Cape May Trading Post at Dellas
For nearly a century, Dellas has been a staple of Cape May’s Washington Street Mall, a place where generations of families have stopped for everything from beach essentials to nostalgic keepsakes. Now, under the ownership of retail powerhouse Karen Thompson, Dellas has been reimagined as the Cape May Trading Post at Dellas, blending its historic charm with fresh energy and an expanded selection of products. While change can be met with skepticism in a town that cherishes its history, Thompson’s approach has been one of careful stewardship—enhancing the legacy of Dellas while ensuring it remains a beloved community destination.
A Retail Visionary Comes to Cape May
Karen Thompson is no stranger to the world of retail. Thompson worked in retail at Macy’s and Bamberger’s before a $7000 loan from her father-in-law enabled her to follow her dream and make the leap into retail ownership. She began that journey in 1988 when she opened a lingerie and pajama boutique in Peddler’s Village, Bucks County. What started as a single shop quickly grew into a thriving business. “I started a lingerie pajama company 37 years ago…And soon after that became successful, I decided to branch out,” Thompson recalls. A visit to Cape May during Oktoberfest in the late 80s sparked her love for the town. “I thought, what a great town this is,” she says.
Today, she operates 24 stores across Pennsylvania, New Jersey, Delaware, and Maryland, including five locations on Washington Street Mall alone. Her company, LSL Brands, encompasses several well-known retail names, including Lace Silhouettes Lingerie, Fox & Holly, Village Outfitters, and Cotton Company. Despite her business success, Thompson remains hands-on and deeply engaged in her stores. “I have a wonderful staff that helps me manage all of this, and they’re my driving force as I open more stores,” she says.
Preserving a Piece of Cape May History
Dellas was founded in 1934 and has long been a cornerstone of Cape May’s retail scene. Over the decades, it evolved from a general store selling household necessities—including mattresses and stoves—to a must-visit spot for souvenirs, coastal apparel, and unique gifts. With such a deep-rooted history, taking over a business like Dellas required a delicate balance of modernization and preservation.
Thompson understands the significance of maintaining the spirit of a legacy business. “Everyone was so happy that we didn’t change it too much,” she says. “We maintained the counter in the back of the store—the ice cream and soda fountain counter—and did a lot of cleanup, painting, freshened up fixtures, redid displays, brought in new technology.”
But while the store has been updated, its soul remains intact. One of Thompson’s most meaningful touches was incorporating materials from the original owners. “When I was working with Kim Dellas in developing this, I said, ‘Do you have anything of your family?’ She let me go into her attic, and I found this beautiful coastal wood. Her father had planned to build shelves with them. So, we used that wood to create a stunning mariner-themed wall in the store.”
A New Era: The Cape May Trading Post at Dellas
Under Thompson’s leadership, Dellas has been rebranded as the Cape May Trading Post at Dellas, offering an expanded range of products while maintaining the variety that made it a favorite among locals and tourists alike. “They’ve always carried t-shirts, but now we’re bringing in Life is Good, Eagles t-shirt lines, Cape May Brewery t-shirts—expanding on what was already there,” Thompson explains.
Beyond apparel, the shop is transforming into a bit of an experience, with something for everyone. “We want to be the little mini department store of Cape May,” Thompson says. “People love lots of little tchotchkes, but they also want to be entertained through products. We’ve got everything from a crazy back scratcher to puzzles, toys, beach chairs, towels, books for children—there’s really something for everyone.”
And everyone, truly, is welcome. “That’s what I love about this store,” Thompson says. “It doesn’t matter who you are—whether you’re a grandparent, a parent, a teenager, or a child—everyone comes in. That’s what makes it so much fun.”
A Fast-Paced Transformation
The transition from Dellas to the Cape May Trading Post at Dellas happened remarkably fast. “We signed the lease, renovated the building, and opened it in 45 days,” Thompson recalls. The grand reopening took place on Memorial Day weekend 2024, marking a new chapter in the store’s history.
Such a rapid turnaround speaks to Thompson’s deep experience in retail and her ability to execute her vision efficiently. Having opened and closed more than 35 locations throughout her career, she understands the fine line between passion and profitability. “I’ve loved every place we’ve been,” she says. “But there’s a fine line between running a company and doing it passionately because you want a place to go and be busy. I have a lot of different layers of profit that I have to look into when I decide to maintain a business for 30 or 40 years.”
More Than a Store: A Community Hub
While Dellas has always been a gathering place, Thompson sees its future as even more integrated into the Cape May community. “We’re leaning into being a community-based retailer,” she says. That means new experiences and events, like an Easter Bunny visit and a Santa Claus event during the holiday season.
The café in the back, which has been a staple for decades, is also evolving. While it currently serves ice cream sodas, floats, coffee, and smoothies, Thompson has plans to expand. “This year, we’re probably adding some sandwiches and light snacks,” she notes.
A Deep Connection to Cape May
Despite running a regional retail empire, Thompson has a special place in her heart for Cape May. “Cape May is different from other beach towns,” she explains. “People come here to roll back time, to relax, to disconnect. The Washington Street Mall feels like a scene out of a Hallmark movie. It’s beautiful, welcoming, and full of great shopping and hospitality.”
The local community’s support has been instrumental in the success of her businesses in Cape May. “The local buzz of the town is really unique,” Thompson says. “When we reopened Dellas, people were hitting Facebook like crazy saying how great it was and my marketing team was like, ‘Oh my gosh, we’re getting such great reviews.’ I would say the local buzz of the town makes it the strongest community I’ve resided in.”
A Future Rooted in Tradition
With the Cape May Trading Post at Dellas thriving, Thompson is already thinking about the future. While she won’t reveal all the details just yet, she hints at more departments and new product categories. “We had a really successful first year, and we have some fun surprises coming,” she says.
Her goal is simple but ambitious: to create a space that feels like home for visitors and locals alike. “We want it to be inviting,” Thompson says. “I see this as the largest hospitality booth in Cape May. It’s the largest store. It has something in there that everyone needs, and we love that we’re lucky enough to carry this on.”
For a store that has been part of Cape May for nearly a century, this new chapter under Thompson’s leadership ensures that Dellas’ legacy will continue for generations to come. The Cape May Trading Post at Dellas isn’t just a store—it’s an experience, a gathering place, and a tribute to the town’s rich history. And with Thompson at the helm, its future looks brighter than ever.
