Malls are dead. Or, at least, the obsolete concept of malls—endless rows of cookie-cutter storefronts and soulless food courts—where one can indulge in the mundane, transactional act of shopping. Instead, the modern shopping center is morphing into an all-encompassing lifestyle hub, where retail, entertainment, dining, and even residential living, collide.
You see, mega-malls are no longer just places to spend money, but places to spend time.
This transformation isn’t happening in a vacuum. It’s being fueled by architectural innovation, urban reinvention, and a cultural demand for spaces that offer more than just products. From Dubai’s gravity-defying Mall of the Emirates to Riyadh’s Diriyah Square, a next-gen cultural and commercial district, to Miami’s open-air playgrounds, developers are betting big on retail as an experience and redefining the fabric of urban life in the process.
In a panel discussion regarding the future of retail and the rise of integrated retail destinations, Kiran Haslam, Chief Marketing Officer at Diriyah Company, emphasized that their 14-square-kilometer master plan is rooted in the idea of retail as a cultural conduit—not as an imported format, but as something deeply integrated into local heritage and designed to cater to a population where over 65% are under 34, demanding uniqueness and meaning from their environments.
So, is retail the new backbone of city planning? And how do these new malls interact with the cities around them?
If it’s not an experience, it’s not enough
Today’s consumers demand more. More interaction, more personalization, more meaning. They want spaces that don’t just sell products but blend culture, entertainment, sustainability, and community into a seamless, 360-degree experience. They expect interactive displays, sensory-driven spaces, and, most importantly, an emotional connection to the brands and environments they engage with. Malls need to feel like destinations with a purpose. A place where art, technology, gastronomy, and social connections collide.
And developers are paying attention. Personalized shopping journeys, immersive entertainment, and even cultural storytelling are becoming standard expectations. From pop-up museums and live performances to concept stores that feel more like art galleries, the shift is undeniable: Retail is becoming a cultural hub and turning into experiential retail.
Designing the malls of the future
In the age of hyper-personalized experiences and retail destinations, architectural trends go hand in hand with consumer expectations, creating environments that reflect the way people want to live, work, and connect. The malls of the future are being designed as multi-functional, immersive spaces that integrate seamlessly into the urban landscape. And architects are prioritizing mixed-use developments, blending retail with residential, office, and entertainment spaces to create dynamic, walkable hubs.
Sustainability is also a driving force, with green rooftops, open-air plazas, and energy-efficient materials as essential features, catering to consumers who demand eco-conscious design. Meanwhile, technology is redefining the shopping experience. Smart directories, augmented reality shopping, and AI-driven personalization are turning malls into intelligent ecosystems, offering convenience and engagement in ways that traditional retail never could.
The mall-ization of cities
As these malls evolve, so do the cities around them. Mega malls are turning into economic engines that shape entire urban districts. A major retail development can trigger waves of investment, revitalizing neglected areas and attracting hotels, office spaces, and luxury residences. Infrastructure upgrades often follow—new roads, public transit expansions, and pedestrian-friendly pathways, all designed to accommodate the influx of people these retail giants bring. But transformation comes with questions: At what point does retail-driven urban growth become overreach?
You see, when done wrong, the impact of mega malls can be just as profound, albeit in the opposite direction. Unchecked development can lead to urban sprawl, pushing cities outward in ways that strain public infrastructure and increase congestion. A high-end mall that attracts global brands might be a win for investors, but it can also crush local businesses, stripping neighborhoods of their character and authenticity. There’s also the environmental cost; massive constructions that, if not sustainably planned, contribute to increased energy consumption and disrupt ecosystems. If developers focus solely on scale without considering the social and environmental footprint, they risk creating spaces that lack the organic vibrancy that makes cities thrive.
As Craig Watson of JLL pointed out at the 2025 RLC Global Forum in Riyadh, successful retail developments have a “multiplier effect,” spurring residential and commercial growth while demanding a balanced tenant mix to preserve local identity and long-term viability. In short, retail as driver for urban transformation.
Evolution leads to revolution
Let’s face it: these are the days of experiential retail. Gone are the days of soulless shopping malls—they have been replaced by immersive, culture-driven destinations that draw people in for more than just a purchase.” The best of them will evolve into the beating heart of their cities, shaping the way we gather, connect, and experience the world around us. The rest? They will be left behind, relics of a bygone era.
Because here’s the truth: Malls are dead. Long live the new malls!
