Canadian commercial real estate owner and mall developer Triple Five has defaulted on an $8.8 million payment on American Dream debt.
U.S. Bank Trust Co. sent notices to bondholders that it had not received a payment on a loan related to the famous New Jersey mall. The next installment was due on Aug. 1, but the developer did not have enough money in its account to cover the debt. Triple Five Group's total debt under American Dream is estimated to be $827 million.
Construction on one of the most anticipated malls of the past decade was halted in its final stages due to the pandemic and restrictions. Because of this, the mall's owner has faced significant financial problems. Specifically, in 2021, the Mall of America stock he owned was put up as collateral after a debt default was declared. The mall's cumulative losses are already estimated at $60 million.
However, this is the first time since early 2022 that the owner of American Dream has defaulted on a debt payment. Earlier, a last-minute payment of $13.9 million was submitted and $315,000 in late interest to bondholders was repaid.
American Dream is currently continuing its work and conducting a series of extensive marketing activities before the start of the new school year. Earlier in the day was the long-awaited reopening of the ski slope, which had been closed for several months after a major fire.