FOR SALE: GLENDALE GALLERIA.

Byline: Brent Hopkins Staff Writer

GLENDALE - The owners of the Glendale Galleria have quietly put the landmark shopping mall up for sale, and real estate experts said Tuesday that it could bring in offers of as much as $460 million.

No asking price was disclosed, though the mall was assessed at nearly $232 million early this year, and real estate specialists speculated that the selling price would run about twice that.

After preparing the 1.5 million-square-foot mall for sale for months, the three owners have brought the property to market. Mall sales are relatively common: The Oaks in Thousand Oaks, with 1 million square feet, sold for about $150 million this summer, and Hollywood & Highland and Paseo Colorado are being shopped by Trizec Properties. But even in Los Angeles' clogged retail environment, the 26-year-old Glendale Galleria stands out sharply from its competitors.

``It owns the market ... and its environs,'' said Richard Giss, a partner with Deloitte & Touche's Los Angeles office. ``It's the largest, most comprehensive mall in this area.''

Stretching in an L-shape across two blocks, the massive mall has five anchor tenants that own their own land and buildings - and thus are not included in the sale - plus 250 additional shops.

The Galleria caters to discount shoppers, with its Mervyn's and J.C. Penney stores, and to high-end consumers with its Nordstrom and specialty shops. Unlike its competitors, the Galleria also specifically targets the teen market with a highly successful, 15,000-square-foot conglomeration of youth-oriented stores, The Zone.

``What makes the Galleria so successful is we cater to people of all lifestyle descriptions,'' said Annette Bethers, the mall's senior director of marketing. ``We go from low-end-price stores to upper-end fashion. That's what keeps it going strong even in hard economic times.''

Last year, the mall drew 26 million visitors, up 8 percent from 2000. And despite a tight retail market, Bethers said, sales were also up 8 percent from the previous year.

The Galleria's three owners - health-care firm Cigna, the New York State Teachers' Retirement System and private investment firm JSG, LLC - decided to sell for reasons unrelated to the mall's performance.

``It's one of the top shopping centers in the country,'' Bethers said. ``The ownership felt it was a good time. This is a peak selling time, and that was definitely the decision-maker.''

Giss predicted little change for shoppers under different ownership.

``I don't think people care who holds the title to a place,'' he said. ``You hope whoever buys it has intention to keep it up and continues to make additions to it.''

The center was remodeled in 1995, and The Zone came two years ago.

Jeanne Armstrong, Glendale's director of development, said she had received informal calls from several developers inquiring about the Galleria, but no formal bids have been announced as of yet.

Spokesmen from General Growth Properties, Macerich and Westfield America - all local mall owners - declined comment.

Costa Mesa-based Donahue Schriber, the company that developed the mall in 1976, has remained associated with it ever since. Through its partnership with JSG, it still manages the property.

``It wasn't a surprise,'' Armstrong said about the sale plans, ``because lots of investors and the original developers sell an asset after a period of time.

``What's really surprising is that the original developer has kept it for so long. They've been very active. They're part of the Chamber of Commerce, and they've been a very good citizen for Glendale. Over that time, we've really enjoyed working with them.''

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Glendale Galleria