Battered Northlake Mall Sells for $39M

Northlake Mall opened in 1971, and like most malls from that era, few are still open as designed. Online shopping and COVID have forced most to reinvent themselves. And few have been hit as hard as Northlake. The Charlotte Business Journal reports the mall is expected to sell for only $39 million; that’s $200 million less than it was purchased for just over 10 years ago. Starwood Capital Group acquired Northlake in 2014 for $248 million. Starwood has been in default since 2017 when it missed the mortgage payoff deadline on its $646.6 million loan. The mall has since gone into receivership.

The mall’s receiver, Spinoso Real Estate Group, recently entered into a purchase and sale agreement for the 1.06 million-square-foot, two-story mall at 6801 Northlake Mall Drive in north Charlotte. Hull Property Group and Racine Mall are the buyers. Hull Property Group’s portfolio includes malls in 16 states.

Hull would own the property itself, structures, improvements, permits, easements, roads, and leases. Anchor tenants include Macy’s, Belk, Dillards and AMC Theatres. As part of the sale, it could keep the Northlake name.