J.C. Penney has new owners

PERKINS TWP. — The Sandusky Mall's oldest tenant hopes its new owners can save them from bankruptcy. J.C. Penney recently reached an agreement to sell its retail and operating assets to Brookfield Property Group and Simon Property for $1.75 billion. Simon and Brookfield are the two largest mall operators in the country. In recent years, they've purchased mall retailers to prevent them from going under, including Aeropostale and Forever 21. The deal includes forming a separate real estate investment trust to have its real estate assets and distribution centers. The sale follows the Texas-based department stores bankruptcy filing following years of financial hardship worsened by the COVID-19 pandemic. It closed several stores recently because of the bankruptcy. "We have determined that an agreement with Brookfield and Simon, as well as the formation of separate real estate investment trusts owned by our first lien lenders, is the best path forward to maximize value for our stakeholders, ensure we keep the most stores open and associates employed and position J.C. Penney to build on our over 100-year history," CEO Jill Soltau said. "The interest in our operations reflects our company's strength and our loyal customer base." Sandusky mall's owner, Cafaro Co., believes the sale will benefit J.C. Penney and the mall in the long run. "This particular move will take a lot of financial pressure off the store chain," Cafaro spokesman Joe Bell said. "We will be in contact with J.C. Penney to see what the new owners' intentions maybe, but right now, it doesn't appear anything will change." The department store has a long history in Sandusky, with the first location opening in downtown Sandusky in March 1929. The store moved out of the downtown after 47 years when Cafaro Co. built the Sandusky Mall on Milan Road in Perkins Township. J.C. Penney was the first store to open at the mall in 1976 and is the only remaining original anchor store.