Regency Centers lists Serramonte Center (Daly City) as 2026 stabilization redevelopment; large-format restaurant interest at former Macy’s

Today in 90 Seconds

Regency Centers continues to list Serramonte Center (Daly City) among its in-process redevelopments with a 2026 stabilization timeline. Local coverage through March 2026 shows large-format restaurant interest at the former Macy’s anchor and ongoing market/food-concept activity within the center. For Peninsula owners, lenders and brokers this alters short-term NOI expectations and leasing comps for grocery- and restaurant-anchored retail.

Quick facts — Serramonte Center Daly City redevelopment

• Owner/operator: Regency Centers (corporate disclosures list Serramonte in redevelopment pipeline)
• Stabilization target: 2026 (shown in Regency investor presentation and earnings materials)
• Notable tenant activity: reported large-format restaurant interest for former Macy’s (March 2026)
• Property type: regional shopping center / retail redevelopment

Why the Serramonte Center Daly City redevelopment matters

Serramonte is one of the Peninsula’s largest regional shopping assets outside San Francisco. Regency’s active repositioning — phasing out legacy big-box tenancy and adding dining, market and smaller-shop footprints — has immediate implications for local retail traffic patterns and comparable leasing metrics.

1. Leasing and income timing

1.1. The 2026 stabilization target sets near-term NOI expectations for lenders and valuation workstreams. Forecasts tied to completed redevelopment phases should reflect a 2026 lift rather than immediate NOI improvement.

1.2. Replacement of a Macy’s-sized anchor with restaurant/market concepts changes rent-mix dynamics: dining and specialty food tenants may drive higher turnover but stronger daytime and evening traffic, which affects comparable rents for adjacent shopping corridors.

1. Underwriting and debt considerations

2.1. Lenders should stress-test pro formas for phased occupancy and leasing velocity through 2026, not assuming immediate full-anchor replacement stabilization.

2.2. Construction or TI capital lines should be sized to cover multi-phase re-tenanting and potential extended leasing timelines for large-format spaces.

1. Brokerage and valuation impacts

3.1. Recent market/restaurant activity provides new comps for grocery- and dining-anchored centers on the Peninsula. Brokers should document realized traffic lifts from early food-market openings when presenting comps.

3.2. Appraisers will want explicit evidence of stabilized occupancy post-2026 to capture the redevelopment’s value uplift in valuations.

Market signals and near-term indicators

• Visible leasing activity at former anchor footprints — specifically large-format restaurant submissions and public marketing efforts — is the primary on-the-ground signal of progress.
• Corporate investor materials and SEC exhibits that continue to list Serramonte in the in-process pipeline confirm Regency’s internal timeline and capital planning assumptions.

What We're Watching

• Regency’s next quarterly investor presentation and earnings release for any change to the Serramonte stabilization timeline or updated leasing milestones.
• Local planning filings or building permits tied to the former Macy’s footprint and new restaurant/market construction (permitting activity will signal construction start-up pace).
• Reported lease announcements or opening dates for large-format tenants (notably the March 2026 large-restaurant report) that confirm tenant fit and expected traffic patterns.
• Any SEC filing or 8-K that references material changes to the redevelopment scope, capital spend, or stabilization target.

---

Make the Peninsula CRE market smarter: Share this permanent briefing with one owner, investor, developer, or lender who should be reading it. Explore more Peninsula CRE intelligence.

Sources & Documents

• Regency Centers (investor relations) — Regency Centers Investor Presentation (selected slides) — primary source
• Regency Centers (investor relations) — Regency Centers — 1Q25 / earnings presentation excerpts (Serramonte stabilization timeline) — primary source
• U.S. Securities and Exchange Commission (EDGAR) — Regency Centers SEC exhibit referencing Serramonte redevelopment — primary source
• Hoodline — Fogo De Chão Targets Serramonte’s Old Macy’s In Sizzling Daly City
• SFGATE — Serra­monte Center food/merchant coverage (feature)