Chattanooga-based CBL buys North Dakota mall for $91.4 million

Chattanooga-based CBL buys North Dakota mall for $91.4 million

May 16th, 2012 by Mike Pare in Local - Breaking News

CBL Chief Executive Officer Stephen Lebovitz stands in his office overlooking Hamilton Place Mall

Photo by Chad McClure

CBL & Associates Properties Inc. today announced the acquisition of Dakota Square Mall in Minot, N.D., from the Lightstone Group.

The purchase price was $91.4 million, including assumption of a $59 million loan, the Chattanooga-based shopping center company said in a press release.

CBL Chief Executive Officer Stephen Lebovitz said the 622,000-square-foot mall is a textbook example of its dominant mall strategy.

"The center holds an unrivaled franchise position within a growing and economically diverse regional market," he said in a statement.

He said the mall offers significant immediate and long-term upside potential with below-average occupancy costs as well as opportunities for conversions of temporary tenants to permanent leases.

"We anticipate adding value through these opportunities as well as capitalizing on the substantial growth the market is experiencing," Lebovitz said.