The uncertainty is over, it's official. Saks Fifth Avenue, one of the two anchor stores of The Mall of San Juan, will not reopen its doors and gave the space to the owners of the mall.
This was confirmed by the company Taubman Centers, owner of the mall, in its most recent quarterly report released today.
Since the scourge of Hurricane Maria, in September 2017, Saks Fifth Avenue had not reopened at The Mall of San Juan and even in the first weeks after the atmospheric event, it did not take care of conditioning the store and preparing it for reopening, as the contract indicated it, nor did he inform Taubman when he estimated that the reopening would be ready. This meant that Taubman Centers will sue Hudson’s Bay Company, owner of Saks.RELATED
Today Taubman notified in its third quarterly report that "the ongoing litigation with Hudson’s Bay Company, regarding the former location of Saks Fifth Avenue in The Mall of San Juan has been resolved."
Consequently, HBC agreed to pay the company $ 26 million as a partial refund of its previously received anchor store concession, in exchange for the termination of its obligations under its agreements. Taubman now has full control of the location.
The reimbursement of the concession and the value of the former Saks Fifth Avenue building and improvements exceeded the cancellation of the concession's carrying amount and legal costs incurred in the third quarter, resulting in a net gain of $ 10.1 million, figure that was included in the item of Income not generated from operations.
The Mall of San Juan has 626,000 square feet, of which 100,000 were occupied by Saks Fifth Avenue in a two-level space. The other anchor store is Nordstrom, which is 138,000 square feet and reopened in November last year.