Hudson Valley Mall For Sale After Defaulting on Debt

The Hudson Valley Mall has defaulted on over $49 million in debt and tenants are being told to start sending their rent checks to the U.S. National Bank Association.

The Daily Freeman reports that the Kingston mall has been put in receivership after failing to pay their $49 million debt. Back in 2010 the mall took out a loan to consolidate debt. In September of last year, after failing to make their payments, the mall's owners were in default and now ownership has been handed over to the bank.

U.S. National Bank Association has been given permission by the court to put the mall up for sale. In the meantime, they have also been authorized to try and fill vacant spots in the shopping center left by Macy's and J.C. Penney's and other stores that have recently closed their doors.

Stores such as Target, Sears, Best Buy and Dick’s Sporting Goods still reside at the mall, so there is a good chance that even after the sale it will remain open. Filling the two empty anchor stores, however, may pose a challenge.

Local malls in the Hudson Valley have seen more stores leave than open up in the past years. Recently Hannoush Jewlers, The Gap and Gap Kids have all left the Poughkeepsie Galleria. High profile businesses have trended away from the local malls over the past decade and, in many cases, have been replaced with lower-priced European companies.

Are you concerned for the future of the Hudson Valley Mall in Kingston? Let us know your thoughts and where you shop in the Kingston area in the comments section below or on our Facebook page.