Ethan Conrad Properties unveils fresh vision for Sunrise Mall in Citrus Heights.
As e-commerce continues to rise and online shopping becomes more convenient than ever, it's no surprise that consumer preferences have shifted—resulting in declining foot traffic at traditional malls.
Sunrise Mall in Citrus Heights is a prime example of this trend.
Once a bustling retail destination featuring major department stores and thriving businesses, Sunrise Mall now stands at roughly 50% vacancy, with its occupancy rate expected to drop to around 20% following Macy's announcement to close its two stores at the location.
At its peak, the mall housed 100 shops anchored by four department stores and employed 2,500 people. Today, that vibrance is long gone. The once lively corridors now echo with the footsteps of retirees getting their steps in, passing darkened storefronts behind metal gates and a food court that is completely abandoned—no customers, no vendors, just vacant tables and silence.
Many in the community are wondering what the future holds for Sunrise Mall. Will it slowly fade into a distant memory, joining the growing list of zombie malls across the country? Or can it be reimagined into something new—a place that once again becomes the heartbeat of Citrus Heights?
Sunrise Mall Video:
In 2021, the city of Citrus Heights outlined its vision for the nearly 100-acre mall site and adopted a plan that set forth a bold blueprint for transformation.
The plan, known as the Sunrise Tomorrow Specific Plan, proposes replacing the aging existing building with a mixed-use urban village consisting of retail, office, residential, and entertainment spaces featuring a central main street and public gathering spaces. The plan calls for up to 2,200 residential units, 480 hotel rooms, 960,000 square feet of commercial space, and 320,000 square feet of retail space.
Although the city's proposal provides a compelling vision for what Sunrise Mall could become, the reality is that the future of the site ultimately rests in the hands of its private property owners. Without their willingness to invest and move the project forward, the Sunrise Tomorrow plan remains just that—a plan.
Recognizing this, Ethan Conrad Properties, a prominent commercial real estate firm in the region, has stepped forward with an amended vision, called the Sunrise Tomorrow Evolution, which provides a more immediate and realistic approach to revitalization.
Ethan Conrad Properties has been actively increasing its stake in Sunrise Mall. In November 2022, the company acquired the southern 25 acres of the nearly 100-acre mall site, which included the former Sears store and its automotive service center. More recently, Conrad has entered into an agreement to purchase an additional 50 acres, encompassing the northern section of the mall where the two Macy's stores are located, as well as the JCPenney parcel facing Arcadia Drive. These acquisitions position Ethan Conrad Properties as the majority owner of Sunrise Mall, granting them significant influence over its future development.
The amended plan put forward by Ethan Conrad shifts away from the large-scale demolition envisioned in the Sunrise Tomorrow plan and instead focuses on revitalizing the existing structure. The proposal calls for dividing the mall site into separate, functional spaces that could accommodate big-box retailers like Home Depot, as well as popular national brands such as In-N-Out Burger and Chick-fil-A.
The redevelopment is planned in two phases, beginning with the 25 acres currently owned by the company. Phase I focuses on the southern portion of the property, introducing new tenants like Home Depot, In-N-Out Burger, Chick-fil-A, a bowling and entertainment venue, and several quick-service restaurants, along with Judi's Cleaners and an EV charging station. Phase II extends to the northern sections of the site, proposing multi-family housing, an open space event area near Greenback Lane, additional quick-service restaurants, and the potential for a national restaurant tenant to occupy the former Elephant Bar building.
"We are simply proposing more flexibility to allow logical retail uses to allow the new retailers that will help drive the economic vitality of the new property, provide jobs, and increase sales tax revenue," stated Ethan Conrad Properties in a presentation dedicated to the Sunrise Tomorrow Evolution Plan.
The presentation also highlighted several other potential future tenants for the revitalized site, including BJ's Restaurant & Brewhouse, Nordstrom Rack, IKEA, Dick's Sporting Goods, and Peet's Coffee—brands that, if secured, could help reestablish Sunrise Mall as a regional shopping and dining destination.
The company further highlighted in the presentation that it has a proven track record of revitalizing underperforming malls, as demonstrated through its successful transformations of the Yuba Sutter Marketplace and Chico Marketplace.
In Yuba City, Ethan Conrad Properties acquired the struggling Yuba Sutter Marketplace in 2016 and executed a strategic redevelopment that added 143,736 square feet of national retail space. Notable tenants such as Hobby Lobby, Burlington, Five Below, Boot Barn, and Carter's were introduced, dramatically increasing foot traffic and sales. Between 2016 and 2024, the marketplace saw a remarkable 51% boost in sales, with occupancy reaching 85%.
Similarly, at Chico Marketplace, which was purchased in 2018, Ethan Conrad Properties revitalized the site by adding 220,565 square feet of new retail space. This included popular brands like Planet Fitness, H&M, HomeGoods, Raising Cane's, and Petco. As a result, sales at the mall increased by 60% from 2018 to 2024, and occupancy climbed to an impressive 94%. The influx of new businesses also contributed to a 65% rise in local job opportunities, further strengthening the community's economy.
While some may argue that the amended vision for Sunrise Mall lacks the ambitious, mixed-use vibrancy of the original Sunrise Tomorrow plan, others see it as a necessary and pragmatic step to halt the mall's decline and restore activity to the site. For a community that has watched its central retail hub slowly wither over the years, even incremental progress feels significant.
Ethan Conrad Properties was originally scheduled to present its proposed amendment to the Citrus Heights City Council in January but has since postponed the meeting to April 25. In the meantime, the company is actively engaging with the community, seeking feedback and input as it works to shape a new vision for the future of Sunrise Mall.
