CHARLESTON, W.Va. — Charleston Mayor Danny Jones confirmed Thursday night reports concerning the Charleston Town Center and a loan made by its operators
The Charleston Gazette-Mail reported Thursday evening the owners are expected to default on a loan when it matures Friday. The mall’s loan was transferred to a special servicing firm for “imminent maturity default.” The balance on the loan is less than $93.1 million.
Jones told MetroNews he has been told the mall will operate under normal circumstances when it opens Friday morning.
“While I’m concerned, I’m not yet worried,” he said. “This could be a strategic move on their part financially, and I will report back when I find out more.”
Jones serves as the host of “580 Live” on MetroNews affiliate WCHS-AM in Charleston.
The mall’s operators, Forest City Enterprises, of Cleveland, announced in May it is looking to sell its 26 percent stake in the shopping center to Australian-based Queensland Investment Corp., who owns 24 percent.
Charleston Town Center Director of Marketing Lisa McCracken said in a statement it will be business as usual at the mall for days to come.
“As Forest City reviews options, we want to assure our guests, center businesses, and the community that Charleston Town Center will continue to operate as it always has, providing Charleston with a first-class shopping, dining and entertainment experience,” she continued.
The mall’s Sears closed in April. Two other anchor stores, J.C. Penney and Macy’s, remain open as each respective corporation makes economic adjustments, including closing stores.