Calgarypuck Forums - The Unofficial Calgary Flames Fan Community
Old 09-29-2018, 09:15 PM   #1
OutOfTheCube
Franchise Player
 
OutOfTheCube's Avatar
 
Join Date: Aug 2004
Exp:
Default New Horizons Mall open... and empty

Saw this video of a guy who went out to the New Horizons Mall in Balzac. If you go to Cross Iron Mills or drive the QEII often you’ve undoubtedly seen this thing under construction. Well, it’s open for business... and it’s empty. No stores, no customers, no food joints... nothing. Just a bunch of ‘For Lease’ signs.

The video is a little long on the tooth, but you get the idea in the first minute or two.



So, what’s gone on out there? Is the whole thing a doomed failed experiment? I know they had some innovative new way of selling off the spaces, which would then be leased out, but it looks like nobody got a single one leased. I can’t imagine a space like that size has cheap operation costs. It looks like a disaster.
__________________
OutOfTheCube is offline   Reply With Quote
The Following 4 Users Say Thank You to OutOfTheCube For This Useful Post:
Old 09-29-2018, 09:20 PM   #2
BlackArcher101
Such a pretty girl!
 
BlackArcher101's Avatar
 
Join Date: Jan 2004
Exp:
Default

Comes down to greed and speculation. The concept for the mall has worked elsewhere, and I'm not entirely sold that a big reason for the failure is the location (they were saying the same about CrossIron). The issue here is how they were sold. Instead of invoking a requirement that all sold spaces be occuplied by a certain date or turned back over... they had nothing. Pretty much all the spaces sold to speculators, looking at them as investments and saw $$$ thinking they could then lease them to these small store owners. Except then the lease rates are stupid high, and just are not feasible, even approaching rates in existing malls. In low margin stores that were being marketed, it's just not an option. This should have been restricted so that costs were kept low and store owners actually owned the space.

Developer must be laughing. He's been paid by all the investors and his end of the deal is done now that the building is complete. Lots of people got conned.

edit: Here's a good article on the problem https://calgaryherald.com/business/l...remains-upbeat
__________________


Last edited by BlackArcher101; 09-29-2018 at 09:46 PM.
BlackArcher101 is offline   Reply With Quote
The Following User Says Thank You to BlackArcher101 For This Useful Post:
Old 09-29-2018, 09:24 PM   #3
Dynamic
Crash and Bang Winger
 
Join Date: Oct 2004
Exp:
Default

Wow that is unreal. This reminds me of those Chinese ghost cities. I sure hope something happens with that place.
Dynamic is offline   Reply With Quote
The Following User Says Thank You to Dynamic For This Useful Post:
Old 09-29-2018, 09:29 PM   #4
BlackArcher101
Such a pretty girl!
 
BlackArcher101's Avatar
 
Join Date: Jan 2004
Exp:
Default

Quote:
Originally Posted by Dynamic View Post
I sure hope something happens with that place.
Indoor paintball or go-karts!

For an idea on prices that people are trying to sell or lease for right now: https://www.kijiji.ca/b-commercial-o.../k0c40l1700199
__________________

BlackArcher101 is offline   Reply With Quote
The Following 2 Users Say Thank You to BlackArcher101 For This Useful Post:
Old 09-29-2018, 10:12 PM   #5
GirlySports
NOT breaking news
 
GirlySports's Avatar
 
Join Date: Jan 2007
Location: Calgary
Exp:
Default

The Flames could play there
__________________
Watching the Oilers defend is like watching fire engines frantically rushing to the wrong fire

GirlySports is offline   Reply With Quote
The Following User Says Thank You to GirlySports For This Useful Post:
Old 09-30-2018, 04:38 AM   #6
combustiblefuel
Franchise Player
 
Join Date: Oct 2013
Location: Victoria
Exp:
Default

Quote:
Originally Posted by BlackArcher101 View Post
Indoor paintball or go-karts!

For an idea on prices that people are trying to sell or lease for right now: https://www.kijiji.ca/b-commercial-o.../k0c40l1700199
Damn... At those prices I could afford to lease a spot... Im not in Calgary tho....
combustiblefuel is offline   Reply With Quote
Old 09-30-2018, 04:39 AM   #7
combustiblefuel
Franchise Player
 
Join Date: Oct 2013
Location: Victoria
Exp:
Default

Quote:
Originally Posted by BlackArcher101 View Post
Indoor paintball or go-karts!

For an idea on prices that people are trying to sell or lease for right now: https://www.kijiji.ca/b-commercial-o.../k0c40l1700199
combustiblefuel is offline   Reply With Quote
Old 09-30-2018, 09:19 AM   #8
tvp2003
Franchise Player
 
tvp2003's Avatar
 
Join Date: Mar 2006
Exp:
Default

Feel bad for the people legitimately wanting to run a business in there who didn’t foresee this kind of delay. I’m guessing it’ll just be a matter of time before it’s a race to the bottom and people start drastically cutting lease rates and/or dumping them with negative cash flow (ie condo fees/utilities). Might be a way to pick up a space on the cheap. Until then, supply >>>>>>>>>>>> demand at current asking prices.

