Shopping mall in Chicago's South Loop has yet to break ground

By

Rebecca Taras

Susan Spies

Published
Jun 7, 2017

While Chicago’s South Loop continues to develop with an abundance of retailers, restaurants and business services, construction on a 100,000-square-foot mall has temporarily ceased. The property was initially scheduled to open in spring 2017.
 

The planned five-story shopping complex—located on the bustling corner of Jefferson and Taylor streets—was granted an $18 million dollar construction permit last August, but has yet to break ground. Public records state that Jaytee LLC, the owner listed on the permit, filed for Chapter 11 bankruptcy back in September. As if financial status wasn’t enough proof that the mall is unlikely to open, it’s also been reported that there’s a for sale sign on the current building that resides on the property where the mall was going to be constructed.

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Global bank Credit Suisse recently issued a research report forecasting that a quarter of US shopping malls will close over the next 5 years as shoppers continue to migrate away from bricks-and-mortar stores. However, Chicago's South Loop is the also experiencing a spectacular upscale residential real estate boom in an area with relatively little commercial infrastructure. Projects such as this shuttered complex could fill a real niche, that is if ever the right developer comes into the picture.