Apple agrees to big flagship store at San Jose’s Westfield Valley Fair mall

SAN JOSE — Apple is planning to open a flagship store in the expanded section of the vast Westfield Valley Fair shopping center in San Jose that’s under construction, according to a public disclosure by the principal owner of the iconic mall.

Over 150 new shops are being planned for the extension of Valley Fair, according to a post by mall owner, operator, and developer Unibail-Rodamco-Westfield.

One of the recent notable leases in the group of 150 new stores is with Apple, according to a public filing by the Paris-based commercial real estate firm.

“Unibail-Rodamco-Westfield signed a new two-level flagship Apple store in Westfield Valley Fair,” according to the real estate company’s filing. “The indoor/outdoor location will feature a spectacular facade facing the new outdoor dining precinct.”

The description of the location of the new Apple store suggests the tech titan’s retail outlet will be perched next to what’s expected to be a dramatic new dining section for the mall expansion area. The filing was released in connection with the 2018 financial results for the mall owner and operator.

“Our stylish new outdoor dining district, featuring award-winning chefs, will develop into a one-of-a-kind destination that houses intimate seating areas, alfresco patios, canopy trees, and fountains with fire elements,” Unibail-Rodamco-Westfield said in a post on the development page for Westfield Valley Fair.

The mall owner also indicated that the Apple store is a crucial component of the expansion zone.

“Construction continued to progress well on the extension,” Unibail-Rodamco-Westfield said of the mall project. “The renovation of the existing center was completed in October 2018 and the ShowPlace ICON Theatre opened on January 18, 2019. Apple will open a new store that will anchor the extension.”

Cupertino-based Apple already operates a store in Valley Fair mall, but it wasn’t immediately clear whether the smaller store would remain open once the new, larger store is open. Apple said it hasn’t made any official announcement about this store.

The new Apple flagship store, though, is likely to provide a major boost for both Valley Fair and the nearby commercial areas, according to David Taxin, a principal executive with Meacham Oppenheimer, a commercial real estate firm that specializes in the retail market.

“Apple is synonymous with tech, and this flagship store will have the latest, and greatest, and newest technologies,” Taxin said. “It’s going to be a really cool store.”

At present, Apple’s flagship stores in the Bay Area are located in San Francisco’s famed Union Square retail district, Palo Alto and Walnut Creek’s Broadway Plaza center.

Among the features in the San Francisco Apple flagship store: “The Avenue,” which features changing window displays; “Genius Grove,” an area that invites customers to work side-by-side with Apple geniuses under a canopy of trees; “The Forum,” a gathering place that features a video wall and is the home of “Today at Apple,” “The Plaza,” which is open to the public 24 hours a day, features public Wi-Fi and seating, and offers weekend performances by local artists; and “The Boardroom,” a space where the store’s business team offers hands-on training and advice for entrepreneurs, developers, and other small- and medium-sized business customers.

The increasingly busy downtown San Jose area, as well as the prospect for additional development in the city’s “midtown” district between the shopping malls and the downtown, may also have been a draw for Apple and a flagship store.

“Apple knows what’s happening in the area and in downtown San Jose,” Taxin said. “This is going to be good for Valley Fair and the whole area. I’m sure the design of the store will be amazing.”

In the filing by the mall owner, Unibail-Rodamco-Westfield stated that Valley Fair sales continue to march higher even with the disruption caused by the wide-ranging construction and renovation activity at the mall.

“Despite being under construction, the center continues to perform well with strong sales growth in 2018,” Unibail-Rodamco-Westfield said, adding that sales rose 4 percent last year at Valley Fair.

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