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San Francisco's dying downtown is hit by another huge blow as Westfield stops making mortgage paymen

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Fishrrman:
https://www.dailymail.co.uk/news/article-12187671/San-Franciscos-dying-downtown-hit-Westfield-stops-making-mortgage-payments-mall.html

San Francisco's dying downtown is hit by another huge blow as Westfield stops making mortgage payments on its massive mall, after blaming crime for tanking takings and closure of flagship Nordstrom store

June 12, 2023
Harriet Alexander

San Francisco's struggling downtown has been dealt another blow with the news that Westfield is abandoning its massive mall - the biggest in the city - amid a plunge in sales sparked by the pandemic.

Westfield has stopped making payments on a $558 million loan, and is handing it back to their lender, who will appoint a receiver. It will remain open for now.

The decision is sparked in large part by the decision from Nordstrom, the mall's anchor tenant, to close in August.

Last month, Westfield blamed 'unsafe conditions' and 'lack of enforcement against rampant criminal activity' in part for Nordstrom's departure from the mall.

Westfield said the 'unprecedented' poor performance in San Francisco was a sharp contrast to the rest of its properties.

San Francisco Centre generated $455 million in sales in 2019, before the pandemic.

Last year, sales were down about a third to $298 million.

Nordstrom occupied 312,000 square feet in the mall: when it closes, Westfield San Francisco will only be 55 percent leased.

More at URL above...

sneakypete:
"We iz da wurld.......
  We iz da peep-pulls..."

 C'mon,and sang hit wid me,comrades!

BTW,the professional homeless will be moving into the space left vacant by  the "professional homeless" so they can have running water,heat,ac,bathrooms,and "shelter from the storm".

After all,who is going to stop them?

mountaineer:
Westfield, San Francisco's Premier Mall, to Abandon Downtown Lease, Adding to SF's Exodus of the Largest Hotel, Nordstrom, & Others
By Tony Ng - Published on June 12, 2023.
--- Quote ---Recent developments have painted a worrying picture for San Francisco's once-thriving commercial real estate market, with retail giants like Nordstrom announcing closures and Westfield now making the shocking decision to abandon its iconic San Francisco mall in the wake of declining sales, foot traffic, and a drooping retail landscape throughout the city, per an exclusive from The San Francisco Chronicle

In a city that was once bustling with tourists and shoppers, the downtown area's desolation today raises serious concerns about its future viability, with crucial businesses like the 312,000-square-foot Nordstrom in Westfield Mall announcing that they're closing their doors when their leases expire later this year, according to Hoodline, amidst concerns over declining customers and a post-pandemic shift in shopping habits.

It seems the effects of remote work, a decline in tourism, and safety issues have hit downtown San Francisco and the nearby Mid-Market area hard, sending offices, apartment buildings, and hotels into default and foreclosure, impacting the city’s once prosperous economy. The Westfield Mall, located at 865 Market St, was a significant attraction in the city, but according to the San Francisco Chronicle, the company has stopped making payments on a $558 million loan and begun transferring control of the mall to its lender this month.

The San Francisco mall isn't the only property facing crisis - the city's largest hotel, Hilton San Francisco Union Square, is also going to be surrendered to its lender by its owner, Park Hotels & Resorts, due to the impact of a weakened market and a slow return of conventions, as reported by SFist. These rapidly unfolding events indicate a deepening crisis in the city's real estate landscape. ...

The recent closure of a Whole Foods Market in the city due to safety concerns and an increase in crime, mentioned in a New York Times article, signals that even the most well-established brands may not be immune to the turbulence shaking up San Francisco's retail and commercial sectors. ...
--- End quote ---
Hoodline.

Apparently, Mayor Breed ran on a platform of cleaning up the city and deal with the homeless issue. She's done the exact opposite.

Free Vulcan:
You voted for it you eat it.

Kamaji:

--- Quote from: Free Vulcan on June 13, 2023, 12:48:22 pm ---You voted for it you eat it.

--- End quote ---


:thumbsup:

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