The retail inferno continues, this time with retail giant Sears announcing the closure of 103 stores with 14 locations in CMBS deals. CMBS Alert – Sears to Close 103 Stores – 14 Locations in CMBS, Six With Elevated Risk
The 14 locations in CMBS deals are mostly in small markets like Rapid City, South Dakota and Taft, California.
The Rapid City closure is hardly a surprise. It was in the BACM 2006-3 deal that has sustained millions of dollars of losses.
Not only is the Sears property in Rapid City to be closed, Sears is late on the loan. And the Fifth Third Center in Columbus, Ohio is in foreclosure.
This just goes to show you that it is more than a retail inferno. Even office buildings are seeing foreclosures as well.