Hoover’s newly elected mayor, Nick Derzis, will take office on November 3, 2025. In the weeks leading up to his swearing-in, he has focused on some of the city’s most pressing challenges.

Chief among them is the future of Riverchase Galleria and nearby Patton Creek, two retail centers he views as essential to Hoover’s long-term growth.

A recent 147-page study by Chicago-based Hunden Partners, commissioned earlier this year under the Brocato administration, examined the future of a portion of the Riverchase Galleria property.

The report highlighted steep declines in visitation and tax revenues and recommended a two-phase redevelopment plan to reposition the Galleria as a mixed-use destination.

According to the study, visitation dropped from 6.3 million in 2019 to 4.2 million in 2024 — a 33% decline. Sales tax revenue also fell from $9.2 million in 2007 to $5.4 million in 2024, a 41% decrease (61% when adjusted for inflation).

Altogether, Hoover lost more than $75 million in potential tax revenue over that period.

The report emphasized that across America, malls are being redeveloped into walkable, mixed-use districts with residential, entertainment, and civic uses. The proposed redevelopment calls for major changes in two stages.

Phase I would involve demolishing the former Sears box and constructing 282 apartments, 28,000 square feet of retail space, a 1,100-seat Center for the Arts, and 25,000 square feet of public greenspace.

Phase II would remove the Macy’s box and adjoining corridor to make way for 260 apartments, 16,000 square feet of retail space, and 19,000 square feet of greenspace.

Hunden’s analysis projects that, over ten years, the redevelopment could generate $396 million in net new spending, $74 million in new earnings, 156 full-time equivalent jobs, and $9.2 million in new city taxes.

Mayor-Elect Derzis acknowledged the study’s value but raised concerns about its limitations. “I want to thank Hunden Partners for their work on this study and for briefing me and my transition team on their market feasibility and redevelopment strategy,” Derzis said.

“While their report included insights and analysis that will help inform our next steps, there is much more work required before determining if it will be advanced as recommended.”

Derzis said the report’s scope was too narrow.

“I was disappointed by the limited scope of the study,” the incoming mayor said.

“It did not include meaningful engagement with other property owners. It made no specific recommendations or assumptions for broader redevelopment. It also omitted case studies on how the City might act as a catalyst for investment and completely excluded Patton Creek. Most concerning of all, the public was not given a voice in this process.”

He emphasized that his administration will prioritize inclusivity and broader engagement.

“During this transition period, my team and I have held numerous productive meetings with various property owners,” Derzis said.

“We have been encouraged by the positive reception and the shared recognition that bold action is needed. Redeveloping Riverchase Galleria and Patton Creek will not be easy. There are multiple ownership interests and significant financial challenges involved. But failure is not an option for Hoover’s future.”

Derzis pointed to the financial urgency, noting that according to the Hunden study, Hoover has already lost over $75 million in potential revenue due to delayed action and could lose another $9 million each year the Galleria remains unrevitalized.

Looking ahead, Derzis pledged to make redevelopment the cornerstone of his administration.

“The revitalization of Riverchase Galleria and Patton Creek is the top economic development priority of my administration,” said Derzis. “I am committed to working tirelessly to bring all relevant stakeholders, including our residents, into a transparent process. Together, we will develop and execute a solution that delivers results, makes Hoover residents proud, and reestablishes our city as Alabama’s premier retail destination.”

Sherri Blevins is a staff writer for Yellowhammer News. You may contact her at [email protected].