Yes, why wouldn't Vito have the mall driveway paved? Maybe it facilitated his hearing any car driving up.
I maybe mistaken with this, but I seem to remember reading somewhere that the Corleone mall was fabricated from detached homes for the film. I am guessing here, but to give the appearance of the mall being its own separate entity, they put down gravel, as it could be easily removed when shooting was done. I believe the wall was also artificial.