According to documents from the U.S. Bankruptcy Court district in Peoria, Sandburg Mall Realty Management, LLC made the filing last week. The documents state there are between 50 and 99 creditors with up to $10-million in assets. Those same documents state the company may have up to $10-million in liabilities.
Calls to both Sandburg Mall and the Rafool, Bourne, and Shelby law firm – who represents Sandburg Mall – have gone unreturned.
Even so, Mayor and WGIL Owner John Pritchard tells WGIL the City, even after meeting with the mall management, was unaware they intended to make the filing.
“I think the bankruptcy process is one of reorganization,” Pritchard said. “Hopefully, they can emerge from this process a more viable property than they are currently.”
Sears recently closed their location at the Mall and took dozens of employees with them.
The company estimates there will be funds available to distribute funds to unsecured creditors.
Check back for further details as this story develops.