Although renovations are underway at North Grand Mall, mall managers have said changes are not in response to talks of a new mall in Ames.

The Sears Auto Center was torn down last week in the beginning stages of renovation to the North Grand Mall.

The space the building occupied will be used for additional parking, adding 40 to 60 more spaces, said Kurt Carlson, general manager of the mall.

“The building was old, outdated and needed work,” he said. “Also, the location was not optimum for another retailer.”

The parking lot will be complete by next Friday. Adding parking spaces is part of GK Development’s long-term plan for North Grand, said Garo Kholamian, president of GK Development.

“We’re not considering it, not worried about it,” Kholamian said of negotiations between developer James “Bucky” Wolford and the Ames City Council. “We already have viable property and have good response from the retailers we’ve talked to.”

Store managers declined to comment until official plans are released.

Complete renovation plans have not been announced, but Kholamian said there are plans for renovation and expansion to North Grand Mall totaling about $20 million.

The expansion would add one or two more anchor stores, as well as several smaller shops. North Grand Mall has just fewer than 60 stores, which includes interior, exterior and parking lot businesses, Carlson said.

“We are looking at different layouts and talking to the city — trying to figure out what will fit without rezoning,” Kholamian said. “Hopefully, we can announce plans in the fall and start construction.”

North Grand Mall was built in 1971 and renovated in 1991, Carlson said, and malls are typically remodeled every 10 to 15 years. When GK Development bought the mall in December, plans for renovation were already being considered.

“North Grand needs a lot of work,” Kholamian said.

“And we’re not going to do it and walk away. We are going to keep it up and keep it competitive.”

GK Development also purchased three other malls throughout Iowa in addition to North Grand, in a package deal from L & H Real Estate Group. Kholamian said he has plans to upgrade all four malls, but North Grand and College Square Mall in Cedar Falls require extensive work. This was GK Development’s first mall purchase in Iowa, and Kholamian said they looked at Iowa because of the market here.

“Iowa markets are strong and healthy,” Kholamian said. “They have a diverse business base and are stable.”