Hunter
06/15/21
The owner of Lindale Mall and many other properties of its kind across the country has filed for bankruptcy protection.
The Cedar Rapids Gazette reports that Washington Prime Group has filed a Chapter 11 petition so that they can reorganize, shed some of its nearly $3.5 billion in debt, and continue operations uninterrupted.
Malls took a financial beating in 2020 with the coronavirus closing or severely restricting access to their stores. As a result, rent revenue for the owners dropped drastically, with some stores in the malls closing altogether.
As part of Sunday’s filing in Texas, Washington Prime also got a bankruptcy loan of up to $100 million to fund operations.
The paper reports that Lindale Mall has held its own, with over 80 percent of storefronts accessible from inside the property occupied. 13 of the 16 outlier buildings are also occupied. The biggest unoccupied spaces are the former Younkers and Sears stores. An undisclosed retailer had signed a letter of intent to move into the Younkers space two years ago but no one’s moved in yet.