CBL Closes $179M Retail Acquisition

July 30, 2025

Washington Prime Group sold the four regional malls.

Exterior shot of Westmoreland Mall, a retail property in Greensburg, Pa. — CBL also owns Westmoreland Mall in Greensburg, Pa. The company brought in the Cordish Cos. to redevelop an empty department store as Live! Casino Pittsburgh. *Image courtesy of CBL Properties*

CBL Properties has purchased four enclosed regional malls from Washington Prime Group in a $178.9 million transaction. The deal adds approximately 2.2 million square feet of retail space to CBL’s portfolio.

The newly acquired malls are located in key regional markets across the nation:

Ashland Town Center – 420,000 square feet, Ashland, Ky.
Mesa Mall – 733,000 square feet, Grand Junction, Colo.
Paddock Mall – 550,000 square feet, Ocala, Fla.
Southgate Mall – 546,000 square feet, Missoula, Mont.

CBL also restructured its existing loan with Beal Bank USA to support the acquisition. The modified financing adds $110 million to the original $333 million non-recourse loan, now totaling approximately $443 million. The new structure extends the maturity to 2030—with an option to push it to 2032—and shifts a large portion to a fixed interest rate of 7.70 percent for five years—reducing exposure to floating rates and enhancing balance sheet stability.

Since the start of 2024, CBL Properties has obtained more than $241 million through selling non-core assets such as malls, open-air centers and outparcels. The current acquisition suggests a shift in the retail industry trends, with investor interest beginning to extend beyond luxury-focused assets into middle-market properties.

In one of the more recent transactions, CBL closed the sale of a 621,000-square-foot power center in D’Iberville, Miss., that changed hands for $83.1 million. And at the beginning of the year, the firm sold a retail property in El Centro, Calif., for $38.1 million.

Four malls, four markets

The 420,000-square-foot Ashland Town Center has anchors such as JCPenney, Belk, TJ Maxx and Ulta Beauty. The property also features Olive Garden and Slim Chickens, along with entertainment offerings like escape rooms and arcades. Positioned along U.S. Route 23, the center draws visits from a tri-state area that includes parts of Ohio and West Virginia, according to CBL.

Mesa Mall totals 733,000 square feet and is anchored by Target, Cabela’s, Dillard’s, JCPenney and Dick’s Sporting Goods. The roster also includes national retailers and restaurants such as Outback Steakhouse and Olive Garden. Located along the I-70 Business Loop, the mall serves a broad regional customer base, including students from nearby Colorado Mesa University.

Paddock Mall is the only enclosed shopping center in Marion County. The 550,000-square-foot property is anchored by Macy’s, Belk and JCPenney, with a former Sears space under redevelopment as the Paddock Market. The mall is just off Interstate 75 and across from the College of Central Florida, drawing traffic from five surrounding counties.

Opened in 1978, Southgate Mall spans 546,000 square feet. Anchors include Dillard’s, Scheels All Sports and AMC Theatres. The property is near the University of Montana and Missoula International Airport, along key commercial corridors that support both local and regional retail activity.