SIOUX CITY (KTIV) – Washington Prime Group, the company that owns and operates the Southern Hill shopping center in Sioux City, has filed for bankruptcy.
Washington Prime Group is a leading mall owner with over 100 locations across the United States. The Ohio-based company filed for Chapter 11 bankruptcy on Sunday, June 13, so it could restructure and pay off $ 1 billion in debt.
The company says it has already secured $ 100 million in funding to support day-to-day operations. Washington Prime Group says it blames the pandemic for its current financial situation.
KTIV has contacted the Washington Prime Group, and they say the Southern Hills Mall and the stores there will be able to continue operating normally.
“There will be no impact on operations, including rental and property management, at Southern Hills Mall. The COVID-19 pandemic has created significant challenges for many consumer-facing businesses, including Washington Prime Group.
The Company has determined that the Chapter 11 route is the most effective next step in resolving the Company’s outstanding debt as we emerge from the pandemic.
Throughout the Chapter 11 process, we expect things to be business as usual in our downtown areas, including Southern Hills Mall, where our tenants, sponsors, and employees will continue to operate as normal, putting the ’emphasis on providing enjoyable experiences to our customers. “
Washington Prime Group official spokesperson
CNN contributed to this story.