Both the Sears Holding Corp. and the Freedom Area Citizens' Council will wait and see how holiday sales turn out before renewing efforts with developer Black Oak Associates to work on an agreement to redevelop the Carrolltown Center and Kmart.

"By the 10th or 15th of January, this situation could change," said Ellen Dix, president of FACC, at the community group's Thursday, Nov. 20 meeting.

FACC, Sears Holding Corp. and Black Oak officials met this month in separate meetings in Eldersburg to discuss whether Kmart's parent company and Black Oak can strike a deal so that plans can be set forth for Carrolltown. Dix said FACC's policy is to not take sides on development, and will stay out of the details of negotiations.

Citing a Chicago Tribune story titled "Sears' future hanging on holiday sales," she said the Eldersburg Kmart could be connected to what's happening with the company on a national level. The story cites analysts who said that if holiday sales are lackluster, the company is among many retailers that could have trouble surviving in 2009.

One delay for development is due to a disagreement between Owings Mill-based Black Oak and Sears Holding over Kmart's terms in its long-term lease and a type of veto power Kmart has before Black Oak can submit plans.

Kmart could stay, or ask Black Oak to be bought out of its lease at the market rate, which could be millions of dollars.

Del. Susan Krebs (R-9B) of Eldersburg is also a FACC member and met with Dix and Sears officials. She said if Kmart decides to not stay, the options for that space could be worse.

"They could release it to someone else and sublet it," she said. "It could be something way less desirable."

Another option is if Kmart decides not to agree with Black Oak, the developer could build around Kmart, Krebs said.

That isn't unheard of -- in Raleigh, N.C., North Hills Mall built around a JC Penny and a parking deck when the center was redeveloped into a mixed-use center.

FACC, a volunteer group of residents, is petitioning Sears Holding and Black Oak to reach an agreement so Carrolltown Center can be redeveloped. So far the group has 800-plus signatures and is looking to get businesses involved to increase support, Dix said.

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