Centennial Wins Approval for Hawthorne Mall Mixed-Use

The $252 million transformation of Vernon Hills’ Hawthorn Mall is moving into its next act, after Village trustees approved a revised plan for Phase II of Hawthorn 2.0, clearing the way for construction to start next year.

The changes mark the third iteration of Phase II and reflect what Dallas-based Centennial Real Estate, one of the project’s ownership partners, called a major improvement over the version signed off in 2022, the Daily Herald reported. Tweaks include relocating and expanding the residential component to 288 apartments across two four-story buildings, up from 255 units.

Retail will also get a bump to 37,300 square feet of ground-level space. The buildings will straddle a covered paseo, and the plan also includes a direct connection to the intersection of Route 21 and Townline Road.

Along with Centennial, the project partners include development and construction company Focus Development, real estate investment firm Affinius Capital and Atlanta-based developer Atlantic Residential.

The new scheme spares much more of the original 1970s-era mall. Earlier versions had called for removing nearly a third of the remaining space, but the updated plan pares that demolition down to just 5,600 square feet — the former Barnes & Noble box — while reworking the east and south facades into outward-facing retail lined by landscaped plazas.

“It’s a substantially improved plan, layout and use of real estate,” said Sam Whitebread, Centennial’s vice president of development.

The apartments will build on The Domaine, the luxury rental complex delivered in Phase I that’s now 95 percent leased. Fifty-eight of the units will be set aside for tenants earning 60 percent of area median income.

The village’s sign-off required a special-use permit, subdivision plat and revised development agreement, but the approvals sailed through. The project team — Centennial, Focus, Atlantic Residential and Affinius Capital — expects to start construction next spring, with the first openings slated for late 2027.

Rather than gutting the mall, the developers are betting on a mix of fresh housing, open-air retail and selective demolition to keep the property relevant.

— Eric Weilbacher