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Part-owner of Pittsburgh Mills mall ready to start work nearby
The View from Vegas
Thursday, May 25, 2006

LAS VEGAS -- Construction should start soon on a 172,000-square-foot open-air shopping center adjacent to the new Pittsburgh Mills mall, despite ongoing questions over the future of the Frazer mall's majority owner.

Zamias Services Inc. will start with buildings for a 30,000-square-foot Best Buy and 20,000-square-foot Petsmart, with work on four additional big-box retail locations and smaller shops to follow later in the summer, said Perry Russ, executive vice president with the Johnstown developer.

Talks with prospects for the additional spaces were being held this week at the International Council of Shopping Centers show in Las Vegas, a gathering that drew 45,000 people, including developers, real estate brokers and retailers.

The open-air project in Frazer, called The Village at Pittsburgh Mills, is owned by Zamias. The 1.1 million-square-foot mall next door is controlled by Virginia-based The Mills Corp., although Zamias is a part owner and appears to be interested in buying out Mills if the opportunity arises.

In the past several months, Mills has disclosed accounting problems, laid off employees and abandoned some development plans.

The company also has said it was considering its options, which might include selling some properties.

The Pittsburgh mall off Route 28 opened last summer to mixed reviews. Temporary stores filled several spaces and plans for a NASCAR-related attraction fell through, but a collection of teen retailers seems to be attracting shoppers. Pittsburgh-area brokers report business at restaurants around the mall appears strong.

Zamias seems a likely bidder for the mall since the Johnstown developer spent two decades working to get the shopping center built. Company officials would not confirm this week that they had submitted a bid, but there's little doubt they're interested. "Obviously, we believe in the project," said Damian Zamias, company president and chairman.

Meanwhile, a developer who had been working on a 255-acre development not far away did not bring materials to the convention to pitch it to brokers. Texas-based The Woodmont Co.'s proposed Deer Creek Crossing, planned for the intersection of Route 28 and Route 910, has faced numerous legal obstacles over the years.


O'Hara-based Echo Real Estate Services is looking for a specialty grocery store to anchor a new project in Cranberry, but not a full-line Giant Eagle.

Warrendale Village, a development planned for a triangular site between Interstate 79, Route 19 and Warrendale-Bayne Road, has commitments for about half of the 42,900 square feet of planned retail, said Bradley R. Kelly, director of brokerage services for Echo.

Echo originally was created as the real estate arm of Giant Eagle, and the grocer remains its largest client. But the Cranberry site calls for something a little smaller, said Mr. Kelly.

Other Pittsburgh-area projects that Echo pitched at the Las Vegas show this week include a 15-acre parcel at the intersection of Monroeville Boulevard and Stroschein Road, retail space at West Hills Plaza in Moon shown featuring Target as the main anchor, and a project called Grandview Crossing anchored by Target and Lowe's on Route 8 next to Northtowne Square Shopping Center, Richland.

First published on May 25, 2006 at 12:00 am
Teresa Lindeman can be reached at tlindeman@post-gazette.com or 412-263-2018.
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