History
Westfield Valley Fair is unique in that it replaced two separate 1950s-era shopping centers.
In 1958, the original Valley Fair Shopping Center opened. It was confined to the eastern side of the property, in the city of San José. It was developed and anchored by Macy's and included roughly 40 other stores including Joseph Magnin in an outdoor plaza. At the western side was another outdoor shopping center, Stevens Creek Plaza, in the city of Santa Clara. It was anchored by The Emporium and I. Magnin. For that reason, the current mall contributes sales tax revenues to both the cities of San José and Santa Clara, and is regulated by both city governments.
In 1986, both centers were acquired and merged into one two-level enclosed mall by The Hahn Company, creating one of the most successful shopping centers in the country, called simply "Valley Fair", the name by which it has been universally known ever since.
Later, in 1987, Nordstrom joined.
In 1992, I. Magnin closed its store. The former I. Magnin building housed a succession of tenants, its final one being Sports Authority, before being demolished.
In 1996, the former Emporium store became a second Macy's location, housing Macy's Men's & Home Store.
In 1998, Westfield America, Inc., a predecessor of the Westfield Group, acquired Valley Fair jointly from Hahn. Westfield would buy out Rouse in 1999 and bring in an institutional investment partner to share its investment risk in this high-profile property. In 1998, the property was renamed Westfield Shoppingtown Valley Fair. Westfield discontinued the "Shoppingtown" moniker in 2005.
In 2001, the mall commenced a US$165 million two-phase expansion project (equivalent to $ million in ), which began with the addition of a new second-level Dining Terrace, 80 new stores, three multi-level parking garages, and the relocation of the property's Nordstrom store to a new three-level, 230000 sqft store to the northwest of its original store.[5] Phase Two brought the redevelopment of the former Nordstrom store and food court into an additional 30 stores, including a wing of shops facing the bordering Forest Avenue, and the addition of a Cheesecake Factory restaurant.[6]
Expansion
In 2007, Westfield announced major expansion plans which would increase the gross leasable area to over 2000000 sqft, adding anchor stores Bloomingdale's and Neiman Marcus, 100 shops, and a 3000 space parking structure. Westfield was granted approval for the expansion by the city of San Jose in November 2007.[7] It was to be completed by September 2011.[8] However, the plans were postponed in May 2009 due to an ongoing recession.[9]
In 2012, San Jose raised its minimum wage to US$10 an hour, but Santa Clara did not, leading to what the NPR Planet Money team dubbed "A Mall Divided", where workers on one side of the mall were being paid $2 less than the other side. A Gap clothing store located on the two city lines was required to either account for how long its employees spent in each city or raise its wages for all employees to the San Jose minimum wage; they chose to raise the wages.
