Northlake Mall could soon be up for sale
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Northlake Mall. Photo: Katie Peralta Soloff/Axios
Northlake Mall could soon be for sale, CBJ first reported.
Why it matters: A sale would mark the latest chapter in the troubled history of the north Charlotte mall that's been losing tenants in recent years.
Flashback: Northlake opened in 2005, making it much newer than other well-established malls like SouthPark (1970) and Carolina Place (1991).
- The north Charlotte area around Northlake "seemed prime for residential growth" when the mall opened, as the Mecklenburg Times reported in 2013.
- "Northlake marks the retail coming of age of one of the fastest-growing parts of the county," the Observer wrote when the mall opened. "Northlake will change the way people shop, and change the way its area grows."
- But a few years later, the Great Recession slowed the development of homes and apartments nearby.
- The mall "didn't have time to solidify its tenant mix before the economy tanked," the paper wrote, quoting Andy Misiaveg, a partner in the Charlotte office of the Atlanta-based Shopping Center Group.
- In 2014, mall owner Taubman Center sold the property to Starwood Capital investment firm for $248 million, the Observer reported.
Between the lines: The pandemic dealt a significant blow to enclosed malls like Northlake, slowing foot traffic amid shutdowns.
- In recent years, departing tenants include American Eagle, White House Black Market, Chico's, Soma and Express, CBJ noted.
- Last year, Apple, a major tenant, abruptly closed at Northlake after the mall's third shooting in 75 days, the Observer reported.
The latest: Northlake's special servicer, Wells Fargo, and its receiver, Spinoso Real Estate Group, are working to list and sell the mall, CBJ reported, citing CMBS loan data.
- This comes after Starwood Capital Group went into default in 2017, when it missed the mortgage payoff deadline on its $646.6 million loan, per CBJ.
- Spinoso Real Estate Group now runs the mall's day-to-day operations. The group did not respond to Axios' request for comment.