COLONIAL HEIGHTS, Va. (WRIC) — The owner of Southpark Mall in Colonial Heights, CBL Properties, has voluntarily filed for Chapter 11 bankruptcy protection with the aim of trying to restructure portions of the its debt and apply a plan “to recapitalize the company.”
CBL & Associates Properties Inc. said in a release Monday that filing for the protections will help ensure that all of its day-to-day operations and businesses will remain as is, adding that “customers, tenants and partners can expect business as usual.”
“After months of discussions and consideration of a number of alternatives, CBL’s management and the Board of Directors firmly believe that implementing the comprehensive restructuring as outlined in the RSA through a Chapter 11 voluntary bankruptcy filing will provide CBL with the best plan to emerge as a stronger and more stable company,” Stephen D. Lebovitz, the chief executive officer of CBL, said in a statement.
According to CBL’s website, Southpark Mall has 86 total stores and its total trade area — the commercial reach of the mall based on 2018 population totals– is 512,541.
“With an aggregate of approximately $1.5 billion in unsecured debt and preferred obligations eliminated and a significant increase to net cash flow, upon emergence, CBL will be in a better position to execute on our strategies and move forward as a stable and profitable business,” Lebovitz continued.