PS the guy in the video is super annoying... for some reason he keeps looking around like he’s in there illegally and not wanting to get caught. Had to turn it off.
tvp2003 is offline   Reply With Quote
The Following 3 Users Say Thank You to tvp2003 For This Useful Post:
Old 09-30-2018, 09:26 AM   #9
Northendzone
Franchise Player
 
Northendzone's Avatar
 
Join Date: Aug 2009
Exp:
Default

That article from the herald is amusing in that it suggests that owners of the units maybe looking to work with mall owners to figure out what kind of store they want. Seems like an odd way to do that as would one not normally figure that out first. And then get space?

Wonder how much that would cost to convert into a series of ice rinks?
__________________
I really like bikes and bike related discussions......
Northendzone is offline   Reply With Quote
Old 09-30-2018, 10:01 AM   #10
Amethyst
Powerplay Quarterback
 
Join Date: Jul 2015
Location: Calgary
Exp:
Default

The video is annoying. I'm not sure why it needs to be so long. The mall is empty, end of story. I saw it on the news recently, and there are a few stores open. I'm not sure how well their businesses are doing, if no one else is there. I guess it depends on if they depend on walk-in traffic or not.

OTOH, that guy sweeping the floors must have a pretty easy job!
Amethyst is offline   Reply With Quote
Old 09-30-2018, 10:10 AM   #11
Ducay
Franchise Player
 
Ducay's Avatar
 
Join Date: Feb 2006
Exp:
Default

Quote:
Originally Posted by Amethyst View Post
The video is annoying. I'm not sure why it needs to be so long. The mall is empty, end of story. I saw it on the news recently, and there are a few stores open. I'm not sure how well their businesses are doing, if no one else is there. I guess it depends on if they depend on walk-in traffic or not.
Annoying video for being long? You could summarize the gist of any video in a headline and avoid the videos all together. What kind of argument is that?

And you're also asking if the businesses are doing well and if they depend on walk in shoppers? Are you serious? Firstly, its a mall. Every shop except the Apple Store depends on walk in traffic. Secondly, of course the businesses are doing horrifically. Even with free leases some owners are giving out, no one there is making any money.

Terrible concept, terrible execution.
Ducay is offline   Reply With Quote
Old 09-30-2018, 10:16 AM   #12
Amethyst
Powerplay Quarterback
 
Join Date: Jul 2015
Location: Calgary
Exp:
Default

Quote:
Originally Posted by Ducay View Post
Annoying video for being long? You could summarize the gist of any video in a headline and avoid the videos all together. What kind of argument is that?

And you're also asking if the businesses are doing well and if they depend on walk in shoppers? Are you serious? Firstly, its a mall. Every shop except the Apple Store depends on walk in traffic. Secondly, of course the businesses are doing horrifically. Even with free leases some owners are giving out, no one there is making any money.

Terrible concept, terrible execution.
Well, after he walks around and shows a few empty halls, what else is there to see?

Sure, walk in traffic is usually important in a mall, but I don't know what those businesses are. What about a tattoo shop where the artist was someone everyone wants to go to?
Amethyst is offline   Reply With Quote
Old 09-30-2018, 10:19 AM   #13
Locke
ness Monster
 
Locke's Avatar
 
Join Date: Mar 2007
Location: Income Tax Central
Exp:
Default

It seems to me that building a mall in the middle of nowhere without some anchor tenants was very short-sighted.

Cross-Iron Mills worked because they had a movie theater that could service that area and primarily because they're outlet stores and ultimately because they had Bass Pro Shops as anchor tenants.

You'll go out of your way to go to Bass Pro and then maybe wander the mall and buy some stuff or get something to eat.

Ditto if you're going to go see a movie.

The real issue with this is that the 'business condo' model is flawed in that they're incredibly expensive, they're typically undeveloped for the most part and they're purchased by speculators who want to generate a profit on their investment meaning that the rates have to be so high that your standard business isnt going to succeed.
__________________
- "Somebody may beat me, but they're going to have to bleed to do it."
- Steve Prefontaine
This Post Has Been Distilled for the Eradication of Seemingly Incurable Sadness.
Locke is offline   Reply With Quote
Old 09-30-2018, 10:20 AM   #14
Puxlut
Monkey Stealer
 
Puxlut's Avatar
 
Join Date: Jun 2007
Location: at the bottom of Canyon Meadows pool
Exp:
Default

Indoor dog park.
__________________
"This job would be great if it wasn't for the f@cking customers."
Puxlut is offline   Reply With Quote
The Following 4 Users Say Thank You to Puxlut For This Useful Post:
Old 09-30-2018, 10:25 AM   #15
Locke
ness Monster
 
