Exciting news is brewing at Philadelphia Mills mall as talks of a potential change in ownership are underway. The renowned Simon Property Group is rumored to be in discussions to hand over the shopping complex to its debtholders.
The Philadelphia Business Journal reported that Simon is looking to surrender the Northeast Philly mall, nestled at 1455 Franklin Mills Circle, to trusts that are currently holding a $290 million loan on the property, which had an imminent due date in June.
MORE: Seniors recently protested outside a Center City Wells Fargo branch due to their investment in fossil fuels.
In 2023, the net operating income of Philadelphia Mills took a dip to a mere $10.6 million – marking its lowest point during Simon’s ownership. With a lingering balance of $258.5 million, Simon has remained mum on the subject, refusing to comment.
City assessments have valued the mall at $101.3 million this year, a substantial drop from the $370 million appraisal in 2007 after Simon’s acquisition of the property.
Formerly known as Franklin Mills until a 2014 renovation, Philadelphia Mills stands as the state’s second-largest mall, trailing only behind the legendary King of Prussia Mall in Montgomery County, which interestingly falls under Simon’s ownership as well.
Philadelphia Mills boasts a range of popular stores including Burlington, Marshalls, Walmart, AMC Theatres, and Dave & Buster’s. Recent reports from the Philadelphia Business Journal revealed that several retailers within the mall, such as Off Broadway Shoe Warehouse, the Children’s Place, and American Eagle Outfitters, have committed to lease renewals.
Music enthusiasts bid farewell to Sam Ash as the music store recently shuttered its King of Prussia and Philadelphia Mills locations amid a company-wide restructuring. Furthermore, Philadelphia Mills is home to Reclectic, a treasure trove of discounted items from URBN brands like Anthropologie and Urban Outfitters. URBN’s response to inquiries regarding the impact of a change in ownership on their store remains pending.