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A rendering of the proposed redevelopment to the Provo Towne Centre is pictured.

Courtesy Provo City

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A rendering of the proposed redevelopment to the Provo Towne Centre is pictured.

Courtesy Provo City

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The Provo Towne Centre redevelopment proposal will go before the Provo City Council once again in a work session Tuesday, with developers still seeking project approvals to move the plan forward. 

Brixton Capital, the California-based real estate investment company that owns the mall, told the Daily Herald in an email it hopes the work session will resolve outstanding issues to bring the item nearer to a final vote.

“The Planning Commission voted unanimously to recommend the General Plan Amendment and ITOD rezoning to the Council earlier this year, and we believe the project is well-positioned for approval,” Brixton Capital said. “Our goal remains to complete the approval process and move toward project planning as quickly as we responsibly can.”

Provo Towne Centre ownership is pursuing an extensive facelift to a mall that has seen declining foot traffic and financial returns. An open house was held at the mall last Thursday night, where developers displayed the latest updates to the plans. 

According to Utah County Assessor data provided at the open house, the taxable value of the mall parcel in 2017 was north of $25 million, and has since plummeted to less than $10 million. The mall reported that the majority of its tenants have temporary leases. 

The proposal would transform the existing mall into a multiuse development with 1,300 apartment homes and approximately 80 for-purchase townhomes. Three anchor tenants would remain, Target, J.C. Penney and Cinemark, and the mall would be turned into an indoor-outdoor walkable space with businesses, restaurants and residences. The project is in partnership with Provo-based PEG Companies.

“We believe this project addresses some of Provo’s most pressing community needs: housing affordability, housing availability, neighborhood investment in south Provo and the creation of amenities that serve residents of every background,” ownership said. “(Thursday’s) open house reinforced that belief. We had more than 100 community members join us, and the conversations we had were genuinely encouraging. People are excited about what this site can become and the vision we’ve put forward.”

A handful of issues stand between mall ownership and city approvals, though. A glaring one is the fate of residents of Shady Acres Mobile Home Park. While many residents own the mobile homes they reside in, Brixton Capital owns the land on which the park sits and is proposing to build townhomes on the property. Brixton Capital said it will provide residents with at least 18 months of notice before requiring relocation and will work with each individual household on the process.

In a March 24 City Council work session, Councilman Jeff Whitlock asked if the developer was willing to make a more “substantial commitment” to assist in the relocation process. 

“I think these are some of the most vulnerable members in our community,” Whitlock said. “I want to find a way to make this happen, but I think each of us have our red lines and this to me is a red line.”

In the same meeting, City Administrator Scott Henderson said Mayor Marsha Judkins proposed that the developer provide a $10,000 relocation allowance for the mobile home residents. 

Asked if any accommodations will be provided, ownership told the Daily Herald that any specific provisions regarding a transition plan as part of the development agreement are not yet finalized. 

“What we can say is that our intention is to handle this transition with humanity and respect, and we look forward to being able to share the full details of our commitments to current residents at the appropriate time,” Brixton Capital said. 

An additional concern brought up in the meeting was the 1,300 rental apartments compared to just 80-plus owner-occupied townhomes proposed. 

“What we don’t need in this part of Provo is a bunch more apartments,” Councilman Craig Christensen said. “What we need is homeownership.” 

According to Tuesday’s work session agenda packet, city staff supports redevelopment but has identified issues regarding pedestrian connectivity and infrastructure impacts, among other concerns. 

Brixton Capital said that at Tuesday’s work session, it anticipates discussion of a revised concept plan and working through the council’s concerns. 

The developer has already made adjustments to the concept plan following suggestions from the Planning Commission, which raised concerns that the plan was too auto-oriented. A rendering shown at Thursday’s open house of the center area of the project showed a single-lane roundabout with a drop-off lane, bike lanes and green space in the rotunda.  

Brixton Capital said updated plans also provides more pedestrian connectivity, additional park space and a more developed community plaza. 

“We remain in active dialogue with city staff and the Council on additional refinements, and we expect that dialogue to continue productively,” ownership said. 

Also in the proposed development agreement is an agreement that specifies the city would establish a Housing and Transit Reinvestment Zone, or HTRZ, to facilitate tax increment financing for eligible project costs, meaning a portion of the new tax revenue generated by the development would be used to pay certain project costs. In turn, the developer would have to ensure that 12% of all residential units are designated for affordable housing.