Locke's Avatar
 
Join Date: Mar 2007
Location: Income Tax Central
Exp:
Default

Quote:
Originally Posted by Puxlut View Post
Indoor dog park.
Honestly, considering some of the weather we had last winter, I would pay a reasonable admission for that.
__________________
- "Somebody may beat me, but they're going to have to bleed to do it."
- Steve Prefontaine
This Post Has Been Distilled for the Eradication of Seemingly Incurable Sadness.
Locke is offline   Reply With Quote
Old 09-30-2018, 11:13 AM   #16
CaptainCrunch
Norm!
 
CaptainCrunch's Avatar
 
Join Date: Jun 2002
Exp:
Default

Wait for it to crater in value, buy it and create a evil organization bent on world conquest and house it there.


Every one gets an office, except for you Captain Insanity, you serve fries in the food court.
__________________
A good death is its own reward
CaptainCrunch is offline   Reply With Quote
The Following User Says Thank You to CaptainCrunch For This Useful Post:
Old 09-30-2018, 11:46 AM   #17
jaydorn
First Line Centre
 
jaydorn's Avatar
 
Join Date: Feb 2010
Location: Calgary
Exp:
Default

From the get go this location next to Crossiron never made much sense to me for an asian bazaar/flea market style set up.

Crossiron was developed to be the destination in that area, once you fought the traffic on the highway, dealt with the maze of a parking lot, wander the mall for a while, then lugged your family/shopping back into the car... you're well spent emotionally/physically/financially. Fighting more traffic to scoot across one of the exit roads for a bubble tea just isn't gonna happen.

Even looking at similar projects in Calgary or other cities they tend to either be the only complex of this type in the area(Farmers Market, Crossroads Market), or they're in densely populated areas(Pacific Place Mall)... New Horizon Mall has neither.

This project should have either been placed in a densely populated area (something like Currie Barracks) or a suburban car-centric shopping districts like West Hills. Locations where people are either going come out specifically for the asian market, or an area where they aren't competing directly with a one stop mega complex.
jaydorn is offline   Reply With Quote
The Following 2 Users Say Thank You to jaydorn For This Useful Post:
Old 09-30-2018, 11:52 AM   #18
GirlySports
NOT breaking news
 
GirlySports's Avatar
 
Join Date: Jan 2007
Location: Calgary
Exp:
Default

This mall should have replaced Eau Claire. It would get the traffic by the river.
__________________
Watching the Oilers defend is like watching fire engines frantically rushing to the wrong fire

GirlySports is offline   Reply With Quote
The Following 2 Users Say Thank You to GirlySports For This Useful Post:
Old 09-30-2018, 01:20 PM   #19
Resolute 14
One of many who is too boring; thinks that there should be rules regarding grammar in custom user titles, and also makes moderators wonder if there is a charachter limit here. I mean come on- you would think that would be a limitation in the software
 
Resolute 14's Avatar
 
Join Date: Jan 2003
Exp:
Default

Quote:
Originally Posted by Locke View Post
It seems to me that building a mall in the middle of nowhere without some anchor tenants was very short-sighted.
Well, there's half a million people within very easy driving distance, plus the draw of CrossIron, which you've already noted as a success. Though, of course, a mall catering to Asian shopping tastes being nowhere near Asian population clusters was pretty stupid.

The failure of this mall really comes down to the short sighted sales strategy of the builders. They've apparently sold every stall, but didn't ensure that they were selling to people who would actually run shops. Instead, the entire thing was sold to vultures who thought to profit by inserting themselves as an unnecessary layer of management/bureaucracy. So if there's one silver lining to this, it's that they are all getting absolutely wrecked.

The question is, can the mall recover when those vultures find themselves forced to sell at bargain prices, hopefully to people who will open shops?
__________________

Resolute 14 is offline   Reply With Quote
The Following User Says Thank You to Resolute 14 For This Useful Post:
Old 09-30-2018, 01:25 PM   #20
calumniate
Franchise Player
 
calumniate's Avatar
 
Join Date: Feb 2007
Location: A small painted room
Exp:
Default

Nice to see urban sprawl get served their own lunch from time to time
calumniate is offline   Reply With Quote
The Following 8 Users Say Thank You to calumniate For This Useful Post:
Reply

Thread Tools Search this Thread
Search this Thread:

Advanced Search

Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

BB code is On
Smilies are On
[IMG] code is On
HTML code is Off

Forum Jump


All times are GMT -6. The time now is 06:54 PM.

Calgary Flames
2017-18




Powered by vBulletin® Version 3.8.4
Copyright ©2000 - 2019, Jelsoft Enterprises Ltd.
Copyright Calgarypuck 2016