A major redevelopment project is about to begin at the Indian River Mall in Vero Beach, Florida, as developers prepare to demolish portions of the aging shopping center and rebuild it into a modern retail destination.
Demolition of the mall’s east section — including the former Macy’s and Sears anchor stores — is expected to begin in the coming weeks as part of a broader plan to revitalize the long-struggling retail complex.
When the redevelopment is complete, developers envision a family-oriented shopping destination featuring retail stores, restaurants and entertainment options.
"We have a lot of exciting things going on with the mall," said Joseph Scarfone, owner/broker for One Investment Group of Pompano Beach, who is working with mall owner DTS Properties II on the project. "I think a lot of people are going to be happy."
The redevelopment plan focuses first on clearing out large sections of the mall that have remained vacant after major department stores closed in recent years.
Demolition of the former Macy’s and Sears buildings and other parts of the east side of the mall is expected to begin within the next two weeks, according to Scarfone.
Once demolition is complete, developers plan to launch the first phase of construction, which will include approximately 250,000 square feet of new outdoor retail space spread across five buildings, along with a drive-through restaurant.
Negotiations are already underway with a number of national retailers interested in occupying the new spaces.
One confirmed tenant is Sprouts Farmers Market, which developers say will be part of the redevelopment’s first phase.
Like many shopping malls across the United States, Indian River Mall has faced declining foot traffic and increasing vacancies as consumer shopping habits shift toward e-commerce and open-air retail centers.
"A lot of these (malls) are not surviving," Scarfone said. "We're trying to revive the whole area. We want to bring it back."
The redevelopment aims to reposition the property as a modern retail hub that combines traditional shopping with dining and entertainment experiences.
As redevelopment preparations began, businesses located in the east section of the mall were required to vacate their spaces.
Rita's Italian Ice, which operated in the mall’s food court area, closed its location on March 1 after receiving notice from the mall management.
The closure occurred because the mall needed space to create access to restrooms during the redevelopment process, according to co-owner Jay Kramer.
"It went right through our space," Kramer said.
The business received about a month’s notice to relocate.
"We knew it was coming," Kramer said.
The company has since placed store equipment and supplies into storage while it searches for another location in the area.
The property changed hands relatively recently when DTS Properties purchased the mall in May 2024 for $14.8 million, according to local property records.
The purchase came after years of declining property values. In 2023, the mall’s assessed value dropped to about $14.86 million, its lowest recorded value.
The shopping center originally opened in 1996, developed by Edward J. DeBartolo Corp., one of the major mall developers of the era.
At the time, the mall was anchored by four major department stores:
Over the past decade, however, national retail closures significantly changed the mall’s landscape. Sears closed its store in 2019 after 23 years, followed by Macy's in 2020 after operating there for 24 years.
Currently, only JCPenney and Dillard’s remain as anchor tenants.
Developers expect construction and redevelopment to continue through several phases, with completion projected sometime in late 2027.
While Scarfone declined to disclose the full cost of the project, he confirmed that plans include both exterior redevelopment and eventual interior upgrades.
"We're trying to fast-track it as fast as possible," he said. "It takes time. Everything takes time."
Once finished, the project is expected to transform the aging property into a modern shopping and entertainment center, potentially restoring economic activity to the surrounding area.
Originally reported by Colleen Wixon, Treasure Coast Newspapers in TC Palm.
