Ten Years of Resolve: Basalyga Looks Back on the Acquisition of Steamtown Mall

Revitalization of the Steamtown Mall

• Background of the Purchase: John Basalyga acquired the Steamtown Mall for $5.25 million in June 2015, recognizing the challenges ahead due to its previous struggles, including the loss of major tenants like Bon-Ton.
• Motivation for Change: Basalyga was motivated by negative perceptions of Scranton, aiming to transform the mall and the city's image through creative solutions.

Transformation Efforts

• Rebranding and New Tenants: The mall was rebranded as the Marketplace at Steamtown in June 2016, introducing nontraditional tenants such as Crunch Fitness, educational institutions, and medical facilities to attract foot traffic.
• Diverse Offerings: The marketplace now includes a variety of tenants, such as Electric City Aquarium, Geisinger Health services, and community-focused businesses, which have contributed to its revitalization.

Financial and Operational Challenges

• Initial Losses: Basalyga acknowledged that the mall operated at a loss for the first few years, but he was prepared to sustain these losses while working towards profitability.
• Improvements Made: Significant renovations addressed issues like broken escalators and leaky roofs, leading to a more appealing environment for visitors.

Future Plans and Community Impact

• Upcoming Renovations: Plans are underway for a major facelift of the mall's exterior to enhance its connection with the Scranton Art Haus theater.
• Tenant Occupancy: The marketplace is currently about 90% full, with ongoing efforts to attract more retailers and enhance the shopping experience.

Community and Economic Growth

• Local Support: Community leaders, including Lackawanna County Commissioner Bill Gaughan and Scranton Mayor Paige Gebhardt Cognetti, praised Basalyga's vision and commitment to revitalizing the area, noting the mall's role in boosting local business districts.
• Tenant Success Stories: Businesses like Electric City Dentistry have experienced significant growth since moving to the marketplace, expanding their facilities to accommodate increasing patient numbers.

Long-term Vision

• Basalyga's Commitment: Looking ahead, Basalyga plans to continue owning and modernizing the marketplace, emphasizing the importance of perseverance and vision in transforming the property.
• Community Engagement: The introduction of pop-up markets and events aims to foster a vibrant community atmosphere, encouraging more visitors and potential long-term tenants.