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January 28.2026
3 Minutes Read

Reimagining Community Spaces: Grossmont Center's $50M Revitalization Begins

Grossmont Center Begins $50M Transformation

Grossmont Center's Ambitious Renaissance

The Grossmont Center in La Mesa, California, is embarking on an ambitious $50 million transformation to reimagine its space into a vibrant community hub. This transformation began on January 5, marking the start of a multiphase redevelopment that aims to modernize the 925,000-square-foot retail center, creating a place that fosters community connection and engagement.

Investment and Vision

Federal Realty Investment Trust, a Maryland-based real estate investment firm, acquired Grossmont Center in 2021. Since then, their team has actively engaged in innovative design and planning initiatives to breathe new life into this retail space. “This was a property we’ve long had our eye on as an opportunity to give it a new life,” stated Jeff Kreshek, Senior Vice President and Western Region President of Federal Realty. The first phase, costing between $13 million and $15 million, includes updates to façades, landscaping, and common areas, laying the groundwork for a contemporary retail experience.

Creating Spaces That Inspire

Federal Realty’s leadership envisions the center as a blend of shopping and community activities that goes beyond traditional retail patterns. As Kreshek put it, the goal is to create a location that resonates with visitors through its vibrancy, inspiration, and communal feel. “I want them to feel at home,” he explained. The project is designed to provide spaces where visitors can relax, gather, and, if they choose, shop—all without the pressure that often accompanies a typical mall environment.

A Timeless Design Approach

The updated design will incorporate elements that ensure longevity and adaptiveness to future needs. Working with the global architecture firm DLR Group, Federal Realty aims to approach the redesign not just as a renovation but as a rejuvenation of the community’s gathering space. This perspective was echoed by Jon Stoeckly, VP of Regional Development at Federal Realty, who emphasized that the changes are fundamentally about enhancing community interactions.

Future Phases of Development

The redevelopment plan is extensive, including Phase Two, which will focus on the theater space currently occupied by Reading Cinemas, with an expected budget of $6 million to $8 million. Excitingly, a new theater operator will soon be announced, indicating a shift in offerings that aligns with the community's evolving entertainment preferences. Further phases, which involve major retail anchors such as the former Macy’s, budget around $30 million and aim to completely redefine the center's attractions.

Transitions in the Retail Landscape

The shift away from traditional department stores like Macy’s highlights the changing dynamics of retail. As Kreshek remarked, “The role of traditional department stores in projects has changed dramatically over time.” This development opens opportunities for new anchors that can cater to the modern consumer's experience-driven demands. The expectation is to inject diversity into the types of businesses, creating an all-encompassing space that appeals to a wide audience.

The Role of Community Engagement

As the Grossmont Center undergoes this transformation, community engagement remains central to every decision. Kreshek and his team express a commitment to ensuring that local input shapes the center's future. This approach underscores Federal Realty's goal of turning the space into a local landmark where individuals feel a sense of ownership and pride.

Looking Ahead: What’s Next?

With the initial phases of redevelopment set in motion, the upcoming months promise exciting updates on new tenants and further design innovations. While specific details remain under wraps, the leadership's enthusiasm hints at a dynamic future for Grossmont Center that extends beyond mere retail to encompass lifestyle and community experiences. “We have something we’re working on for that space,” Kreshek hinted regarding the former Macy's site. The excitement surrounding this transformation marks a pivotal moment for La Mesa as it looks to strengthen its identity and community fabric.

As the excitement builds, it is essential for community members and prospective visitors to engage with Grossmont Center's transformation. You are invited to share your ideas, thoughts, and dreams for this evolving landmark; your input could help shape its identity for years to come.

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