With a faltering economy and a country stricken by grief, the retail stars may not be in alignment, but Toronto-based TrizecHahn Development Corp. is moving forward, expanding its shopping universe on Sept. 28 with the debut of its Paseo Colorado mall in Pasadena, Calif.

“Residents have wanted this for so long that we made a conscious effort to open,” said mall general manager Jennifer Mares.

The 565,000-square-foot open-air project combines retail, office, restaurant and entertainment space, along with 387 apartments and lofts.

What it won’t look like, say company officials, is anything akin to the former Plaza Pasadena, an enclosed mall built in 1980 and razed 20 years later for the new development. Residents and experts say that the old mall choked off the city’s vibrancy by closing off Garfield Avenue, a key thoroughfare to the area’s civic center.

Mares said the $130 million center, which includes 3,000 parking spaces, should bring in sales of $400 per square foot, or about $226 million, in its first year, lower than earlier projections of $500 a square foot.

Given the challenge of the economic climate, industry experts agree that Paseo Colorado can benefit in the short term from the approaching holiday season.

“It’s not a great time to open retail space, but at the same time, it’s the right time of the year to open—before the fourth-quarter rush,” said Aubie Goldenberg, a partner in the retail group of Ernst & Young LLP.

At press time, 90 percent of the space was committed, and 56 retailers were under construction to debut on Sept. 28. The tenant mix includes apparel companies BCBG Max Azria, Betsey Johnson, Coach, Cole Haan, J. Jill, Lucky Brand Dungarees and Max Studio, as well as eight restaurants. Among the anchor tenants are Macy’s, which is a holdover from Plaza Pasadena, and a 14-screen Pacific Theatres complex.

Macy’s underwent a renovation of its own, transforming the one-time outlet into a 152,000-square-foot store for men’s and women’s apparel and home furnishings to compete with its nearby South Lake Avenue store.

Bice, Cafeacute; Med, California Crisp, Island’s, Tokyo Wako and Cold Stone Creamery are part of the restaurant lineup at the center. Restaurants Border Grill, P.F. Chang’s China Bistro and Starbucks are also confirmed to open Sept. 28.

To facilitate its Mediterranean-inspired feel, the mall, designed by New York-based Ehrenkrantz Eckstut & Kuhn, integrates fountains, dramatic staircases, courtyards, gardens, winding walkways and different storefronts. Brighton Collectibles has wrought-iron doors and mosaic tile framing its entry. Exposed wood lines the Brookstone entrance. The Bath & Body Works has a stained glass sign.

A key dimension to the enterprise, say observers, is that of the apartments and lofts, being developed by Atlanta-based Post Properties, which will be available in March 2002. They will occupy four floors overlooking the trellis-covered Fountain Terrace, one of the mall’s central gathering spots. The diversity of the project can help the center weather economic storms, said Goldenberg.

“It’s a good buffer—you’re hedging your bet with the real estate,” he said.

Seattle-based Tommy Bahama is opening its fourth Southern California store at the center after looking in the area for the past three years.

“We looked at Old Pasadena, but couldn’t find anything that made sense for us... and this mall’s open area lends itself to an island state of mind, which is right for our customer,” said W.C. Wells, director of Tommy Bahama’s restaurant and retail division. “We’re excited about this project, the great parking, the chance to stay open late for people to shop before or after they eat.”

Wells projects the store sales to be in line with a typical Tommy Bahama store—in “excess” of $1,000 in sales per square foot.

Among the stores opening are a number of Southern California-based firms, including the following:bull; Quiksilver Boardriders Club—The Huntington Beach, Calif.-based surfwear company has approximately 100 company-owned and licensed stores in the world, but only three are in Southern California, according to Greg Solomon, senior vice president of retail. Paseo Colorado marks the fourth location, and another will follow at the Grove at Farmers Market in Los Angeles next spring. The 2,500-square-foot Pasadena location, licensed by next-door Epic Sports, will sell apparel and footwear from company divisions Quiksilver, Roxy and Raisins.

Solomon said that the company has a conservative outlook for its store’s first year. “We’re guardedly optimistic that life will return to normal in the future,” he said. “We’re going forward with our plans, but we want to make sure we’re not overstocked.”

bull; Planet Funk—Brothers Oren and Hoy Hayun will christen their ninth store location at Paseo Colorado and first flagship. “We liked the synergy with Old Town and the higher-end residential units create a market we wanted to be in,” Oren Hayun said.

The 1,500-square-foot boutique will feature a high-gloss, all-white design—the new look for Planet Funk’s future stores. Private-label clothing comprises about 60 percent of the women’s young contemporary inventory. Diesel, Miss Sixty, Fresh Hype and Levi’s Premium Goods are a few of the designer lines.

The siblings opened their first store on Melrose Avenue in Los Angeles eight years ago while still attending college. The Los Angeles-based company’s “fast-paced growth plan,” according to Oren Hayun, includes updating the company’s Web site with e-commerce and rolling out new locations in San Diego, Las Vegas, Santa Barbara, Calif., and San Francisco.

bull; B. Luu—The 1,300-square-foot clothing and accessories boutique is a first for Bachmai Luu. A former theater director for a film production company, Luu, who has an MBA, was ready to launch her own business. Knowing how difficult it is for rookies to get their first sale, Luu plans to dedicate some of her space and walls to new designers and upcoming artists. Along with designers Katayone Adeli, Anna Sui, Vivenne Tam, Nicole Miller and Catherine Malandrino, Luu plans to carry local, lesser-known lines Daly Bain and the Great China Wall. Price points will range from $40 T-shirts to $600 leather coats.

Decorated in copper and mahogany tones with canopy-covered dressing rooms, the store had a build-out cost of $200,000, according to Luu, who relied on family and friends for support. She estimates her first-year sales will be $600,000, believing the mall has “great potential.”

bull; Therapy—Mother-daughter team Patti Behrens and Courtnay Page will open their first Southern California store at the center. The two opened Naturals in Portland, Ore., 10 years ago and hope to repeat the store’s success in Pasadena.

“We’re from Santa Barbara [Calif.] originally, and Pasadena reminds us of that—a little town in a big city but with a neighborly feel,” Page said.

Inside the white-and-chocolate brown store, shoppers will find clothing from Theory, Diane Von Furstenberg and Rebecca Taylor and high-end furnishings. In spite of steep price points—up to $2,500 for a Tuscan dining room set—Page anticipates a strong customer base from the area’s upscale residential community will help the store hit the projected $750,000 in sales in its first year.

Mares said that Paseo Colorado’s tenant mix and location give it an edge for sustainable growth. Shoppers visit a mall an average of three times a month, according to the International Council of Shopping Centers, but Mares projects that individual visitors will be coming to the Paseo three times a week, thanks to its Gelson’s supermarket, Amadeus Spa & Salon and Equinox Fitness Club.

The project’s main thrust—opening the center to the community by restoring Garfield Avenue—will link the mall to the Pasadena Civic Auditorium on the south and the library on the north, further drawing in customers attending local functions and conventions.

With a resident base of 942,000 within a 7.5-mile radius, the mall projects to attract 4 million visitors annually.

Given that Old Pasadena is just a few blocks away from the mall, there is concern that Paseo Colorado will compete with that area’s 130 shops, but Maggie Campbell, president and chief executive of the Old Pasadena Management District, is welcoming her new neighbor.

“In general, this can only help us because of its ability to draw from the regional market, which will complement what we have in Old Pasadena,” Campbell said. “Time will tell how shoppers will react.”

In the meantime, Campbell said, the district is moving forward with its own public relations efforts, launching a marketing campaign, a new Web site and a guide service beginning next month.