BY Michelle Dunlop
The deadline has passed for Everett Mall’s main owner to come up with $8 million in late interest, charges and fees on a $98 million loan that’s in default.
Whether Steadfast Commercial Properties has avoided foreclosure by meeting a Monday deadline set by its lender was unknown on Tuesday. Neither Steadfast nor the trustee of the loan had returned phone calls.
Acting as the loan trustee, attorney David Neu, of the Seattle law firm K&L Gates, on June 18 placed a foreclosure notice in The Herald. The notice warned that the deed to the mall would go to the highest bidder on the Snohomish County courthouse steps on July 20 should Steadfast fail to pay past-due interest, late charges and fees of more than $8 million.
Steadfast owns about two-thirds of the Everett Mall property. Three other property owners at the mall are not subject to the foreclosure.
California-based Steadfast bought Everett Mall in 2004 for $50.2 million. After renovating and expanding the mall, Steadfast refinanced the loan to $98 million in 2007.
If Steadfast can’t meet the demands of lender Royal Bank of Canada, another company likely would seek to buy the mall.