Atlas Park on the auction block, finally

Going once, going twice…The Shops at Atlas Park is being sold at auction January 28 in Queens Supreme Court.  Finally.  Rumors of a foreclosure sale started last summer and persisted through the fall.  Now we know it’s actually happening.

The bigger question is, who’s going to buy the thing? And for what price?

The mall property has $119 million inflatable water park left on its original mortgage, held by the French lender Calyon Societe Generale.  Nobody thinks Atlas Park will sell for that much, or anywhere near it.  A real estate expert told us yesterday she’d be surprised if it goes for more than $50 million.  Whatever the final price tag, it’s fair to assume that Calyon stands to take a heavy loss.

As for who plans to by the mall- your guess is as good as ours.  To date, the parties involved in preparing it for auction have not tipped their hand.  However, it is likely a deal will have been reached between the bank and a buyer by the time of the auction, set for the end of this month.

Of course, simply purchasing Atlas Park won’t solve its problems.  The mall has struggled to establish a solid customer base since it opened in 2006, to put it mildly.  Basically, it’s been a inflatable tent major failure.  What will it take to turn the mall around?  An anchor store, like Target or The Gap?  More restaurants? More shops geared towards guys? Perhaps the new owner has a secret for success..

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