Mall at Partridge Creek owner in default on $725 million mortgage
The November default on a balloon payment on a $725 million debt that is also secured by three other malls in Florida, Virgina and North Carolina makes it the latest metro Detroit shopping center to enter into choppy waters with its lender.
Emails sent to a representative of Miami Beach, Fla.-based owner Starwood Capital Partners Inc. have not been responded to since April 23.
Starwood reached an agreement in November 2017 to extend the maturity date by two years, according to Trepp data.
At Partridge Creek, the two largest tenants — Nordstrom (140,000 square feet) and Carson’s (116,250 square feet) — have bailed, with Spirit Halloween taking the Carson’s space now, according to Trepp.
Revenue was $17.7 million last year, down 13.2 percent from $20.4 million in 2018, according to Trepp. NOI has fallen 20.7 percent from $11.1 million to $8.8 million.
Revenue at the four malls combined has plunged the past several years. In 2015, they pulled in about $115.2 million, but by last year, that had fallen to $95.8 million. Net cash flow has likewise fallen from $62.7 million to $48.3 million, according to Trepp. Occupancy overall has fallen from 97 to 81 percent.
Posted By: Crain’s Detroit Business on May 5, 2020. For more information, please click here to read the source article.
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