After Simon Gives Up On Malls, Values Slashed Up To 88% bisnow.com - get the latest breaking news, showbiz & celebrity photos, sport news & rumours, viral videos and top stories from bisnow.com Daily Mail and Mail on Sunday newspapers.
Wikimedia Commons/John Phelan The Square One Mall in Saugus, Massachusetts.
Last week, Simon relinquished its ownership of an Atlanta mall in a foreclosure auction that saw no bids. In November, the REIT ceded control of at least four other mall properties it controlled. This week, according to Fitch Ratings, the mall operator is over 60 days delinquent on an $85.6M loan backing a Boston-area mall for the second time in four months.
The news comes after a dim earnings report Monday, in which Simon reported a $1B drop in revenue and income from 2019 to 2020. In the company’s earnings call Monday evening, Chairman and CEO David Simon acknowledged that it will work with lenders who are open to taking over some of the REIT’s underperforming malls.