Didn't this mall recently add two major tenants (Dicks and H&M)? And isn't is nearly fully leased? I mean typically malls see a several years of vacancy issues and what not before they start to fail. I think the press needs to be careful or they could start to scare people away and actually cause a problem that doesn't really exist today. It sounds like Simon just doesn't want to pay the debt service for this mall anymore and it has little to do with how the mall is actually doing.
Dicks took over part of Sears, and the mall doesn't have a website at the moment since Simon is officially dumping it, but it hasn't been fully leased for years. Town Center Plaza is the only mall in KC that has come close to that since before the recession. Up until recently, Oak Park was only populated by vacant spots for chains that no longer exist like Wet Seal, The Limited, Radio Shack, and The Foundry. Independence Center and Zona Rosa had been losing tenants still in the metro.
flyingember wrote:The real question is was this loan made before the new shopping centers around it opened?
There's easily 3x as much retail in that part of town as there was in 2000 and Independence didn't exactly grow at the same time.
and Noland Road continues to empty, Toys R Us is next
Noland Road was sadly tied to the health of Blue Ridge Mall just like how the strip malls around 95th and Metcalf were tied to Metcalf South and the half dead centers across from Metro North were to Metro North (MD Management owned all of the big box centers up there until fairly recently). All three areas started to lose their tenants to new locations near IC, OPM, and ZR starting in the early 2000's. Red Lobster and Olive Garden were the strange holdouts in all locations, which is strange because they bailed on Bannister ASAP. Digging though the Corbin Park thread, several restaurants and big box stores had been committed to jumping from 119th to 135th back when the project was still going to be a hybrid enclosed-outdoor mall anchored by Dillard's and an unnamed upscale department store.