Store closures are evident through the colorful window covers seen throughout Charlottesville Fashion Square mall.
Charlottesville Fashion Square mall will be auctioned off next week following the bankruptcy of its owner, the Washington Prime Group Inc.
In June, the company filed for Chapter 11 bankruptcy following reports earlier this year that it was preparing a potential bankruptcy filing after it skipped an interest payment on its debt.
The company owns stakes in 102 properties, but Fashion Square in Albemarle County is one of five properties Washington Prime Group no longer operates, as it’s in receivership.
According to a notice of sale, the auction will occur at 1 p.m. July 16 at the Albemarle County Circuit Courthouse.
In late 2019, the mortgage loan secured by Fashion Square was transferred to special servicing because, due to the loss of certain tenants, “the borrower notified the lender that future projected cash flows will be insufficient to ensure future compliance with the mortgage loan,” Washington Prime Group said in its most recent quarterly report.
The Woodmont Co. is now managing and leasing the property, which has lost stores, including J. Crew, American Eagle and Zales, over the last year, and many others in previous years.
