Hertz to Bring Gift Vendors to Cal Mart
The California Mart, long a power base for the apparel industry, is now poised to become a merchandise powerhouse for the gift industry also, as building owner Hertz Investment Corp. has inked a long-term lease with the owner of the California Gift Show to bring more than one million square feet of gift and home-furnishings space to the mart over the coming months.
As reported in the July 20 issue of California Apparel News, a partnership consisting of the Dallas Market Center, which operates the International Apparel Mart in Dallas, George Little Management LLC and DMG World Media, was seeking a permanent home for the gift, fashion-accessory and home-furnishings vendors that comprise the California Gift Show, held semi-annually at the Los Angeles Convention Center. The group initially sought a ground-up development, but “Speed became a top priority,” said Michael Franks, chief operating officer of DMG, the gift-show owner. “We determined that a purpose-built mart already existed that could be redeveloped to suit our needs and would be ready far more quickly than [a] building [built] from scratch.”
Plans are to begin pre-leasing immediately and to begin renovation this fall, according to Bill Winsor, president and chief executive officer of Dallas Market Center. Winsor added that the redesign will be complete in time for the California Gift Show in July 2002.
“We’re thrilled with the arrangement,” said Kit Marchel, executive vice president of marketing and new business development for the Cal Mart. “The addition of gift and home accessories provides a natural synergy for the entire complex and will further enhance the offering to retailers.”
A compression plan is in the works to remerchandise existing Cal Mart tenants, according to building executives, who noted that some tenants will be relocated to provide contiguous space for the gift-show tenants. Executives said that as a result of the agreement, the building will be at maximum occupancy.
The resulting deal should make the Cal Mart one of the biggest trade centers in the West, as the gift vendors are part of a market that brings more than 2,000 exhibits and 33,000 visitors to the gift show twice a year. The Cal Mart currently houses 1,200 permanent showrooms and offices relating to the apparel industry. —Robert McAllister
