Boulevard Mall Defaults on Loan – Foreclosure Could Be Next

Boulevard Mall, Western New York's oldest mall, could be headed for sale after its owners defaulted on a loan payment that was due last week.  Cleveland-based Forest City failed to make a balloon payment on the $92-million loan because the amount of the loan is more than the value of the property. So what's next?  Either the lender could begin foreclosure proceedings or attempt to negotiate a payment plan.  Hard to say which way it'll go. Boulevard Mall has undergone some changes in the past few years with the closing of its food court and replaced by Dick's Sporting Goods.

Sears, one of its long-time anchor stores is closing in mid-April. But still the mall is generating money and at least for the tenants it's still profitable. Forest City has had the Boulevard Mall up for sale since last summer, but there've been no takers.