Real estate firm Landmark Properties, will be replacing longtime businesses at the Ann Arbor Galleria Mall, including Pancheros, Starbucks and Pinball Pete’s, with its third high-rise development, “The Metropolitan,” a 17-story building with nearly 5,000 square feet of retail space and 186 apartments.
In an email to The Michigan Daily, Eric Leath, senior director of Landmark Properties, explained why the company chose South University Avenue for the new development.
“We chose South University Ave because it is a vibrant corridor with a high level of pedestrian activity, thanks to its proximity to campus,” Leath wrote. “This makes it an excellent location for housing that serves not only students but the broader community, given easy pedestrian access to campus, dining, and retail options. These apartments will be open to all renters, though we anticipate that the location will be particularly popular with students.”
In an email to The Daily, Brett Lenart, planning manager for the City of Ann Arbor, highlighted the city’s need for more student housing as the enrollment of students at the University is increasing. Lenart also wrote the new development will include environmental benefits.
“From 2019-2023, the total enrollment at UM increased by almost 4,000 students,” Lenart wrote. “Over that same timeframe, almost 1,700 new apartments were built in the City. When some of these apartments are built on South University, and other areas proximate to campus, it not only helps provide a response to this housing demand, but also in a location that enables walkable, bikeable, and bus connections to class, work, and services. This has a positive impact on our transportation system and carbon emissions.”
Leath also added many existing businesses in the Galleria Mall would not be able to return to the new development’s location because of the limited retail space that will be available
“Regarding the existing local businesses, the primary factor that prevented most of them from returning to the new development was limited available commercial space,” Leath wrote. “The new building is predominantly residential, with around 5,000 square feet of retail space on the ground floor. This space is not sufficient for larger businesses like Pinball Pete’s. Consequently, smaller operators such as the post office and coffee shops are more suitable for the new development.”
In an interview with The Daily, Jay Matthews, a manager at Pinball Pete’s, said the response from the Ann Arbor community reinforced the importance of continuing the business elsewhere.
“People reached out and told us how important our business was to them,” Matthews said. “It would be very important for us to continue in, maybe, another location. They really wanted to see that happen, so they were really instrumental in trying to make sure that that continues forward.”
Matthews also noted the business was given a chance to weigh in on the plans and Landmark supported their relocation process.
“They gave us an opportunity to talk and speak our minds about it,” Matthews said. “I do know that the Landmark people helped us with trying to find a new location and the possibility of helping us put together the new location.”
The new Pinball Pete’s location is set to be on 500 East Liberty St. in the Carver-Gunn Building and to open in 2026.
LSA senior DaMone Payne expressed in an interview with The Daily the importance of late-night spots for students like herself.
“I feel like a lot of things close really early, like (8 p.m. to 9 p.m) in Ann Arbor, and Pancheros and Pinball Pete’s are the only places that are open (11:00 p.m. to 1:00 a.m.),” Payne said. “When I’m having a late night, if that’s studying or going out or something, it’s nice to be able to come here and have stuff to do, nice to go to Pancheros and have food to eat. It’s cheaper than Chipotle, so I remember my freshman year I went there a lot — like that was my place, honestly.”
Looking ahead, Matthews said the long-term effects of the move remain to be seen.
“Well, it’s definitely had its impact, if it was good or bad is yet to be seen,” Matthews said. “Overall, I am very happy that they wanted to help us out as much and thoroughly as they have, so we will see how things go in the future.”
Daily Staff Reporter Kayla Lugo can be reached at klugo@umich.edu.
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