By Sara Beth Williams–
Bay Area-based Tallen Capital Partners LLC CEO Terrence Tallen confirmed that his development and investment company is in escrow to purchase 50 acres of the Sunrise Mall property from majority owner Namdar Realty Group.
In an interview with The Sentinel this week, Tallen said the company has been in escrow for “quite some time” and plans to close on the majority acreage of the coveted Sunrise Mall property in the 4th quarter of 2026, or in early 2027 at the latest.
For several years now, the slow decline of Sunrise Mall escalated with the increased exodus of clusters of businesses year over year due to bankruptcy and lack of foot traffic. Most recently, Goodyear Auto Service Center closed at the end of June, along with multiple tenants inside the mall. A handful remain, including Perfumes Luxe, T&Z Toys, Tops Fashion, Kay Jewelers, and Royal Stage Theater, along with anchor tenant JCPenney.
Related: The rise and fall of Sunrise Mall: A downward spiral – Citrus Heights Sentinel
Since 2019, City staff and Citrus Heights City Council have advanced the Sunrise Tomorrow Specific Plan, a long-term redevelopment plan for transforming the Sunrise Mall property into a regional mixed-use destination with retail, entertainment, office space and housing.
But development efforts have been complicated due to multiple property owners, one whose visions and goals conflicted with those of the city, and another who severely neglected the mall’s main building. In March, Tallen said he had met with JCPenney, and would meet with Ethan Conrad Properties, two of the owners.
In the meantime, as Tallen continues toward acquiring the mall, sports venue developer group The Mettle Shop has signed an agreement to purchase 13 acres from Tallen Capital Partners, the city announced July 29.
The agreement officially establishes the planned location for a proposed 160,000-square-foot sports center and establishes a path toward completing the property purchase “as a unique and key anchor for Tallen Capital’s comprehensive redevelopment of the Sunrise Mall,” the city said.
Tallen informed The Sentinel that the proposed sports center has drawn “significant” interest from other developers both locally and outside the greater Sacramento region, who want to bring in more sports-related venues to the property.
“We’re looking to do large-format volleyball facilities,” Tallen said, adding that the facilities would offer league play, training, classes, and recruitment-ground opportunities. Two different developers are interested, Tallen said, each wanting 100,000 square feet of space for a volleyball facility.
“We’re full speed ahead, foot on the gas,” Tallen said.
Tallen said he has a background in athletics and has a strong philanthropic relationship with multiple charities and colleges on the west coast, South, and Midwest, and would like to utilize those relationships to help advance youth sports.
“Youth sports are a big deal,” Tallen said, adding that the new Sunrise Sports Center will draw interest from the young male demographic, and volleyball facilities would draw interest from the young female demographic, creating a good balance.
When asked if he has spoken with remaining tenants at Sunrise Mall, Tallen said he has focused on the anchor tenants, and does not want to interfere with small tenants still under leases or rental agreements with Namdar Realty Group.
Tenants inside the mall, and other Sunrise Mall property owners, have expressed general excitement for the new Sports Center and other redevelopment plans. While some existing tenants were not able to respond to The Sentinel’s request for comment in time for press time, Royal Stage Theater founder Tamara Warta said she’s happy to see plans for “new life” progressing forward.
“Praying they were telling the truth when they said it doesn’t touch the theater,” Warta said, referencing a comment made by City Councilmember Kelsey Nelson in March regarding the Sports Center’s proposed project area and location not touching the theater.
Tallen Capital Partners owns and has developed retail projects throughout the west coast and Florida and has a “recognized track record” in institutional-grade assets and value-added redevelopment of underperforming shopping centers and dark retailer big boxes in urban and suburban areas, the company’s website states.
Tallen has over 30 years of experience in the real estate industry, according to the company’s website.
