Macy's has just sold its huge store at Southwest Plaza, Littleton, Colorado. The two-story, 148,540 sq. ft. (138,000 m²) building changed owners for just $3.5 million. This is a surprisingly low figure considering the history of this location.
This closure is more relevant than the cancellation of the Thanksgiving Parade in New York. It reflects a larger phenomenon: American malls are changing rapidly.
What Does an Anchor Store Mean?
In malls, an "anchor store" is the main attraction. These are usually large, multi-story department stores. Their presence ensures that shoppers come to the mall, and small businesses depend on this influx and pay more to be nearby.
When an anchor store disappears, the entire mall loses appeal. Southwest Plaza is already feeling this effect. Macy's departure is a direct blow to its commercial ecosystem.
Macy's Major Rethink
The chain is implementing its "Bold New Chapter" plan. This involves closing 150 underperforming stores and strengthening 350 stronger locations.
The Littleton store was one of the first to be transformed. At the end of 2020, it stopped selling products and became an online order pickup center. By early 2025, it was already completely closed, and the sale price dropped from $7.2 million to whatever the market would accept.
Southwest Plaza: From Flagship to Empty Box
Opened in 1983, Southwest Plaza had six anchor stores. Today, only four remain, along with a Macy's logistics center and an abandoned Sears.
When the property was put up for sale, agents called it a "great remodeling opportunity." This meant dismantling the large store or dividing it into smaller spaces. Modern department stores rarely fit today's needs.
Rhino Investments: The New Owner
The only offer came from Rhino Investments, Nevada. Its director, Michael Sanchez, explains that the company transforms large spaces into multiple smaller premises.
For Southwest Plaza, they've already hired an "experiential" operator, which could be a restaurant with games like Dave & Buster's. The ground floor could house medical clinics, gyms, or similar spaces. The idea is to make use of the space without mourning the era of department stores.
Looking to the Future
Owners note that people seek experiences they can't find online: bowling alleys, escape rooms, or pickleball. These concepts work well in large spaces, like those of Macy's.
Other Macy's stores are also on the move. For example, in Northfield, Denver, a former location will be remodeled by Wayfair. Many of these large buildings will become stores, clinics, or even apartments, depending on local demand.
Southwest Plaza's success will depend on whether Rhino manages to attract visitors again. Macy's disappearance could change the mall's future over the next five years.