(For more retail coverage, click GlobeSt.com/RETAIL.)
OKLAHOMA CITY-The Macerich Co. has used the 1.1-million-sf Crossroads Mall to obtain $61.2 million for its coffer. According to SEC filings, the majority of the fresh capital for the former debt-free property was applied to its floating-rate debt load.
The 10-year loan has a 6.62% fixed-rate interest. Macerich bought the 83.7-acre enclosed mall in 1994, steadily making upgrades, but keeping it debt free along the way until now. The refinance, though, will lay to rest last year's market speculation that the mall was up for sale.
Mark McGovern, director for CBRE/Melody in San Diego tells GlobeSt.com that the loan went through in 45 days. The New York City-based Bear Stearns & Co. Inc. is the lender.
McGovern can't say too much about the deal, but did say there are some undeveloped pad areas that could be put into play for the Santa Monica, CA-based Macerich to expand its only holding in Oklahoma. In 2004, Macerich carved out some outparcels to add a 16-screen Regal Cinema.
The 125-store Crossroads Mall sits along Interstate 35 at the Interstate 240 junction, a regional location with drawing power from the entire southern part of the state.
Macerich's website says small store sales average $272 per sf. And, it's pointed out that specialty shop sales are definitely on the rise. The mall holds the state's only Steve & Barry's, which backfilled a Montgomery Ward's slot about two years ago. The national roster includes American Eagle Outfitters, Bath & Body, Finish Line, Victoria's Secret and anchors JCPenney, Foley's and Dillard's.
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