Ashland mall owners file for bankruptcy
ASHLAND, Ky. (AP) — An Ohio company that operates dozens of U.S. shopping and strip malls, including The Ashland Town Center, has filed for federal bankruptcy protection, citing a drop in foot traffic at its properties during the coronavirus pandemic, according to court records.
Washington Prime Group of Columbus, filed a petition for Chapter 11 protection earlier this month in federal bankruptcy court in Texas. In Chapter 11 bankruptcy, the company remains in control of its business while under supervision of a court.
Despite adjusting its business plan as consumer preferences changed amid states’ stay-at-home orders, “the COVID-19 pandemic proved insurmountable,” Executive Vice President Mark Yale said in the filing.
The company has entered into a restructuring agreement with creditors, led by SVPGlobal, that includes $100 million in new financing. The company said in a statement that business at its properties will continue uninterrupted.
The company also owns the Lima Mall, the Dayton Mall, The Mall at Fairfield Commons in Beavercreek, and Polaris Fashion Place in Columbus.