Tanger's Big Bet: How Burgers and 'Experiences' Are Redefining Outlets

FOLEY, AL – August 11, 2026 – A major renovation is underway at Tanger Outlets Foley, but the real story isn't the new paint or modernized exteriors. It’s the strategic demolition of an outdated retail model. By securing Shake Shack as the anchor for a reimagined food and entertainment hub, Tanger Inc. is making a high-stakes bet that the future of its shopping centers lies not in the discount rack, but in the dining-patio-as-destination. This isn't just a local upgrade; it's a flashing red flag for any investor still clinging to the belief that retail is only about transactions.

The New Blueprint for Retail Survival

For years, the outlet model was simple: offer brand names at a discount in a no-frills environment. That era is definitively over. Tanger's move in Foley is the latest and most concrete evidence of a company-wide pivot toward what the industry calls “experiential retail.” The REIT is systematically transforming its properties from pure shopping venues into multi-purpose “lifestyle destinations.”

“Across our portfolio, we have been very intentional about introducing fresh, elevated food, beverage, and entertainment concepts that create an immersive, repeat-visit environment for our guests,” said Justin Stein, Executive Vice President and Chief Revenue Officer at Tanger. This statement isn't just corporate speak; it's the core of a survival strategy. In an age where any product is a click away, physical retail must offer what e-commerce cannot: a compelling reason to get in the car and stay for hours.

The goal is to increase “dwell time.” The longer a visitor stays, the more likely they are to spend—not just on a burger, but in the surrounding stores. The Foley renovation dedicates 20,000 square feet to this principle, planning for up to eight dining concepts surrounded by walkable dining zones and integrated gathering spaces. This isn't a food court; it's a curated culinary district designed to make the center a day-to-night social hub. This strategy aligns perfectly with projections for the outlet shopping market, which is expected to balloon to nearly $129 billion by 2034, driven by a new generation of consumers who prioritize experiences over mere possessions.

A Southern Gateway for a Burger Empire

The choice of Shake Shack as the inaugural tenant is a masterstroke of branding and market analysis. Known for its “elevated” take on American classics, the fast-casual giant has been pursuing an aggressive growth strategy, aiming to expand far beyond its Northeast origins. The new Foley location will be the brand’s first in the greater Gulf South market, a significant milestone.

“We’re thrilled to welcome Shake Shack to Tanger Foley, initiating a new, experience-focused approach to dining at this center,” noted Hugo Gilbert, Tanger's Senior Director of Leasing for Restaurants and Entertainment. This partnership is mutually beneficial. Shake Shack gains a strategic foothold in a high-growth, tourist-heavy region without the risk of a standalone build. Tanger, in turn, gets an anchor tenant with immense brand recognition and a cult following that can draw a younger, more diverse demographic.

Shake Shack's site selection is notoriously data-driven, targeting high-traffic areas and proven retail locations, particularly in suburban and tourist markets. Their commitment to Tanger Foley is a powerful endorsement of the location's potential and the broader economic vitality of the region. It signals that Foley is not just a stop on the way to the beach, but a destination market in its own right, capable of supporting premium, in-demand brands.

The Baldwin County Boom

This renovation is about more than just Tanger's bottom line; it's a significant investment in the economic engine of Baldwin County. Already Alabama’s top tourist destination, the county has seen its population explode by over 50% since 2010. Foley has carved out a niche as a sports tourism capital, drawing tens of thousands of visitors monthly.

The revamped Tanger center, with its planned green spaces, splash pad, and inviting lounge areas, is designed to capture and cater to this influx. It's a move to transform the outlet center into an essential part of the Baldwin County tourism experience. Foley Mayor Ralph Hellmich praised the project, calling it an “exciting announcement” and appreciating Tanger’s confidence and investment in the community.

The economic ripple effects will be substantial, starting with construction jobs and expanding to permanent positions within the new restaurants and retail spaces. The enhanced destination appeal aims to increase visitor spending across the board. However, the introduction of up to eight new dining concepts, led by a powerhouse like Shake Shack, will undoubtedly intensify competition for local restaurants. The success story for the region will depend on whether the rising tide of increased foot traffic and tourism lifts all boats.

Bricks, Mortar, and a Master Plan

The physical transformation of the 500,000-square-foot center is extensive. Construction, which began earlier this year, is a phased project with a targeted completion of Fall 2027. Crucially, all retailers are slated to remain open throughout the process, a logistical challenge that underscores Tanger's commitment to minimizing disruption for its existing tenants.

The plan goes far beyond a simple facelift. It involves creating walkable breezeways, a new central green space with a shaded pavilion, an enhanced splash pad, and contemporary lighting and signage to reflect the coastal character of the region. A new roadway is even being added to improve vehicle access and parking. These are not cosmetic changes; they are fundamental infrastructural upgrades designed to improve flow, comfort, and the overall guest experience.

As Shake Shack prepares to break ground, Tanger is actively seeking other “distinctive, experience-driven concepts” to fill out its new dining roster. The success of this curation will be the ultimate test of Tanger's strategy. The message from Foley is clear: the most valuable commodity in retail is no longer the product on the shelf, but the experience you build around it.