Providence Place Mall to Hit the Real Estate Market in September

It's official: The Providence Place mall will be up for sale in September. The decision comes following a Superior Court judge's approval of the brokerage agreement.

The firm Jones Lang LaSalle Americas Inc., based in Chicago, will be handling the real estate listing.

According to a Providence Journal report, U.S. Bank National Association alleges that the mall's management company, Chicago-based Brookfield Properties, borrowed $305 million from its lenders in 2011. Brookfield ultimately defaulted on the loan in May 2024 while still owing approximately $259 million on the loan.

The first creditor to receive payment from the sale will be U.S. Bank National Association, the loan holder for the property. According to court documents, U.S. Bank National Association is owed $259 million. 

The loan was due on May 6, 2024. Brookfield couldn't pay the amount, and the terms of the loan weren't renegotiated. This failure to renegotiate resulted in the receivership case brought by U.S. Bank National Association, which created a form of bankruptcy.

U.S. Bank National Association filed a motion to move Providence Place toward a sale on June 11.

According to the Journal, U.S. Bank National Association is owed $254 million on the $305 million loan, $2.7 million in interest, and $816,000 in fees and expenses. Interest has been accruing at $36,841 per diem, according to a June proof of claim that the bank filed.

Preparing the mall for sale has been the goal of the receivers since they were appointed to the case. The court-appointed receivers have been making several changes at the mall in advance of its sale, including the following: