Texas-based investors have purchased the vacant portion of Sandburg Mall, but say the future use of the former retail center is still to be determined.
Galesburg Investment LLC purchased the property at 1150 W. Carl Sandburg Drive from SMB LLC for $500,000. According to recent property sales obtained from the Knox County Assessment Office, the sale was finalized Wednesday.
Omar Kasani of Oak Advisors CPAs LLC of Houston, an investor in the company that bought the former Galesburg mall, tells WGIL they are working with a consultant to determine “a plan that’s appropriate for the site.”
Kasani said they will visit Galesburg in January to tour the property and the city, and meet with city officials.
“We’re thinking most of it will be demolished,” Kasani said. “We’ve talked about an apartment complex and a shopping center. A year from now we could be talking about something different, but it’s going to be good.
“We know the site has been a problem for the city for many years, so I’m sure everyone is going to be happy when we start moving on something there.”
The former Sears store, in addition to all of the interior wings of the mall, failed to sell via an auction in August. Starting bid for the 250,000 square foot property was $200,000.
“The (former Sears and center portion of the mall) has been a challenge and concern for our city and residents for some time,” said Steve Gugliotta, director of Community Development. “While it is way too early to determine the full scope of future plans for the site, the recent sale of the vacant property marks a potential step toward revitalization of the area.
“We look forward to working with the new owner to explore redevelopment opportunities. The city remains committed to fostering collaboration and supporting responsible redevelopment efforts that transform vacant spaces into vibrant, productive assets in the community.”
Sandburg Mall opened Oct. 1, 1975, with anchor stores Bergner’s, Sears and JC Penney, and dozens of store in the three wings of the impressive structure. Kmart later added an anchor wing. After 43 years, Sandburg effectively died on Aug. 26, 2018, when Bergner’s closed its doors for good, leaving just GNC in the mall. GNC later moved to Seminary Square and has since closed that location, as well.
Portions of the mall have been sub-divided, sold, and have been redeveloped by other businesses. In addition to the Lane Evans VA Clinic locating to Bergner’s, UHaul occupies the former Kmart building and Galesburg Warehouse Bargains is located in the former JC Penney building. Karmark Tire & Automotive has been in the automotive wing of the JC Penney building for 26 years. Karmark owner Mark Heartlein purchased the building four years ago.
