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Ann Arbor mall owner Washington Prime files for Chapter 11 bankruptcy

Ann Arbor mall owner Washington Prime files for Chapter 11 bankruptcy
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Major U S Mall Owner Files For Bankruptcy, Citing COVID-Related Shutdowns

By Bill Galluccio Photo: Getty Images While many of the coronavirus-related emergency measures have been lifted across the country, shopping malls are still struggling despite the increased demand and foot traffic. Washington Prime Group, one of the nation s largest mall owners, filed for chapter 11 bankruptcy, citing the temporary closures and reduction in rent payments from tenants. Washington Prime Group owns over 100 shopping malls across the United States but has amassed nearly $1 billion in debt. The company said that it has secured $100 million in new funding that will allow it to operate without interruption during the bankruptcy proceedings. The company s financial restructuring will enable Washington Prime to right-size its balance sheet and position the company for success going forward, said CEO

Mall owner with more than 100 US properties files for bankruptcy

© Getty Images Washington Prime Group, owner of more than 100 malls in the U.S., filed for bankruptcy on Sunday, citing significant challenges brought on by the COVID-19 pandemic. As CNN reported, the company filed for Chapter 11, calling the move necessary. The mall owner secured more than $100 million in new funding in order to maintain its day-to-day operations and  continue in the ordinary course without interruption. Two other mall owners  CBL Properties and PREIT filed for bankruptcy last year, citing similar issues as Washington Prime Group. ADVERTISEMENT The company s financial restructuring will enable Washington Prime to right size its balance sheet and position the company for success going forward, CEO Lou Conforti reportedly said. During the financial restructuring, we will continue to work toward maximizing the value of our assets and our operating infrastructure.

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