Changes on Tap for Burbank Mall

By DARRELL SATZMAN

Staff Reporter

Center Trust Inc., owner of the long-struggling Media City Center mall in Burbank, is preparing to renovate the property at a cost of as much as $30 million.

The proposed changes, which were met with relief by Burbank officials and nearby merchants, include converting the bottom floor of the three-story mall from small retail spaces to larger spaces suitable for up to four “big box” stores.

The front of the mall would be opened up to Magnolia Boulevard, with a P.F. Chang’s China Bistro extending to the street.

Officials of Center Trust, a Manhattan Beach-based Real Estate Investment Trust, said a final decision had not been made regarding the scope of the work, but that the renovations would run between $5 million and $30 million. Dan Millman, vice president of leasing and asset management for Center Trust, said that the company would make a decision in the next 90 to 120 days.

“The mall has been flat for some time now,” said Burbank City Manager Robert “Bud” Ovrom. “We are anxious for them to get on with the work and make an announcement so the public knows what is going on.”

Meantime, P.F. Chang is expected to move into the space by the spring of 2003.

Built by developer Alexander Haagen as the central component to the $250 million Media City Center, the mall opened in 1991. Despite being anchored by a Macy’s, Sears and Mervyn’s, high turnover and above-market vacancy rates have made the mall the weak link in the 40-acre center, which also includes an Ikea, a Virgin Megastore and several other shops and restaurants.

At one point, the city invested $69 million in the center in exchange for 50 percent of the profits as part of a complex redevelopment package. When it became clear that the anticipated profits were not going to materialize, the city sold its share back to Haagen for $10 million. Center Trust bought the mall in 1997.