WILMINGTON — The owners of Mayfaire in Wilmington plan to file for Chapter 11 bankruptcy after months of devastating revenues during the Covid-19 pandemic.
The owners were in financial trouble even before the coronavirus crisis, with the nationwide fall of in-person retail and inability to refill empty space.
CBL Properties announced it had entered into a restructuring agreement with its creditors which will wipe out $900 million in debt and $600 million in obligations. The Chattanooga, Tennessee-based company purchased Mayfaire from BrodyCo. Inc. and Zimmer Development in 2015 for $192 million.
The company owns more than 100 malls or strip centers across 26 states. On Tuesday, the company reported a net loss of $81 million during the second quarter compared to a loss of $35 million over the second quarter of 2019.
At least four stores recently closed permanently in the Wilmington shopping center, with many undergoing their own bankruptcy filings, according to the Greater Wilmington Business Journal.
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