500,000 s/f WTC retail proposal.

City officials have announced an ambitious plan to develop 500,000 s/f of retail space that could help the World Trade Center reclaim its position as the nation's shopping mecca.

"Before 9/11, retail in the World Trade Center was probably achieving more money per square foot in sales than any other retail complex in the country," said Ben Fox, executive vice president of Newmark Retail, LLC. "If [the new site is] designed correctly, with a multiple means of access, it can ultimately pick up where things left off."

The new plan calls for nearly 200,000 s/f of retail space in the Santiago Calatrava transportation hub and the pedestrian concourses that lead to the station. An additional 300,000 s/f is being planned along Church Street. No retail is to be built on the memorial site.

"We hope to have a better idea and a better plan for what that real estate will look like in the next month or two," said Steve Coleman, spokesman for the Port Authority of New York and New Jersey.

If the plans get the green light from the PA NY/NJ Board within the next few months, construction could begin in 2007, with stores opening in the hub concourses by 2010 and the Church Street retail corridor following soon after.

Prior to 9/11, Westfield America held the retail lease at the trade center, which the Port Authority bought back in 2003. Reportedly, the space will be developed and marketed by the Port Authority with the help of Jones Lang LaSalle and Tishman Speyer.

Coleman said it was too early to set possible rents on the spaces or to announce any potential incentives that may be offered to attract the type of retailers the Port Authority hopes to bring to the space.

"We're just trying to firm up the retail space, where exactly it's going to be located and the look of that space. Then we'll be looking to finalize the specific type of retail we want as we move along," said Coleman. "It's a prime space, I'm sure a lot of retailers will be interested."

When the World Trade Center was first built, the retail space featured mainly low to moderately priced tenants.

By the time of the 9/11 attacks, the retail space encompassed 425,000 s/f and consisted of 75 higher end, specialty shops, including Borders, J. Crew, Coach and Sephora.

"If you look at the history, when it first opened in the '80s, it had a real cross section of uses. As it gained momentum, it attracted higher end retailers," said Alan Victor, executive vice president at Lansco Corporation.

"I have to assume the pattern it's probably going to follow now is a really good cross section of uses. That's what you have to do. You have to service all the markets and customers to be successful."

According to Cliff Molloy, senior managing director at GVA Williams Retail Group, a "full spectrum of retailers" should be expected, though he doubts that any luxury retailers will be seen in the area.

"Initially, the general downtown market space, with the building of condominiums and apartments, will feature service oriented retailers following the population demographic," Molloy said. "As that increases, and office space increases, the retailers will follow in.

"It will ignite a tremendous amount of excitement downtown."

However, there is the question of whether or not the retail plan, much like the plan for the Freedom Center, will face any opposition from family members of 9/11 victims.

"We've heard from the business community and people living in area. They're trying to get us to move in quicker, with the retail being an important part of living and working downtown," Coleman said. "So far, there's been no opposition from family groups."

"Everything in New York has some opposition from some group," Molloy said. "There will probably be some adjustments made, but there's certainly need for the retail space to complement the office space. I think it's very exciting."