Buyers ready to close on deal for Bangor Mall

Courtesy / Ten-X Bangor Mall, which underwent a two-day online auction Feb. 25-27, is reported as about to be sold to three private real estate companies that specialize in buying malls and commercial development properties.

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By Staff

Three private real estate companies that specialize in buying malls and commercial real estate are poised to close on the Bangor Mall, possibly as early as today.

The Bangor Daily News reported that Mason Asset Management, Namdar Realty Group and CH Capital Group — which are based in Great Neck, N.Y. — are under contract to purchase the mall, which underwent an online auction Feb. 25-27 on the Ten-X website.

Elliot Nassim, president of Mason Asset Management, told BDN the group participated in the auction but would not comment on the price it plans to pay for the mall. The newspaper reported that the three companies expected to close on the acquisition today.

In the past year alone, the buyers have acquired more than a dozen properties across the country, according to Namdar Realty press releases. The website indicates the company will buy properties “in distress” and shopping centers with vacancies and a low price per square foot. Namdar’s other New England holdings include the Steeplegate Mall in Concord, N.H., and Webster Market and Webster Plaza in Webster, Mass., 20 minutes south of Worcester.

As reported by Mainebiz, the auction run by Ten-X, an online real estate company headquartered in Irvine, Calif., began Feb. 25 with a minimum bid set at $6.5 million. Although a heated bidding war took place in the final minutes of the auction, the winning bid of $14.95 million did not meet the reserve and it was unclear, until now, if the mall was sold, its final sales price and who the buyer(s) might be.

“We are excited to be part of the Bangor community,” Nassim told the BDN. “The Bangor Mall is at a crossroads right now. We look forward to working with the tenants and the community to explore what the future of the mall will be.”

About the buyers

Here’s what is known about the buyers, according to their company websites:

Namdar Realty Group is a privately held, commercial real estate investment firm, owning and managing over 40 million square feet of commercial real estate throughout the United States. Founded in 1999, Namdar started with a single acquisition of a small retail storefront in Long Island, NY., and is one of the fastest-growing private real estate investment firms in the country. It averaged more than 20 acquisitions annually over the last four years, consisting primarily of large retail malls, shopping centers, office and medical buildings. It has more than 1,000 employees nationwide.
Mason Asset Management is a real estate investment and advisory company with expertise in the acquisition, management, disposition, and leasing of commercial real estate properties throughout the United States. Founded in 2010, the company invests in value-add properties and provides transactional and advisory services to banks, financial institutions, and owners with a focus on the real estate restructuring industry. It has a national portfolio of more than 120 shopping centers, including 45 regional malls, totaling more than 30 million square feet.
Information about CH Capital Group is not readily available since the company maintains a website requiring passwords of registered users.

About the Bangor Mall

Built in 1978 and renovated in 1998, the Bangor Mall is 72% occupied. The mall is anchored by Dick's Sporting Goods (68,054 square feet), Furniture Mattresses & More (120,000 square feet) and J. C. Penney (88,482 square feet), with several out-parcels, including Bangor Mall Cinemas 10 (unowned), Chick-fil-A and Hannaford supermarket, as well as Pizzeria Uno and other chain stores and restaurants.

Hannaford and J.C. Penney recently signed extensions of their leases through February 2024, according to Ten-X’s auction listing.

Furniture Mattresses & More recently opened in the former Macy's space — an expansion and relocation from the Airport Mall, on Union Street.

The mall is approximately 651,032 square feet (531,032 square feet owned) of gross leasable area, on 88 acres. It has gross and net operating incomes of $7.8 million and $3.7 million respectively.