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anta Monica Place, a specialty mall in California, continues to struggle with declining value. Its owner, Macerich, is looking to sell the property as part of its efforts to cut debt and revamp its portfolio. The mall's value has plummeted 59% since its $300 million loan was issued, now standing at around $255 million.

    Retail vacancies have contributed to the decline, with Bloomingdale's and Arclight Theatre exiting in 2021, leaving behind about 150,000 square feet of vacant space. Macerich had planned to redevelop this area but has since shifted its focus to selling underperforming assets. The company is also working on a plan to cut $2 billion from its debt.

    Macerich's CEO, Jackson Hsieh, has identified "Fortress" centers as key to the company's future, including the Los Cerritos Center and Washington Square in Portland. These properties are seen as having potential for growth through luxury tenant additions or multifamily development. The sale of The Oaks mall in Thousand Oaks for $157 million is a recent example of Macerich's efforts to offload underperforming assets.