The owner of the Martinsville Plaza in Martinsville has filed for bankruptcy and the stores located there are expected to continue operating as usual while the process unfolds.
It is not known what will happen when the bankruptcy is finalized.
Washington Prime Group Inc. filed for bankruptcy protection in Houston on Sunday after its primary creditor, Strategic Value Partners, agreed to back a business owner restructuring.
Columbus, Ohio-based Washington Prime owns interests in more than 100 properties containing approximately 56 million square feet of lease space, according to its annual report on file with the U.S. Securities and Exchange Commission.
These include the Chesapeake Center in Virginia Beach and the Fashion Square Mall in Charlottesville.
Chief Financial Officer Mark Yale said in the bankruptcy filing that the effects of COVID-19 were the main stressors for Washington Prime’s financial challenges as it was forced to reduce or defer rent to keep its tenants out. bankruptcy or force them to close and abandon their leases.
Those tenants include buildings at 600 Commonwealth Blvd. in Martinsville that are rented to Roses Discount Store, Ollie’s Bargain Outlet, and Cricket Wireless.
The property is valued at over $ 3.1 million and the owner is listed in the Henry County geographic information system as Lester Lumber Co. Inc., run by Melvin Simon and Associates in Indianapolis, but in 2014 Simon Property Group “Severed” 98 shopping malls to Washington Prime and the Martinsville Plaza property were among them and the press release said.