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Washington Prime bankruptcy judge warns of value uncertainty as pandemic wanes

Equity holders preview valuation challenge Judge OKs bankruptcy loan The company and law firm names shown above are generated automatically based on the text of the article. We are improving this feature as we continue to test and develop in beta. We welcome feedback, which you can provide using the feedback tab on the right of the page. (Reuters) - The judge overseeing Washington Prime Group Inc’s bankruptcy said on Monday that evaluating the mall operator’s assets will be difficult as the lasting effects of the COVID-19 pandemic on real estate remain unclear – an issue that has quickly become central to the mall operator’s Chapter 11 case.

Major U S Mall Owner Files For Bankruptcy, Citing COVID-Related Shutdowns

By Bill Galluccio Photo: Getty Images While many of the coronavirus-related emergency measures have been lifted across the country, shopping malls are still struggling despite the increased demand and foot traffic. Washington Prime Group, one of the nation s largest mall owners, filed for chapter 11 bankruptcy, citing the temporary closures and reduction in rent payments from tenants. Washington Prime Group owns over 100 shopping malls across the United States but has amassed nearly $1 billion in debt. The company said that it has secured $100 million in new funding that will allow it to operate without interruption during the bankruptcy proceedings. The company s financial restructuring will enable Washington Prime to right-size its balance sheet and position the company for success going forward, said CEO

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