NORFOLK, Va. (WAVY) — The City of Norfolk may have found a tenant to move into the former Nordstrom department store they own –and it’s the city itself.
In a proposal given the preliminary “OK” by the city council on Tuesday, city staff will begin exploring how it could convert the former three-floor 130,000 square foot space into a home for several of its city departments that currently lease space at private property.
While there were first hopes that another retailer would come in when Nordstrom closed after two decades as an anchor at MacArthur Center — retail real estate experts warned it would be a tough sell.
When COVID-19 put a serious strain on city budgets, Chief Deputy City Manager Wynter Benda said that’s when the city really started looking at the building as a way to save more than $700,000 in real estate leases.
The Nordstrom could house the IT, utilities, economic development and neighborhood development departments.
“It was very real for us to look at the 130,000 square feet,” Benda said.
Benda said retrofitting the space could cost $14.85 million. it could effectively house more than 300 employees.
This wouldn’t be the first time the city turned a mall department store into office space. For the better part of 4-years, the former Military Circle J.C. Penny has been home to Optima Health.
In that same spirt, the city will start asking contractors for their ideas, with a more formal proposal request coming early next year.
