CLEVELAND — Cleveland Heights Mayor Kahlil Seren announced Thursday that a New York-based development company has signed an agreement with the owner of Severance Town Center to take over development rights over the site.
The master developer agreement between Long Island's MPACT Collective and Severance owner Namdar Realty Group will allow the two companies to collaborate on a plan to redevelop Ohio's first enclosed shopping mall.
Seren, in a letter emailed to Cleveland Heights residents, called the pact the "first significant step towards redeveloping Severance in almost a decade" and a "huge opportunity" for the city.
"Severance Town Center ... remains Cleveland Heights’ greatest development opportunity—and challenge. It’s a unique asset for our city. Few built-out communities like ours have the chance to reimagine and revitalize forty contiguous acres of underutilized property in the heart of their cities," Seren wrote. "Taking advantage of Severance’s potential, however, hasn’t been easy. Despite the City’s best efforts, the cost, risk, and complexity of redeveloping Severance have deterred potential investors."
Seren said before Namdar and MPACT's collaboration, the main hopes for Severance's future rested on the Dave's Market and Home Depot locations in the struggling mall, as well as a multi-million-dollar behavioral health clinic from MetroHealth.
MPACT Collective focuses on "high-challenge, large-scale" properties, Seren said. It has redeveloped mixed-use districts via public-private partnerships with New York municipalities New Rochelle, Southampton and Huntington.
“As the Master Developer on a project, we create a well-structured, predictable development environment that mitigates potential problems," MPACT Collective Managing Director Ryan Porter said in a press release. "Our approach makes the project attractive to investors and potential development partners that might otherwise be reluctant to engage. And we organize a conversation with stakeholders and the community that lasts the life of the project. It builds trust and keeps us on track toward the shared vision for the property.
“We’re looking forward to starting this conversation in Cleveland Heights,” Porter added. “With enough will and creativity of the community and City, we can make amazing things happen at Severance.”
