17 October 2013 (18:21 UTC-07 Tango 16 October 2013)/12 Dhu’l-Hijja 1434/25 Mehr 1391/13 Ren-Xu (9th month) 4711

Reports that the Pine Ridge Mall in Chubbuck, Idaho, could soon be dead!  That’s if nobody bids on it.  A quietly announced auction, on Auction.com, for the entire mall is set for 05 November.

Illinois based General Growth Properties is refusing comment, but that’s because they are no longer the official owner.  Last year GGP turned the property over to its spinoff, Howard Hughes Corporation.  Texas based Howard Hughes seems to be the executioner for GGP, getting rid of money losing properties.

Some reports say Howard Hughes has taken over improperly valued GGP malls. The starting bid for the failed Pine Ridge Mall is a paltry $3 million USD!

If you’ve been following my economic reports out of the Chubbuck/Pocatello area, you know I used to work for mall owner GGP, and JPrice before that.

Auction.com talks up the mall, claiming it’s at 80% tenant capacity!  I find that hard to believe, because it was at 80% when I worked there, and that’s before losing two anchor stores!  Just check out my pics of the empty Sears!

Local TV news reports talked up the mall by naming anchor stores Sears and ShopKo.   I used to work property management there, and ShopKo is operating under a different contract, as if they are not part of the mall.  When I worked there ShopKo was responsible for all their own building maintenance, including parking lot trash pick up, landscaping and snow and ice removal during winter.

The newest anchor store is Herbergers, which is taking up residence in the old two story ZCMI then May Company then Dillards anchor location, yet it’s only a single story operation.

Also, there is conflicting info given by Auction.com and GGP.  Auction.com states there are 50 “unit” spaces at the mall, yet GGP’s website says 77 “Retail Stores”.

In 2009 GGP went bankrupt.  By 2010, 96 GGP malls emerged from chapter 11 bankruptcy, and according to bankruptcy news reports that included the Pine Ridge Mall.  However, in 2012 GGP got a a total of $7 billion in “property-level financings” to float dozens of its malls, according to GGP’s website.  Independent reports say the Pine Ridge Mall in Chubbuck, as well as the Grand Teton Mall in Idaho Falls, were included in that list of mortgage bailout refi loans (although I didn’t see them listed on the GGP site).

This year GGP reported in its 4th quarter report for 2012 that it “…disposed of approximately 3.2 million square feet of gross leasable area for $213 million.”, but they did not specify which properties were sold.

For the 3rd quarter 2012 GGP “…disposed of assets comprising approximately 2.7 million square feet of gross leasable area for $219.3 million.”

In the 2nd quarter 2012 GGP sold off their Foothills Mall in Colorado.

In 1st quarter 2012, 30 malls were transferred to Rouse Properties.  They also sold three properties for a total of $26.6 million.

“During 2011, GGP sold, or transferred to the mortgage holder, whole or partial interests in approximately 11.5 million square feet of gross leasable area for $879.7 million including property level debt of $752.1 million.”-GGP 4th quarter report for 2011

In 2011 it was also revealed that GGP had sold, or was selling off, most of its properties in Utah.

Here’s more of my reports:

A History Lesson in Economic Decline:

Idaho Sears closing down, without official notice?

Don’t forget to add the Sears stores bought by GGP to the closing list. 

GGP owns most of the malls in Idaho.

Mormon Mitt Romney……Destroyed jobs in Chubbuck, Idaho.