West Dundee closes on purchase of Spring Hill Mall property

West Dundee is now the official owner of the recently shuttered Spring Hill Mall.

The village on Thursday completed its purchase of the 500,000-square-foot building for $7 million. Previously, West Dundee acquired the former Macy’s and Sears anchors at the mall for $1.1 million and $2 million, respectively.

The Kohl’s store at the mall remains open and was not part of the acquisition. While the Cinemark movie theater was part of the acquisition, it remains open.

The mall, which opened in 1980, officially closed to the public on March 22.

After the mall steadily declined in recent years, West Dundee officials looked to purchase it to spur redevelopment.

“The acquisition of the mall property is essential to the long-term reformatting of what will soon be the former Spring Hill Mall area,” Village President Chris Nelson said in a news release. “The complex nature of mall real estate all but requires the village’s involvement to make the property attractive for substantial reinvestment by the private sector.”

The mall, which straddles West Dundee and Carpentersville, will not reopen. Village officials anticipate demolition of the structure to begin this fall and take six months to complete.

West Dundee officials have said they envision the site becoming a mixed-use development with housing, retail, office space and entertainment. Any new development will not use the Spring Hill Mall name.

“We wish the city all the best,” said Mike Kohan, president of New York-based Kohan Retail Investment Group, which previously owned the mall.

Kohan said he believed the site could be redeveloped and that the village, as the owner of the mall, was in the best position to attract developers.

The village will erect fencing around the mall and its parking lots, though access to Kohl’s and Cinemark will remain available. West Dundee has selected a management company to maintain the mall until it is demolished.