Park Plaza Mall in Little Rock can be put up for public sale on the steps of the Pulaski County Courthouse at midday on Oct. 28. The way forward for the mall, which has been a purchasing vacation spot for greater than half a century, is unsure.
Arkansas Enterprise studies it’s the fruits of economic challenges for the mall’s proprietor.
Usually, the proprietor of the judgment doesn’t wish to take title to the property in its title. As a substitute it creates a brand new entity, often a particular goal one that’s produced solely for the aim of proudly owning the property.
The sale for the 404,617-SF mall at 6000 W. Markham St. and a vacant car parking zone is to fulfill an $86.2 million judgment awarded to Deutsche Financial institution Belief Co. Americas in opposition to Park Plaza Mall CMBS LLC of Chattanooga, Tennessee.
In March, the financial institution, performing as trustee for Registered Holders of Wells Fargo Industrial Mortgage Securities, filed the foreclosures swimsuit in Pulaski County Circuit Court docket, saying the mall defaulted on a mortgage after lacking a cost final yr.
The lawsuit is tied to a mortgage of $99.4 million initially made to Park Plaza’s proprietor, CBL Properties of Chattanooga, Tennessee, by Wells Fargo in 2011. The mortgage is secured by the mall and its 240,843-SF parking deck.
In courtroom papers, the financial institution stated that as of July 1 it’s owed $86.2 million plus courtroom prices and attorneys’ charges. The order for the foreclosures was entered on Sept. 13 and Park Plaza had 10 days to pay the judgment.
You may hear an interview with Arkansas Enterprise Editor Lance Turner above.