A drone view of the 1.1-million-square-foot Montgomery Mall in Montgomery Township, taken at the early stages of the coronavirus shutdown.
Simon Property Group, the parent company of the Montgomery Mall, could potentially walk away from their 1.1-million-square-foot property in Montgomery Township if a $100 million loan ends in default.
That’s according to Natalie Kostelni at the Philadelphia Business Journal, who noted in her report that the $100 million loan was moved into special servicing in July when it became 30-59 days delinquent. The Commercial Mortgage-Backed Security loan was issued in 2014 by the Royal Bank of Scotland, and is backed by the property located at the intersection of Dekalb and Bethlehem pikes in Montgomery Township, the report states.
Kostelni’s report references recent difficulties for the Montgomery Mall, from the closure of Sears in February to the ongoing struggles of anchor-retailers Macy’s and J.C. Penney. Additional closures in the area include Chili’s on Dekalb Pike in April 2019 and TGI Fridays on the mall’s property in February 2019.
On the other end of the spectrum, Wegmans continues to thrive in their anchor position at the mall.
Should the Simon Property Group allow the loan to default, the issuing bank would take ownership of the property. Efforts by North Penn Now to contact the Simon Property Group have been unsuccessful at this time.
To read the original report, click here.
See also:
Applebee’s in Montgomery Township Has Permanently Closed
Ruby Tuesday In Montgomery Township Has Abruptly, Permanently Closed
Village Tavern in Montgomery Township Has Closed
TGI Fridays in Montgomeryville Has Closed
Chili's in Montgomeryville Has Closed
