CBL, shopping center operator, files for bankruptcy protection
Shopping center operator CBL & Associates Properties (CBL) – Get the report from CBL & Associates Properties, Inc. has filed for Chapter 11 bankruptcy protection, becoming the latest mall operator seeking to restructure its operations as the Covid-19 pandemic slams the physical retail sector.
CBL filed for bankruptcy protection in the U.S. Bankruptcy Court for the Southern District of Texas on Sunday. The Chattanooga, Tennessee-based real estate investment trust listed both assets and liabilities estimated at between $1 billion and $10 billion.
CBL announced in August that it had reached a restructuring agreement with a group of its bondholders to allow it to consolidate on its debts and strengthen its balance sheet amid the pandemic, which closed shopping centers altogether for a large period. part of the spring and continued to prevent shoppers from physically entering enclosed spaces to shop.
However, CBL and other mall operators have continued to struggle as retailers who pre-pandemic relied on shoppers flocking to malls to buy apparel, accessories and other goods have even closed their doors.
JC Penney, one of CBL’s largest tenants, filed for Chapter 11 protection earlier this year. Other well-known brands that have stores in CBL malls include Victoria’s Secret and Bath & Body Works, both owned by L Brands. (KG) – Get the report from L Brands, Inc.as well as Signet Jewelers (GIS) – Get the Signet Jewelers Limited Report and Foot Locker (Florida) – Get the report from Foot Locker, Inc..
CBL is structured as a real estate investment trust that invests in shopping centers, primarily in the Southeast and Midwest United States. CBL shares were trading at 15 cents on Monday. The stock has fallen 55% since the end of March.