ST. LOUIS — The owner of four St. Louis area malls has filed for bankruptcy.
CBL & Associates Properties, Inc. voluntarily filed for Chapter 11 bankruptcy protection on Sunday, according to a news release.
The company owns West County Center, St. Clair Square, Mid Rivers Mall and South County Center.
CBL said the filing will allow the company to restructure and reduce debt and “preferred obligations” by about $1.5 billion.
“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 [Restructuring Support Agreement] through a Chapter 11 voluntary bankruptcy filing will provide CBL with the best plan to emerge as a stronger and more stable company,” said Stephen D. Lebovitz, chief executive officer of CBL.
While the restructuring is underway, the malls, its tenants and employees can expect business to continue as usual, the company said in the news release.
CBL first announced plans to file for bankruptcy protection back in August. In a letter from the CEO on the company’s website, Lebovitz stressed the bankruptcy filing will strengthen the company and that it’ll continue to work with service providers, business partners and retailers.
“CBL has a significant cash position, which along with its net cash flow, provides sufficient liquidity to run our business. We will continue to meet our ongoing financial obligations,” Lebovitz wrote.
CBL owns more than 80 properties throughout the U.S. More information about the bankruptcy filing and restructuring plan can be found on the CBL & Associations Properties, Inc. website.