A lot has changed in brick-and-mortar retail in recent years as online shopping has grown in popularity — spurred on by the pandemic. According to an October 2022 article in The Wall Street Journal, there are currently only about 700 malls left in the nation — down from about 2,500 in the 1980s.
“This is an industry that has definitely gone through a transition,” observed Brian Lade, who, as regional asset manager for the Feil Organization, oversees the Lakeside Shopping Center in Metairie. “Most of the tenants from 30 years ago don’t even exist anymore.”
However, Lade feels that rumors of the death of shopping malls have been greatly exaggerated, and he is proving it every day with Lakeside’s success. The mall is currently 98% occupied.
“Brick-and-mortars are not going the way of the dodo bird,” he stated firmly. “We see the younger generation out here, still enjoying the shopping experience. It speaks to the long-term viability of this concept.”
Lade acknowledged that the industry overbuilt in the 1980s; he also cited the arrival of big-box stores in the malls, and the shrinking of the middle class as contributors to the challenges that many shopping centers have faced.
He feels, however, that these problems created opportunities.
“What we’ve seen is a flight to quality,” he reported. “The better malls are doing quite well.”
This is reflected in Lakeside’s approach to attracting tenants. With several stand-alone buildings apart from the main mall, as well as a nearby smaller stretch of stores at 17th Street and Severn Avenue, Lakeside offers over 1 million square feet of retail space. In filling this space, Lade and his team have been intentional about moving toward higher-end retail. Among the new tenants this year are Warby Parker, American Eagle and Psycho Bunny, while tenants like Lee Michaels Fine Jewelry, the Apple Store and The Royal Standard have expanded into larger spaces.
While large, national brands are a staple, Lade said he loves working with local regional retailers. Along these lines, the 17th and Severn facility is now housing small boutique stores, several with local ownership.
Lade also manages the North Riverside Park Mall in Chicago, though he admits to preferring New Orleans winters to those alongside Lake Michigan. His responsibilities for both locations cover just about everything involved with the operations, from leasing to staffing to physical plant management.
However, he was quick to credit his staff for the popular mall’s success.
“The thing that stands out most for me from this year is having the team that I have,” he said. “Sometimes it takes a while to get the right people and put them in the right places, but it is worth the effort. My work is done through other people.”
Lade remains optimistic about the future of Lakeside and its counterparts.
“Lakeside had a great year again in 2022,” he said. “I feel as good about brick-and-mortar retail as I’ve ever felt.”
