BY: Keith S. Shikowitz, Editor in Chief/Investigative Reporter
After nearly three decades as one of the region’s busiest gathering places, the Palisades Center Mall may be headed for a new chapter in its long history.
The auction would not include the former Lord & Taylor space, but would encompass the main mall property and other surrounding parcels, local reports show.
Looking at the history and importance of the mall shows how vital it is to the county.
First opened on March 4, 1998, the Palisades Center in West Nyack was among the largest malls in the United States, with more than 2.2 million square feet of space — equivalent to roughly 32 football fields — under one roof.
Developed by The Pyramid Companies after years of planning and debate, the mall was designed to draw shoppers from Rockland and beyond with a mix of retail, entertainment, and dining. It boasted flagship stores, a Ferris wheel, restaurants, a food court, and later major anchors including Target, AMC Theatres and BJ’s Wholesale Club.
For many locals, Palisades Center was more than a shopping destination. Through the 2000s and 2010s, it was a place where families gathered, teenagers met up after school, and community events were held. Even skeptics of the mall’s design and size acknowledged its economic impact, drawing millions of visitors each year.
The mall has been in major debt for years starting in 2016. The current debt is in excess of $418 million which the owners EklecCo NewCo LLC, Queens Comic’s NewCo LLC, Riesling Associates, and Three J’s Family Trust. Were given numerous extensions to make the payments and still could not do it.
The Palisades Center Mall in West Nyack, may be sold at a public auction next month. A court notice confirmed that the auction is set for Wednesday, February 4, at 2:15 p.m., and will take place at 60 Centre Street, Room 252, Manhattan. The listed price is $463.4 million, plus interest and court fees. Clark A. Whitsett, who is a court referee will oversee the auction.
They were supposed to make the final payment back in 2022 after loan terms were adjusted during the COVID situation. Even with this help they did not make the payments. A foreclosure suit was asked for in 2023 by Wilmington Trust, the current loan holder.
BD Palisades Holdings a company with links to Black Diamond Capital Management purchased the loan at a discount and became plaintiffs in the court case.
Just because there is an auction schedules, that doesn’t mean it will happen. Many times these kinds of cases are settled out of court. There has not been much public notification of the auction. There have been a number of local news agencies which have been reporting on this situation as things have developed.
Even with this case hanging over the owners of the mall, it is still open and operating with Spinoso Real Estate Group a Syracuse based company is managing the mall.
The mall has seen its share of stores come and go including big names like McDonalds, TGI Fridays, Hallmark among others. Yet big stores like Best Buy, Dave & Busters, Chilis, Target and AMC Theaters along with many small portable Kiosks and other small business areas have stayed. Even BRIDGES, a non profit agency opened a special sensory room for kids who get overwhelmed by noise and crowds.
This past Black Friday is seen as a sign of recovery even with the fact that there have been fewer visitors coming lately. Unfortunately, this lower visitation has not helped the businesses to be able to turn the money into rent payments and major income.
The mall also plays a big role in Rockland County’s finances. It’s the largest taxpayer in the Town of Clarkstown, paying over $22 million a year in property taxes.
Clarkstown Supervisor George Hoehmann made a statement about the mall situation. “The Town of Clarkstown will continue to monitor these legal developments and is committed to utilizing all available legal measures to safeguard taxpayer interests. Currently this is another step in the legal process between the creditors and the current lender/owner. The information we have indicates the property is a well performing asset as the current owner made upgrades and investments to the physical location of the Palisades Center. We will continue to closely monitor any future developments as they occur in order to protect the Town of Clarkstown and its residents.”
Hoehmann also said, that an auction notice doesn’t mean the mall will immediately change hands. “It doesn’t necessarily mean that it’s actually going to be a sale,” Hoehmann said. “There’s a court hearing scheduled for early February, and then we’ll see what happens from there.” Hoehmann said he has spoken with town attorneys and stakeholders, and stressed that Clarkstown is not directly involved in the legal proceedings, though officials are watching closely. “It’s a well-performing asset,” he said. “Whoever ends up owning it will be talking with the town. It’s zoned as a mall.”
County Executive Ed Day responded, “While the county is not involved in this auction the unalterable fact is the Palisades Center is a major tax revenue driver for Clarkstown, the school district, and the County of Rockland. It is also one of the premiere tourist destinations in this county, bringing in visitors who generate additional outside revenue that pays for local services, and I hope to see the Palisades Center running – and successful – for as long as possible.”
This situation is very fluid and Clarkstown Board members and people who were candidates for the board last year, have some ideas on how to make the mall prosperous again. Some ideas that were floated during the campaigning included mixed use like they have over at Ridge Hill in Westchester and adding a link for commuters to NYC to be able to get to work and not have to pay Hochul’s congestion pricing. It will be up to the owners, whoever they may be to decide the course of the mall.
Many residents told local outlets they hope the mall will remain a gathering place for years to come.
For some, the Palisades Center is more than just stores — it’s a place to meet family, walk indoors on a cold winter day, or catch a movie.
“The mall means family. It’s a place for us to get together and enjoy,” one local resident said. “It’s sad to see every store close, but I hope it can turn around.”
As the community waits for February’s legal proceedings, local leaders say they remain cautiously optimistic about the mall’s future — whether under new ownership or through a reimagined role in the region.