Stonecrest Mayor Jason Lary addresses mall’s impending foreclosure

jason lary bust

 

By Adrion Bell

City of Stonecrest Communications Director

 

A recent news story has Stonecrest residents wondering about the city’s retail future. The Mall at Stonecrest is facing an imminent threat of foreclosure according to a recent Bisnow article. The article states that the mall has been delinquent and in special servicing since 2013 and has been in and out of delinquency in 2019.  The article also states that the mall could go into foreclosure in February.

Stonecrest’s major shopping hub is not alone in facing financial hardships. According to a recent Wall Street Journalarticle, malls across the country have been suffering great financial losses for years. Simon Property Group, the largest shopping mall operator in the U.S. and the owner of Atlanta’s Lenox Square Mall, defaulted on a $45 million loan secured by Greendale Mall in Worcester, Massachusetts.  Greendale Mall went into foreclosure in 2016 but remains open today. A few years ago, CBL & Associates trimmed its portfolio and unloaded 14 malls by selling eight and giving six back to lenders.

Understandably, questions arise about malls when its mortgages are given back to the lenders. Research reveals that most malls don’t close after foreclosure and consumers often continue shopping without knowledge of any financial strain. The anchors stores, such as Macy’s and Dillard’s, own their properties and are not subject to the mall’s financial plights. These anchors stores tend to continue to advertise and draw customers.

Mayor Jason Lary released this statement regarding the mall’s future:

“We are aware of the struggles experienced by malls nationwide as consumers are shifting more toward online shopping.  However, we are strategically planning viable economic development around the mall that will thrive and will help the mall thrive.  The city has a financial investment in the Sears building, so this is a personal strategy for me.  I can’t speak definitively for private corporations, such as Urban Retailers, the mall’s owner, but I don’t foresee this as being a situation in which the mall will suddenly close.  If the mall goes into foreclosure, then investors will still be able to purchase it at a price agreed upon by the lender.

Our economic development plan, which will be completed soon, combined with the plans of Allen Family Investments LLC, owners of most of the vacant land adjacent to the mall, will add to the city’s residential and commercial density.  So, in short, we haveplans in place that will keep The Mall at Stonecrest from falling to the condition of other unsuccessful area malls.”

 

 

2 comments

  • Joe

    January 31, 2020 at 1:39 am

    We need to pray for our Stone Crest city.Lord help us.

    Reply

  • S

    January 31, 2020 at 9:28 pm

    This is frustrating to say the least but it didn’t surprise me.Malls aren’t what they used to be. Just like it said on here,between online shopping,consignment shops and outlets malls,they’re hurting inside malls.It’ s like when you try to get up,something is around the corner to kick you down.

    Supposedly,the so called Atlanta Sports City was going to be built but it turned out to be a dud ( I didn’t believe it from the get go) and then some retail/ grocery stores closed. A Lidl store was considered on Covington/ Panola Rd area but I’m now wondering if that is the one that is going to be built on Memorial Drive? Whatever the answer is to that question,it has to be disappointing that all of this happened and is still happening.

    In spite of it,I’m going to try to remain optimistic about the whole thing.

    Reply

Leave a Reply

Your email address will not be published. Required fields are marked *


About us

On Common Ground News is published daily by On Common Ground, Inc (OCGNEWS.COM). The newspaper serves DeKalb, Gwinnett, Rockdale and Metro Atlanta.

The opinions expressed by writers and contributors are not necessarily those of the publisher or the newspaper’s advertisers.

No portion of this newspaper may be reproduced in any form without the written permission of the publisher.

We reserve the right to reject material and advertisements we deem inappropriate.


On Common Ground News
P.O. Box 904
Lithonia, GA 30058


(770) 679-5607

editor@ocgnews.com


Latest News


By submitting this form, you are consenting to receive marketing emails from: On Common Ground News, 1240 Sigman Road, Conyers, GA, 30012, https://www.ocgnews.com. You can revoke your consent to receive emails at any time by using the SafeUnsubscribe® link, found at the bottom of every email. Emails are serviced by Constant Contact