Skip to main content

Wells Fargo Gets Mall for $100 When Bidders Avoid Auction

Phil Hall
May 12, 2015

Imagine holding an online foreclosure auction for a 737,000-square-foot mall and absolutely no one wants to bid on it. That happened with the Indian River Mall in Vero Beach, Fla., which wound up being acquired by Wells Fargo for $100.

According to a report, the mall opened in 1996 and was owned by a subsidiary of Simon Property Group. However, Simon owed $71 million to Wells Fargo Bank, a trustee for Bank of America Commercial Mortgage Inc., and defaulted on the loan last September, approximately two months prior to a balloon payment for an undisclosed amount came due. A foreclosure case started in January and an online auction was originally slated for March 18, but was postponed.

But with no one seeking the property at the auction, Wells Fargo wound up stuck with it for $100. The lender had no public comment on what it plans to do with the property.

Although the mall’s mortgage was foreclosed upon, the property’s four anchors retailers—Dillard’s, Sears, J.C. Penney and Macy’s—were not impacted because they own their respective spaces. Likewise, the mall is expected to remain operational under Wells Fargo’s ownership.

May 12, 2015
DOJ: Lakeland Bank To Spend $13M To Settle 'Redlining' Claims

Agreement with N.J. bank is the third-largest redlining settlement in Justice Department history.

Industry News
Sep 29, 2022
Angel Oak Layoffs Add To Growing List Of Non-QM Cuts

About 20% of its staff, or 75 people, were affected.

Industry News
Sep 28, 2022
Redwood Trust Names New Chief Investment Officer

Also announces planned CoreVest leadership transition to be completed on 3rd anniversary of acquisition

Industry News
Sep 27, 2022
Fannie Mae Pilot Program Seeks To Help Improve Renters' Credit

Renters, including historically underserved groups, will benefit from paying on time each month.

Industry News
Sep 27, 2022
Suffolk County Data Breach Puts Contracts On Back Burner

Cyberattack beginning Sept. 8 prevents title services from closing loans.

Sep 27, 2022
Nations Lending Opens Another Branch In Arizona

New Scottsdale branch welcomes Arizona native Christine McConnell as lead personal mortgage advisor.

Industry News
Sep 26, 2022