While no formal cleanup or demolition plans have been submitted to the city at this time, the current owners of a large, unused, and dilapidated portion of Galesburg’s Sandburg Mall have taken some initial steps to address the future of the property.
“The city has had initial conversations with representatives of Galesburg Investment LLC,” Steve Gugliotta, the city’s director of community development, told TSPR. “They have hired an engineering firm to evaluate potential redevelopment options and that firm and subconsultants have been on site.”
Texas-based investors formed Galesburg Investment LLC last fall, then purchased the interior wings, center court, and former Sears store in the mall for $500,000 in December. They made the purchase after that portion of the mall failed to get a minimum bid at auction earlier last year.
“The city has expressed to the owners our willingness to coordinate and support efforts that improve conditions on the site,” Gugliotta said.
The mall was previously subdivided into parcels, including the former JCPenney, Kmart, and Bergner’s anchor stores, that were sold in 2019.
The once-thriving regional mall would have turned 50 this fall. When it opened on Oct. 1, 1975, at Henderson Street and U.S. Highway 34, there were three anchor stores – JCPenney, Sears, and Bergner’s – and dozens of smaller storefronts in the wings. A movie theater was added in 1982, followed by the Kmart wing in 1992.
While the mall saw high occupancy rates in the 1980s and 1990s, a number of factors drove its decline, including the rise of online shopping, the 2008 recession, new retail developments, and declining local population. Its death spiral was also punctuated by a succession of owners, delinquent taxes, and foreclosure. The last two retail stores – GNC and Bergner’s – left in 2018.
For years, urban explorer — or Urbex — YouTubers and bloggers have entered the unused portion of the mall to document its deteriorating condition. Their videos and photographs show grim scenes — shattered glass, widespread mold, spray-painted graffiti, damaged and missing ceiling tiles, carpets squishy with water, and the decaying remains of the old movie theater.
But unlike other “dead malls” across the country, there’s life around the perimeter of Sandburg Mall.
The other parcels subdivided in 2019, which have been maintained and improved by individual owners, are all in use. Karmark Tire & Automotive has operated in the former JCPenney automotive center for decades. In 2019, Galesburg Warehouse Bargains – a discount home improvement store – opened in the former JCPenney retail space.
In addition, U-Haul occupies the former Kmart store, and last year, the Department of Veterans Affairs opened its Lane A. Evans Community-Based Outpatient Clinic in the former Bergner’s following a multi-million dollar renovation.
Gugliotta said the unused portion of the mall property is secured to the standards required for vacant commercial space, and the city’s code enforcement staff continues to monitor it. He said the city is not aware of any safety risks to the businesses and services located in the subdivided parcels due to the condition of the unused portion of the mall.
“That said, we are monitoring the property, and if issues arise, the city will work through the process to address them,” he said.
Talks of demolishing the center court and wings of the mall, while leaving the anchor stores intact, dates back multiple owners to at least 2016. Whether that happens under the current ownership or not, redevelopment remains a possibility.
“Nationally, mall sites have been redeveloped into mixed-use projects that may include new retail, residential, medical, educational, or recreational facilities. The scale and location of this property give it strong potential, but there are challenges,” Gugliotta said. “These include the costs associated with demolition or reuse of large commercial structures, environmental assessments that may be needed, and aligning redevelopment plans with market demand.”
Earlier this year, the city of Galesburg was awarded more than $1.2 million in grants through the EPA Office of Brownfields and Land Revitalization. Of that, $714,000 is a cleanup grant to support environmental remediation at the former Knox Laundry site, 57 N. Kellogg St.
The funding also includes a $500,000 brownfield assessment grant to evaluate and plan for the safe reuse of properties with suspected contamination. Two downtown sites have been identified for initial assessment. They are the former Broadview Hotel, 29 Public Square, which was demolished by court order in 2023, and the former Tucker’s Printing Company on North Cherry Street, which has twice been damaged by fire.
While those properties and the downtown area is the main target area for these funds, Gugliotta said the brownfield assessment grant is flexible in scope. He said it could be used in other strategic locations across the city where redevelopment opportunities exist, including the Sandburg Mall property.
“Whether the mall site is included will depend on the property owner’s interest and eligibility under EPA guidelines,” he said.
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