Future of Malls: Glendale Galleria Converts Parking Lot into Outdoor-Dining
With COVID-19 pouring gas on retailpocolypse the slow death of American malls seemed assured. But physical retail stores aren’t the only ones taking a major hit from mall closures, the restaurants that rely on malls are in serious danger as well.
Food court residents including beloved fast-food chains and unique chains that work best with small footprints and high foot traffic are suffering but as we move away from brick and mortar and shop more online malls have invested more heavily into food.
In recent years, class-A malls have regularly dedicated at least 25% of the space to restaurants, a drastic increase compared to just 5% to 10% a decade earlier. Food halls that feature trendier and healthier food compared to traditional food courts have become increasingly popular.
More and more food businesses are reliant on malls but also suffered more than traditional restaurants during the pandemic. Early in the pandemic restaurants were forced to close but instead converted to delivery and pick-up models. But restaurants in a mall were not able to convert because they simply did not have dedicated entrances separate from malls.
But with states reopening in June business was finally picking back up. Almost overnight, most major cities tentatively opened the economy including malls. Sales increased by more than 30% in many areas over just two weeks.
That’s when reality caught up with the economic fervor. In the haste to recover from COVID-19, cases spiked and most states are now reversing their economic reopening. By many metrics, the US appears to be worse off than earlier this year where uncontrolled cases forced the first economic shutdown. Does that mean mall reliant restaurants have no options?
Initially, the US simply hit the pause button on all but the most essential economic activity under the assumption the threat would have quickly passed. Now that we understand we’re in it for the long haul businesses have adapted to a new co-existence with the pandemic.
Glendale Galleria
Many unique and well-known restaurants have moved into the Glendale Galleria in recent years, one of the few class-A malls, a mall that sells more than $500 per square ft, in Los Angeles across the street from a luxury outdoor mall, the Americana.
One way restaurants have adapted to the uncertainty of COVID-19 is to convert the parking garage into an outdoor dining area.
At first glance, the scene may be the most depressing kind of outdoor-seating there is but as the temperature climbs the shade is much appreciated.
There are no walls in the parking garage so there is plenty of airflow and the occasional summer breeze that greets diners as they eat. Realistically, this approach is the most efficient use of the now mostly empty parking garage.
Space is shared with the occasional shopper picking up retail items or meals from inside the mall as nobody is allowed inside. Workers would come out to greet you curbside. But otherwise, the space shows a lot of potential.
Many diners had a pleasant experience, they were able to eat at their leisure while not having the harsh sun beaming down on them. The occasional car horn would break the atmosphere but for people who miss the indoor-dining experience, this parking garage is likely the closest they’ll get for a long time.
Additionally, some diners who ventured to other parts of the parking garage like the top floor discovered a pristine view. While Glendale Galleria management did not comment on whether they would expand the dining area, they seemed to be open to the idea of opening more seating on the roof for those that wanted a view if there were greater demand and traffic.
Some consumers expressed health concerns such as exhaust from cars or general uncleanliness of parking garages. Experts generally agree that the risk to health from car exhaust would be minimal in the open-air design of a parking garage.
Other consumers suggested increasing the aesthetic appeal with plants, lights and music.
“It’s kind of a little odd to be sitting in a garage, but I think people are happy to be sitting outside eating the food that they really enjoy,” said Steven Sayers, senior general manager for the Glendale Galleria.
The concept is divisive with a high level of negative feedback online but there is clear demand with diners trying the new outdoor dining. But Sayers makes it clear that this is a survival tactic.
“Otherwise we have to close permanently,” says Sayers.
This shows that even a class-A mall with a long history in the community can struggle and even go out of business during the pandemic.
