American Dream Mega Mall: A Financial Nightmare
The American Dream Mega Mall, located in East Rutherford, New Jersey, was once a beacon of hope for the area. It was supposed to be a shopping and entertainment destination that would bring in tourists from all over the country. However, the mall has been plagued with financial issues since its opening in 2019.
A Troubled History
The American Dream Mega Mall was first proposed in 2011 by the Triple Five Group, a Canadian real estate company. The project was met with opposition from local residents, who were concerned about the environmental impact of the mall. Despite the opposition, the project was approved by the New Jersey Department of Environmental Protection in 2013.
Construction of the mall began in 2014 and was completed in 2019. The mall was originally estimated to cost $5 billion, but the final cost was closer to $6 billion.
Financial Struggles
The mall opened to much fanfare in 2019, but it quickly became apparent that the mall was struggling financially. The mall was hit hard by the COVID-19 pandemic, as many of its tenants were forced to close due to government restrictions.
The mall’s financial struggles were further exacerbated by the fact that it was unable to secure financing from banks. This led to the mall’s owners, the Triple Five Group, having to take out a $1.5 billion loan from the Canadian government in 2020.
The mall’s financial struggles continued into 2021, as it reported a net loss of $245 million in its annual filing. This was due to the mall’s inability to attract enough customers and generate enough revenue to cover its costs.
The Future of the American Dream Mega Mall
The future of the American Dream Mega Mall is uncertain. The mall’s owners are hoping to attract more customers by adding new attractions, such as a water park and a ski slope. However, it remains to be seen if these additions will be enough to turn the mall’s fortunes around.
The mall’s owners are also hoping to secure additional financing from banks and other sources. This could help the mall cover its costs and make it more attractive to potential customers.
Conclusion
The American Dream Mega Mall was once seen as a symbol of hope for the East Rutherford area. However, the mall has been plagued with financial issues since its opening in 2019. The mall has been unable to attract enough customers and generate enough revenue to cover its costs, leading to a net loss of $245 million in its annual filing. The future of the mall is uncertain, but its owners are hoping to attract more customers and secure additional financing to turn its fortunes around.