≡ Menu

Westfield giving up S.F. mall in wake of Nordstrom closure, plunging sales and foot traffic

Westfield is giving up its namesake San Francisco mall in the wake of Nordstrom’s planned closure, surrendering the city’s biggest shopping center to its lender after foot traffic and sales plunged during the pandemic.

The company stopped making payments on a $558 million loan, and Westfield and its partner, Brookfield Properties, started the process of transferring control of the mall at 865 Market St. this month.

“For more than 20 years, Westfield has proudly and successfully operated San Francisco Centre, investing significantly over that time in the vitality of the property. Given the challenging operating conditions in downtown San Francisco, which have led to declines in sales, occupancy and foot traffic, we have made the difficult decision to begin the process to transfer management of the shopping center to our lender to allow them to appoint a receiver to operate the property going forward,” the company said.

Nordstrom, which occupies 312,000 square feet in the mall, is closing in August after 35 years when its lease expires. The mall — which includes 1.2 million square feet of retail space and 300,000 square feet of offices — will be only 55% leased after Nordstrom’s departure, far below other U.S. Westfield malls that are, on average, 93% leased.

https://www.sfchronicle.com/bayarea/article/westfield-giving-san-francisco-mall-18148102.php

Copyright © 2009-2024 Interconnected Business Services, LLC.