Coworking operator 1776 is adding to its network of locations and will expand to the Cherry Hill Mall.

It will occupy 11,000 square feet in the 1.3-million-square-foot retail center, which is owned by Pennsylvania Real Estate Investment Trust (NYSE: PEI). Though this is a first for both PREIT and 1776, mall owners across the country are increasingly incorporating coworking into their properties as they reposition their retail holdings and fill vacancies.

Westfield Corp. was among the pioneers on this front. The mall operator established Bespoke in 2015 in 37,000 square feet at its Westfield San Francisco Centre. Bespoke encompassed three areas: coworking in 14,000 square feet; 18,000 square feet of event space that can accommodate 30 to 1,200 people; and a demonstration area where tech firms and retailers can debut new products and conduct market research. Bespoke was credited with attracting more than 100,000 additional visitors to the mall in its first year of operation, according to Westfield.

In addition to adding foot traffic to its properties, mall owners find the addition of coworking fills vacant store space and helps to create a more of a community at a retail center. For coworking operators, a mall provides a slew of amenities from dining, fitness, entertainment, and of course, shopping. And a retail center’s location is typically well known and easily accessible, and offers ample parking.

“This is right for everybody,” said Joe Coradino, CEO of PREIT. “It’s right for the mall, it’s right for 1776, which is more than coworking but business incubation. We kind of do that on a much smaller scale and in a different way.”

For example, PREIT may test a new retail concept with a cart operator, which could grow into a kiosk or pop-up and later into store space.

“There’s really great synergy between what they are doing and who we want to bring to the mall,” Coradino said.

For 1776, incubating fledgling companies has become a bigger part of its business. As it shifts more focus on that area, it wants to delve deep into specific sectors and retail is one of those areas, said Jennifer Maher, co-CEO of 1776. The firm sees a lot of product-based companies incubating at its 1776 locations and a space in the mall will give them exposure to consumer foot traffic and access to a retail environment that they would not otherwise have, Maher said.

The set up at the Cherry Hill Mall seeks to have the right mix of space dedicated to coworking and incubation. “We will have traditional workspaces, desks and conference rooms,” Maher said, “but there will be a large piece that will showcase products and layer on incubation services and have experts come in to provide information on marketing and manufacturing.”

As the make up of mall tenants has changed in recent years, PREIT anticipates it will look to incorporate coworking in other properties including at Fashion District Philadelphia.

“We think there are opportunities,” Coradino said. “Our business has really changed dramatically. Malls used to be a place to buy jeans and tops and it’s become a place to dine, be entertained and shop for apparel. You think about what is next and what we think is important is the whole incubation concept and that is where we can grow businesses.”

This will be 1776’s first location in New Jersey and it is expected to open this November.