Yahoo Finance Going-out-of-business sale begins at another national retail store at Northlake Mall
Another national chain store is closing at financially struggling Northlake Mall.
But this time, it’s the store with the money problems. Express Inc., the men’s and women’s apparel retailer filed for Chapter 11 bankruptcy protection in Delaware federal court on Monday.
Among its 95 store-brand closings announced this week is the one at Northlake in north Charlotte. The closing sales began Wednesday, Express said in a news release. It’s unclear when the store will close.
SEIZING AN OPPORTUNITY: Small, Black-owned businesses fill Northlake Mall vacancies
It’s another loss for Northlake Mall, which has been financially struggling over the past three years falling into receivership for failing to pay its debts as it prepares for a potential sale. The mall has lost several national chains including Apple, which closed abruptly last spring after three shootings in three months at the mall.
Express also has a store in SouthPark mall and Express Factory Outlet store at Charlotte Premium Outlets and Concord Mills. None of those stores are on the recent closing list in court documents. All three malls are owned by Simon.
Nationwide store closings
The nationwide Express brand store closings are part of the process for a potential sale led by WHP Global, which includes subsidiary Simon Property Group and Brookfield Properties, the Columbus, Ohio-based retailer said Monday in a news release on the company’s website.
“We are taking an important step that will strengthen our financial position and enable Express to continue advancing our business initiatives,” Express CEO Stewart Glendinning said in the statement.
The company this month received $35 million in new financing from “certain of its existing lenders” and $49 million in cash from the IRS related to the CARES Act, Express said.
Other Express brands are UpWest and Bonobos Guideshops, which has a store at Atherton Mill in South End. All 12 UpWest store will be closing, Express said.
Express, founded in 1980, has about 530 retail and outlet stores in the U.S. and Puerto Rico, according to the website. Express also continues to serve customers online.
Northlake Mall’s struggles
In addition to Express closing, Northlake Mall has lost several national retailers including anchor tenant Dick’s Sporting Goods, as well as Buckle, American Eagle and Michael Kors.
Mall operator Spinoso Real Estate Group of Syracuse, N.Y., filed lawsuits last fall against several stores that closed before their leases expired.
Northlake Mall opened in 2005. It had an occupancy rate of 85.5%, including temporary tenants, as of Jan. 31, according to the receiver’s latest report filed in N.C. Business Court. That’s below the national mall occupancy average of 89%, according to Moody’s Analytics REIS data from last year.
Northlake Mall could lose other big-name national retailers as Footlocker, Bath & Body and Macy’s have announced plans to leave other malls.
The two-story, 1.1-million-square-foot Charlotte shopping center, however, has seen an influx of locally-owned stores opening. Over a dozen businesses opened since last summer, including 3Six92, Applause Nails, D. Williams Suits, Vixen Ready Art Factory, Destination Sweets and Charlotte’s Nails.
Spinoso officials did not immediately to requests for comment Wednesday.
