TR File Photo — Dallas-based investment firm Reserve Development is in the process of purchasing Marshalltown Mall. If the sale goes ahead, it would be acquired from Marshalltown Development Group, the holding company for New York-based Kohan Retail Investment Group.
Some changes may be coming to Marshalltown Mall.
Marshalltown City Administrator Carol Webb said a new venture, a Dallas-based investment firm called Reserve Development, is conducting due diligence to move forward with purchasing the property.
“The potential buyer visited the mall several times and toured the mall,” she said. “They have been talking with the city about potential incentives.”
Mr. Webb said the incentives that corporate officials appear to be looking for are taxes, such as tax rebates. Other than possible incentives, the city likely won’t play much of a role in this situation.
She added that Reserve Development is working with the remaining mall tenants.
“They are interested in working with tenants to stay in the main mall and outlets,” Webb said. “They’re trying their best to negotiate it.”
Marshalltown Mall’s remaining tenants include Planet Fitness, Marshalltown Driver License Station, Hobby Lobby, Shoe Sensation, Plaza 9 Theaters and Mama DiGrado’s.
Some of Marshalltown Mall’s former tenants have closed, including JC Penney, The Thrifty Bazaar, Yonkers and Bath & Body Works. Previous tenants, including Oliver Bean, Game Haven, Black Iron Barbell and Remix Dance Academy, were forced to relocate in November 2023 after a power outage made them inaccessible from the outside. The owner, Marshalltown Development Group, failed to pay the electricity bill, causing power outages in key areas including hallways, restrooms and the parking lot. The lights have not been turned on again since then.
Marshalltown Development Group is the holding company for New York-based Cohan Retail Investment Group, owned by Mike Cohan. With power not restored, the owners faced numerous city code violations, including:
• Equipment is not maintained to ensure crew safety.
• Failure to comply with orders and notices.
• Fire protection and life safety systems are not installed, repaired, operated, tested, and maintained as required by city code or the International Building Code.
• Fire detection, alarm, and fire suppression systems were not kept in working order at all times.
• All areas of the building containing water-filled piping without other antifreeze measures were not maintained at a minimum temperature of 40 degrees.
• A means of egress serving the room or space was not illuminated while the room or space was occupied.
• In buildings where access to two or more exits or exits is required in the event of a power failure, emergency electrical systems are used for interior exit access stairs and ramps, exit walkways, vestibules, and exits and exterior landings. automatically illuminated areas. An exit doorway that leads directly to an exit exit.
Marshalltown Development Group was found guilty of code violations in a July trial. However, a continuance was denied and a new trial was ordered.
Webb said the potential new owner met with the Marshalltown Fire Marshal to discuss the ordinance. He added that Reserve Development has been successful in revitalizing commercial properties such as Woodside Village in Coppell, Texas.
“I think it’s going to be great,” Webb said. “Having local retail opportunities is a huge benefit for residents.”
——
Contact Lana Bloodstream
641-753-6611 extension 210 or
lbradstream@timesrepublican.com.
A Montour man has been charged with a felony count of first-degree robbery after he allegedly demanded money at gunpoint.
