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Chicago Ridge Mall Owner Misses $76M Debt Payment
Another one of Chicago’s malls is in financial peril, as Chicago Ridge Mall is facing new challenges after missing a large debt payment earlier this month.
The owners, a joint venture of Miami-based Starwood Capital Group and Westfield Group, had struck an agreement with a special loan servicer last year to extend the maturity date of the property’s $80 million mortgage, reported Crain’s Chicago Business. Starwood and Westfield’s loan has a remaining balance of $76 million.
The missed payment pushes the 868,000-square-foot mall one step closer to foreclosure or an out-of-court takeover of the property by the loan servicer. The property is one of four area malls owned by Starwood, which has already lost the Louis Joliet Mall in Joliet, Promenade Bolingbrook, and the Arboretum of South Barrington after loan defaults.
The mall was appraised at just $65.7 million last year, down from $129.7 million in 2012, and was 89 percent occupied as of March, according to Crain’s.
