North Branch Outlets commercial property manager Stephanie Balynas said about 15 percent of the center’s traffic comes from the Twin Cities.
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Department stores have dramatically changed their pricing so that very little stock now sells at full price, he said. They can get the same items on sale at Macy’s as they can find at the outlet. “People need bigger and better reasons to make a destination drive now,” John said. The Medford and North Branch Outlets have had to adjust their tenant mix to minimize vacancies. A candy store will open later this month and a restaurant in October.
“Customers were ecstatic when Coach opened,” Paulson said. It added Coach last week after years of customer requests. We’ve been stopping here for years,” she said as she shopped there last week.īut Medford is slowly getting a better store mix, too. “Medford is a good break in the middle of nowhere. They have little desire to drive to Albertville Premium Outlets - the area’s other major outlet center - which they believe is too congested and has too many stores. It’s often rural customers like Lisa Rasmussen from Goldfield, Iowa, who are Medford’s best patrons.
“A lot of customers from Iowa and South Dakota make five or six trips per year,” Paulson said. Most customers now come from Rochester, Mankato and nearby states. Husbands dropped their wives off in Medford and went on to Cabela’s,” he said. “The Owatonna store near the Medford Center was a huge draw. Brennan thinks the center lost a lot of Twin Cities customers when Cabela’s added metro stores. We came here often 10 years ago, but now it seems to be going a little downhill,” she said.Ī decade ago, nearly 50 percent of the mall’s customers came from the Twin Cities, said Medford’s general manager Sharon Paulson. “There are more than a few empty storefronts. Paul knows the mall is trying, but she wants a home furnishings store, a restaurant and more clothing choices. While many of those stores closed nationwide in a slew of retail bankruptcies, customers are disappointed when their favorites go. Medford Outlet Center, which opened in 1991 and is 58 miles south of the metro, has seen departures of Mikasa, Geoffrey Beene, Big Dog, Black & Decker, Koret of California, Bonworth, Levi’s, the Company Store and others. Thomas Institute for Retailing Excellence, noting that the opening of the new outlet center will have little to no impact on those developments. “You’re seeing vacancies and closings,” said Dave Brennan, co-director of the University of St. They’ve lost most of their Twin Cities shoppers and a lot of the bigger names have moved out. Paul to avoid upsetting Dayton Hudson,” he said.īut that distance from the area’s core has already begun to hurt older outlet centers in Medford and North Branch. “Back then department stores and retailers were very protective of their brands and customers, so a lot of fashion brands wouldn’t locate in Minneapolis-St. That’s a substantial change from outlets built in the early 1990s, which were placed 40 to 50 miles away from the metro to avoid competition, said Minneapolis retail consultant Jim McComb. Outlet centers are also edging closer to full-line retail in cities like Chicago, Phoenix and New York. The Eagan outlet will be just a few miles from the Mall of America, as well as shopping centers in Bloomington and Richfield. Now there is more of a willingness among outlet and retail owners to locate centers closer to the action. With more than 1.2 million Twin Cities residents living within 15 miles of the new center, they no longer have to go the distance for outlet shopping, a departure from the 1990s when most centers were banished to the exurbs. More important, the opening of the Premium Outlets in Eagan signals a shift in outlet retailing. They have higher sales per square foot and lower overhead than full-line malls,” said George John, an associate dean at the University of Minnesota’s Carlson School of Management. “Outlet malls are a bright spot as far as malls go.
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A 20-minute trip will get shoppers to name-brand retailers such as Armani, Steve Madden, and Vera Bradley, plus a host of new eateries like Chicken Now, China Max and Villa Fresh Italian Kitchen. On Thursday, the Twin Cities Premium Outlets will open in Eagan within striking distance of Mall of America and less than 30 miles from the Twin Cities core. Outlet mall fans, the wait is over - and so is the long drive.
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