlet project in conjunction with Childress Klein Properties and Steele Creek Limited Partnership, a long-time owner of land in Steele Creek created by Charlotte civic leader Sarah Belk Gambrell, who will be developing ancillary uses surrounding the outlet center.
The Tanger project is also slated for completion in 2014 subject to the securing of development approvals. The center will be the fourth outlet shopping center in North Carolina for Tanger, which operates Tanger Outlets Blowing Rock along the Blue Ridge Parkway; Tanger Outlets Nags Head on North Carolina's Outer Banks; and Tanger Outlets Mebane in the Piedmont Triad and Research Triangle area.