Herzliya's Arena Mall Ends Shopping Era, Transforms Into Mixed-Use Complex
After years of decline and failure that affected multiple investors, Herzliya's Arena Mall is officially ending its function as a shopping center. The mall, which had become largely deserted with many closed stores, is now undergoing a major transformation initiated by its current owner, Reality Fund, which announced the plan in 2018. Recently, some tenants received eviction notices as extensive renovations are set to begin, including removal of the roof to open the space to the outdoors and conversion into a mixed-use complex with offices, clinics, and new commercial areas.
The mall's dramatic shift was confirmed last year following the departure of major luxury brands like Factory 54, which relocated to the newly opened Big Galilot complex. The mall's management publicly acknowledged that Arena would no longer operate as a traditional shopping mall, marking a clear end to its retail vision. Business owners who left cite years of neglect, dwindling foot traffic, and poor maintenance conditions that made sustaining operations impossible. One former tenant described the mall as a "graveyard," noting that even loyal customers stopped coming due to the empty and deteriorating environment.
Arena Mall has long been associated with a local myth of a "curse," stemming from its controversial construction on Herzliya's waterfront, which many saw as a real estate grab that deprived the public of open coastline. This perception, combined with architectural flaws such as a closed, dark concrete structure that blocked sea views and created dead zones, contributed to its commercial failure. Expensive underground parking and competition from nearby Seven Stars Mall further diminished its appeal.
The current redevelopment aims to break this cycle by demolishing walls, removing the roof, and opening the complex to fresh air and sea views, effectively erasing the mall's "cursed box" image. The management confirmed the renewal process is ongoing with professional oversight and coordination with the city and tenants, though details on timelines and the scope of initial closures remain undisclosed.
This transformation represents the most significant change in Arena Mall's history, shifting from a failing retail center to a modern mixed-use venue designed to integrate with the evolving Herzliya area.
