Livingston Mall Update: Ownership Boondoggle Is Making Progress Tricky

LIVINGSTON, NJ — When a mall goes to pieces, it can be a challenging puzzle to put back together.

Livingston residents got an update about the ongoing saga of the Livingston Mall during this week’s town council meeting (watch the video below, cued to the discussion).

Recently, mall visitors have reported that things have gotten even bleaker at the once-bustling shopping center. “At this point, Livingston Mall is inevitably going to close,” one commenter speculated three months ago, posting photos on Reddit of a largely empty mall. “It’s past the point of no return,” they added.

The decline of the mall has become a persistent source of discussion in the township, where many residents have been wondering about future plans for the shopping center.

Responding to a question from a resident during public comment on Tuesday, Livingston Township Manager Barry Lewis provided an update on the mall, which is located at 112 Eisenhower Parkway.

The short answer? The property is privately owned by multiple stakeholders, and the town doesn’t currently have the ability to force its owners to do anything with it.

But that doesn’t mean other options aren’t on the table, he added.

Part of the challenge is the fractured ownership of the property, Lewis said. In the past, the entire mall was owned by Simon, the largest such company in the country. Simon eventually sold its interest to Kohan Retail Investment Group, which also owns several other malls throughout the U.S.

It hasn’t been working out great for Livingston, the town manager reported.

“I will say this – and I'm happy to say it publicly – that the new owner has been incredibly disappointing … unresponsive … not participating in trying to revitalize the mall … not maintaining the mall … code enforcement has their hands full with them,” Lewis charged.

Complicating the matter, Sears previously exercised an option within their lease that gave the company control over part of the mall property. When Sears declared bankruptcy, another company – Transformco – purchased its assets, including its interest at the Livingston Mall.

“Within the remaining property, Macy's also has an option that they've indicated they're going to exercise to peel off about 10 acres at the south including their building,” Lewis continued, adding that the parent company of the old Lord & Taylor has roughly 50 years remaining on a ground lease on their piece.

“So it's been quite a challenge to try and get all the stakeholders involved,” he said.

Repeating a phrase that he used at a previous discussion about the mall, Lewis said town administrators are trying to form a “vision” of what could potentially happen at the property, especially if it ends up being designated as an “area in need of redevelopment” – which could potentially clear the way for an eminent domain sale, or even “condemnation.”

The township has authorized a study to probe that possibility, he said.

There have been some good signs that things can turn around – Macy’s has been a “much more willing partner” when it comes to creating a new vision for the mall, Lewis shared.

“But right now, it's just been an unbelievable challenge,” he said, adding that the town’s zoning code only allows a certain number of uses at the property.

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