The former Lakeforest Mall is now fully demolished, marking the end of an era the Gaithersburg landmark and clearing the way for the next phase of the massive redevelopment project.
Demolition began on April 1, 2026, almost exactly three years after the mall permanently closed its doors on March 31, 2023. Over the past two months, crews steadily dismantled the decades-old structure that once served as a gathering place for generations of Montgomery County residents. With the final remnants now removed, the 102-acre property is ready for its transformation into a new mixed-use community.
Led by WRS Inc., the $1.2 billion redevelopment will replace the former mall and its surrounding surface parking lots with a walkable neighborhood featuring housing, retail, dining, entertainment, office space, green areas, and transit connections.
Plans call for approximately 1,600 residential units, including a mix of rental apartments and for-sale housing such as townhomes, stacked duplexes, and condominiums. National homebuilder NVR is expected to construct around 600 of the for-sale units, while additional development partners will deliver rental housing, including workforce units.
Retail development is also beginning to take shape. Confirmed tenants include a roughly 140,000 SF Home Depot, a 23,000 SF Sprouts Farmers Market, and a 15,000 SF Landmark Theatre. The Sprouts and Landmark locations will be only the second of their kind in Montgomery County. Initial retail construction will also unlock approximately 850 rental units planned above portions of the first phase.
In total, plans include more than 470,000 square feet of commercial space, featuring a mix of restaurants, boutique retail, entertainment venues, fitness facilities, medical offices, salons, and everyday services. An entertainment-focused gathering area is planned to host community events such as farmers markets, outdoor movie nights, and food truck festivals.
The redevelopment will also include a new and relocated Lakeforest Transit Center, providing connections to Ride On bus routes and the future MD 355 Flash Bus Rapid Transit system.
A major focus of the project is creating a pedestrian-friendly environment. Plans feature a grid of walkable streets, more than 35 acres of green space, public plazas, expanded bicycle and pedestrian connections, and a boardwalk surrounding revitalized ponds.
City officials have said the completed development is expected to generate approximately $2.7 million in annual recurring revenue for the City of Gaithersburg while contributing an estimated $1.7 billion in annual economic output at full buildout.
With demolition now complete, work will continue on infrastructure improvements, roadways, utilities, and stormwater systems before vertical construction begins on the project’s first residential and retail buildings.
