Tanger Makes Bold Move Into Arkansas with $73M Acquisition of The Promenade at Chenal

Major Sunbelt Expansion as Retail REIT Doubles Down on Lifestyle Centers

Tanger (NYSE: SKT) is rapidly expanding its footprint in high-growth markets. The outlet and lifestyle retail operator just picked up The Promenade at Chenal, a 270,000-square-foot upscale open-air shopping destination in Little Rock, Arkansas, marking a significant strategic move into the state’s retail landscape.

The $73 million deal signals Tanger’s confidence in the Sunbelt market dynamics. Using cash on hand, the company expects the center to generate an eight percent return in its first year—solid performance for a newly acquired lifestyle asset. This acquisition represents Tanger’s second full-price open-air lifestyle center following its late-2023 purchase of Bridge Street Town Centre in Huntsville, Alabama, showing a clear pivot toward premium mixed-use destinations alongside its traditional outlet portfolio.

Why Little Rock Matters

Little Rock isn’t just Arkansas’ largest city—it’s an emerging retail and corporate hub. The city hosts headquarters for major corporations including Dillard’s, L’Oréal, FIS, and Caterpillar, plus significant medical and tourism sectors. The Promenade at Chenal sits within an affluent master-planned community in Chenal Valley on the city’s west side, where residential densification since 2020 has created the live-work-play ecosystem that modern retail thrives on.

The Brand Lineup

The Promenade at Chenal comes stacked with marquee national brands. The center houses premium retailers like Lululemon, Sephora, Athleta, and Kendra Scott, alongside lifestyle players like Lovesac and beauty provider Sono Bello. What makes this particularly significant: it contains Arkansas’ only Apple, Anthropologie, and Urban Outfitters locations—anchor exclusivities that cement the property’s status as the state’s premier shopping destination.

Beyond retail, the center offers curated local and regional stores, diverse dining from casual to elevated concepts, and an AMC IMAX Theatre, creating a comprehensive lifestyle experience rather than a pure shopping corridor.

Strategic Implications

This deal underscores Tanger’s evolution from pure-play outlet operator to lifestyle retail curator. The Promenade at Chenal adds another dominant property to a portfolio spanning 38 outlet centers and now two flagship open-air lifestyle destinations across 21 U.S. states and Canada. With nearly 3,000 stores across 700+ brands in its network, Tanger continues to position itself as the go-to platform for both established and emerging retail brands seeking prime locations in vibrant markets.

For investors tracking SKT, the Arkansas entry represents validated execution of a stated growth strategy—capturing first-mover advantage in a Sunbelt market with strong demographic and economic fundamentals.