It's supposed to be the most wonderful time of year for retailers as shoppers hit the mall to check off their holiday shopping list.
But for Crossroads Center in Waterloo, there's less holiday cheer to spread right now. That's because bank lenders have officially initiated foreclosure proceedings against the mall.
Court documents show the mall is $39.5 million in debt.
Though there's still a lot of uncertainty, it's clear the mall owes lenders a lot of money.
Papers filed in district court on November 16 show Crossroads Center was issued a $39 million loan in 2006. Currently, the property is valued at just shy of $20 million.
Adding in monthly expenses and accumulated interest on defaulted payments, Crossroads Center has put US Bank and other lenders on the hook for nearly $45 million.
A Black Hawk County district court judge has appointed a receiver in Los Angeles. That person has taken over every mall bank account and is effectively managing the property, including the collection of rent from the mall's 70-plus tenants.
The lender has agreed to "foreclosure without redemption," which means the property will be sold.
KWWL also spoke with a former worker who was at Crossroads Center for 15 years.
He said the foreclosure is unfortunate, but not unexpected. During his time at Crossroads, he saw the mall go through many financial challenges and multiple ownership changes.
Mall management told us they're under a "strict directive" not to talk about the foreclosure proceedings.
Attorneys involved in the case did not return calls for comment.
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