Developers outline Mid City Mall redevelopment concept, including new grocery store, library building and fewer parking spaces

A proposal takes shape for a long-uncertain Highlands shopping center

Developers working with the owners of Mid City Mall presented new details Wednesday about a redevelopment concept that would replace the existing mall with a new grocery store, several stand-alone retail buildings and additional green space—while keeping the Highlands-Shelby Park Library on site in a dedicated building.

The update was delivered at a Highlands Commerce Guild meeting as residents and nearby businesses continue to seek clarity on a property that has been on the market since November 2024 and has seen significant tenant turnover during the past two years.

What the concept includes

As described at the meeting and in previously filed planning materials, the concept centers on a new grocery store of roughly 50,000 to 54,000 square feet, plus multiple separate retail buildings. The design presentation emphasized changes aimed at improving how people move through the site, including measures intended to separate pedestrians from vehicle traffic.

Developers said the plan would remove roughly 150 parking spaces compared with the current configuration, while increasing green space and creating safer pedestrian access across the property. The presentation also described architectural elements intended to reflect nearby Highlands streetscapes, particularly along Bardstown Road-facing buildings.

Developers also discussed a timeline that could include demolition of the existing mall by the end of 2026, followed by an estimated 14 to 15 months of construction.

What is known about the development team and process

The development partner identified for the project is Branch Properties, an Atlanta-based real estate company whose portfolio includes grocery-anchored shopping centers in multiple states. The project has been described publicly as being in early planning and review, with further community engagement anticipated as details are refined.

Earlier filings with the city sought zoning confirmation for a plan that would fit within existing zoning, reflecting an approach focused on reinvestment in an established neighborhood retail center rather than a wholesale rezoning effort.

Tenant uncertainty and neighborhood concerns

The redevelopment discussion arrives amid prominent departures from the property. Baxter Avenue Theatres closed at the end of 2025. ValuMarket has announced it will leave when its lease ends in June 2026. Other changes in recent years have included business relocations and closures within the center.

At the same time, the Highlands-Shelby Park Library’s lease has been extended through late June 2026, ensuring continued operations during the ongoing sale and planning period.

Key open questions

• Which grocery operator, if any, will anchor the new development.
• What will happen to remaining small businesses and whether they will have space in the redeveloped site.
• Whether the proposed timeline shifts as the project moves through approvals, financing and leasing.

Further updates are expected as the redevelopment concept advances through city review and additional public meetings.