The Real Deal Miami

Palm Beach Mall lenders bid $1.75M to retain property at foreclosure auction

March 04, 2010 04:58PM

The commercial mortgage-backed securities fund that foreclosed on the 42-year-old Palm Beach Mall retained its shuttered property today after putting in the winning bid at its foreclosure auction. Simon Property Group lost a $53.2 million foreclosure suit brought in April 2009 by the fund, led by Wells Fargo Bank as a trustee. The fund bid $1.75 million for the 1.2 million-square-foot mall, which closed Jan. 31 and is nearly empty, save for JCPenney and George’s Music, which have separate entrances and remain open. Three other parties bid on the property. Nicholas Arsali bid just $100 less than the owners, Citi Investments bid $99,2000 and Nazar Osman bid $9,000. [Palm Beach Post]