Construction on a massive Carousel Center expansion is still ongoing after the project received a deadline extension in June — its second extension since work began more than four years ago.

The Destiny USA project involves the addition of new retail, entertainment and dining options to the existing Carousel Center. When completed, the 2.4-million-square-foot complex will be the sixth largest shopping destination in the country, according to a release from the Destiny USA website.

An 850,000-square-foot addition is expected to open in spring 2012, according to an Aug. 11 press release on the Destiny USA website. In the release, developer Robert Congel said contractors have begun finishing elevators, escalators and railings to frame the expansion.

Construction first began on the Destiny USA project in March 2007. Starting in 2009, there was a two-year delay of construction on the expansion because Citigroup Global Markets Realty Corp. stopped funding a construction loan due to a dispute with the developer. The Syracuse Industrial Development Agency temporarily suspended a deadline for the project in 2009.

The developer resumed construction in April after an out-of-court settlement with Citigroup, according to a Sept. 7 article in The Post-Standard.

In June, Syracuse Mayor Stephanie Miner and Congel negotiated a six-month extension of tax exemptions for the project. The agreement required Congel to pay $1 million to the city of Syracuse in exchange for the six-month extension. It was the second deadline extension for the project.

But the Carousel Center expansion may attract more people from outside of Syracuse with its new features, said Don Dutkowsky, economics professor in the Maxwell School of Citizenship and Public Affairs.

Stores such as Saks Fifth Avenue Off 5th, BCBG Max Azria, Max Mara, Michael Kors and Salvatore Ferragamo are slated to be a part of the new addition, according to an Aug. 1 article in The Post-Standard. Mexican restaurant Cantina Laredo, brewery and restaurant Gordon Biersch and fondue restaurant Melting Pot will also be added, according to the article.

Dutkowsky said there is a temptation for the Syracuse area to be a national destination because of its location near two major interstates, I-81 and I-90. People thought to take advantage of the location, but two challenges — the budget and a slow economy — stood in Destiny USA’s way, he said.

Dutkowsky said though most people in the area work for ‘eds and meds’ — namely Syracuse University and Syracuse area hospitals — the completed Destiny USA expansion will be a major contributor and will create jobs because of the new retail stores. Syracuse University has no involvement with the Destiny USA project, said Kevin Quinn, SU’s senior vice president for public affairs, in an email.

The project has already created thousands of construction and permanent jobs, according to the Destiny USA release.

Because of the different stores the project will introduce, a larger demographic will be attracted to the Carousel Center, Dutkowsky said. This represents expansion and should be looked at in a positive light, he said.

Dutkowsky, who lives in the suburbs of Syracuse, said he has noticed two viewpoints toward the Destiny USA project. Most residents are skeptical of the developer’s claims in terms of finishing, but at the same time, they remember Congel has a way of developing successful projects such as the existing Carousel Mall, he said.

The Carousel Center is built on land that was once unsightly, Dutkowsky said. When people remember that and see the mall as it is now, they think Congel ‘might just make it,’ he said.

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Published on September 19, 2011 at 12:00 pm

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