Norfolk’s MacArthur Center to be demolished this year

Norfolk will close and demolish the MacArthur Center mall as part of a redevelopment plan for the site, the city announced Friday.

Norfolk purchased the 23-acre struggling mall for $18 million in 2023, including consulting and legal fees. The city on Friday said it is moving forward with plans to redevelop the site, which has operated as a mall since 1999, as part of a long-term strategy to strengthen the city’s economic growth. The city envisions a mixed-use development with market-rate residential units, a hotel, street-level retail and a network of neighborhood streets connected by open spaces.

To accommodate the redevelopment, MacArthur Center is scheduled to close by June 30. Demolition will occur toward the end of the year, with a multi-phase development to follow.

“The redevelopment of MacArthur Center represents a significant milestone in advancing a downtown that reflects Norfolk’s continued momentum,” Norfolk Mayor Kenneth Alexander said in a statement. “As this work progresses, the city remains steadfast in its commitment to cultivating a downtown that embodies the strength and creativity of our community while establishing the foundation for new jobs, new housing opportunities and renewed vitality in the heart of our city.”

During his state of the city address last year, Alexander announced that Hg80 Real Estate would be the master developer for the redevelopment. The previous year, the city hired the architectural consulting firm Gensler to conduct a study of the mall and determine what action the city should take regarding it. In 2024, Alexander said the MacArthur Center is expected to be replaced by a major mixed-use development, which could be called “The Anchorage,” featuring a 400-room, military-themed hotel and 518,000 square feet of high-rise residential space.

Norfolk Director of Economic Development Sean Washington said Friday that the specifics on the hotel room numbers and number of apartments are still being determined, but that the city expects to have finalized plans later this year.

Hg80 did not immediately return requests for comment.

Norfolk said it has developed a plan to assist current mall tenants, providing access to resources, including information about timelines, relocation assistance and connections to commercial real estate opportunities within Norfolk, small business resources and individualized guidance to help tenants understand their options.