The nation’s biggest mall owner, Simon Property Group, has sold its share of the struggling Circle Centre Mall, a development that was credited with helping spark downtown Indianapolis' revitalization in the 1990s.
Indianapolis-based Simon Property Group divested its 15% ownership of the 600,000-square-foot mall at the end of 2021 by selling its shares back to Circle Centre Development Co. — a limited partnership of 17 business and corporate investors.
The deal was finalized Dec. 30 and the price was not disclosed.
The decision to have Simon relinquish its ownership stake “was in the best interest” of all involved, said Adam Collins, a partner at Indianapolis firm Wallack, Somers & Haas and legal counsel to Circle Centre’s ownership group.
Last April, Simon handed over day-to-day management of the property to commercial real estate firm JLL.
Circle Centre Mall debuted with much fanfare in 1995, but it has seen an exodus of major retailers in recent years, such as Nordstrom and Carson’s department store.
The city of Indianapolis, which owns the mall building and the land it sits on, leases the property to Circle Centre Development Co., the partnership of companies that provided $75 million toward the mall’s $320 million original development cost.
The ownership group announced Friday that it’s soliciting ideas for ways to redevelop the property.
“We are embarking on a journey to reimagine the property and drive the continued evolution of the economic and civic hub that is our Mile Square," Indianapolis Mayor Joe Hogsett said in a news release.