A Massachusetts mall that has been in foreclosure since 2010 was acquired by Vintage Real Estate.
The Mall at Whitney Field is a 700,000 square-foot center located in Leominster, which is 35 miles west of Boston. The mall is anchored by Macy’s, Sears, J.C. Penney, Toys R Us and Old Navy. There are approximately 70 additional retailers and restaurants.
As part of the acquisition, Vintage Real Estate has executed a 10-year lease with Burlington Coat Factory for the 66,000 square-foot area that was previously held by a Circuit City. This mall space has been vacant since Circuit City filed for bankruptcy in five years ago.
Burlington is expected to open in the first quarter of 2014, Vintage Real Estate said in a press release.
“The Mall at Whitney Field remains a dominant retail center in the area,” said Fred Sands, chairman of Vintage Real Estate, a Los Angeles-based company that acquires and redevelops underperforming malls and large shopping centers. “Our ability to immediately fill a large and long-vacant space is a testament to the strength of the market and our leasing and management team that is overseeing the property.”
In 2007, the mall was sold for $82 million which included the assumption of a $74.5 million loan. The lender foreclosed on the mall in November 2010, with a $72.2 million loan balance.
With this transaction, Vintage will oversee operation of the mall including marketing and leasing. The company said it plans on refurbishing the center’s interior with improved lighting, new paint, fixtures and furniture.
Roger Burghdorf, executive vice president of leasing for Vintage Real Estate, said the mall’s average sales per square foot is $355 for nonanchor tenants, which is above the national average.
“The mall has done remarkably well given the circumstances of the economic downturn and its foreclosure,” Burghdorf added. “In addition to substantial anchor tenants the mall has an attractive array of retail and restaurants including Victoria’s Secret, Bath & Body Works, Justice, Payless Shoes and Panera Bread and we are working with numerous retailers to fill some open space.”
