LONG BEACH >> Nike and Forever 21 will open stores at the Pike at Rainbow Harbor later this year as the center transitions to an outlet mall, officials said Wednesday.
Mayor Robert Garcia, Vice Mayor Suja Lowenthal and officials from DDR Corp., the Ohio-based company that operates the Pike, also announced a rebranding of the complex as “The Pike Outlets” during a press event at the seaside shopping center across from the Long Beach Convention Center.
According to DDR, the Nike location will be an outlet store and Forever 21 will be a “full-line” shop.
Construction crews have been busy at the Pike, which opened in 2003 but has struggled to draw and retain retailers.
Restoration Hardware opened an outlet location there almost two years ago, and fast-fashion clothing retailer H&M is on track to open a full store later this year.
Garcia said more companies are in negotiations to come to The Pike Outlets, which has already seen $65 million in private investment.
“You’re going to see, essentially, an all-new Pike,” said Garcia. “The best news is, of course, is that this is not the end.”
Lowenthal, the representative for the area, credited Restoration Hardware with being the first retailer to have the courage to move into what used to be a “ghost town.”
“I’m very delighted we’re at this point today,” Lowenthal said. “It has been a long time coming.”
One industry expert described the growing ubiquity of outlet malls as the changing face of retail with mall operators looking to compete with the Internet.
Ken K. Hira, who serves as a board member of the trade group International Council of Shopping Centers, explained that in the past, retailers would place outlets 100 miles apart to avoid competition with their regular stores.
“Those lines have blurred, and manufacturers and retailers get better market penetration by placing outlets even closer to urban cores,” said Hira, also a senior vice president at Kosmont Cos. in Los Angeles.
Consumers are looking for an experience — a large part of that is food — and value to draw them out of their homes.
The Pike will soon have both, Hira explained, setting it up to compete with other regional outlet malls, including The Citadel.
“If they do something cool with it and they offer the consumer that value, people are going to check it out,” Hira said.
Initial plans drawn up for what was then “The Outlets at The Pike” in 2013 showed Restoration Hardware as an anchor tenant, along with Nike, Converse and H&M. Other retailers included Tommy Hilfiger, Coach, Aeropostale and DKNY. The retailers on the list are subject to negotiations and could change, according to DDR.
Downtown Residential Council Vice President Eric Gray, a longtime resident, said Wednesday’s announcement continues what is looking like a sustained infusion of new businesses, with Crossfit Radius, Groundwork Fitness and others opening recently along nearby Pine Avenue.
“This is a feather in the cap for economic development in Long Beach,” Gray said.
Editor’s note: This article has been edited to correct the name of the outlet mall.
Contact Eric Bradley at 562-499-1254.
