Northgate Mall
Northgate Mall is up for sale via an online auction.
The three-day auction handled by auction.com begins Monday.
The opening bid is $9 million.
The mall in Hixson has 823,014 square feet.
Northgate was one of Chattanooga's earliest malls - opening in 1972 after Eastgate in Brainerd.
It is on more than 47 acres.
Officials said it currently has more than a 91 percent occupancy.
Officials said, "Auction.com is pleased to present the unique opportunity for qualified parties to acquire Northgate Mall, a 823,014 square foot enclosed regional mall located on Highway 153 and Hixon Pike/State Route 319 in Chattanooga, Hamilton County, Tennessee. Northgate Mall is anchored by three unowned department stores - Belk, JC Penney and Sears - and features 60 specialty shops and restaurants. The owned collateral comprises 380,393 square feet and includes the mall inline space, five-restaurant outparcels, a freestanding 14-screen state-of-the-art Carmike Cinemas and a 69,161 square foot strip center occupied by TJ Maxx and Catherine’s. The property opened in 1972 and underwent renovations in 1991 and 1997 and expanded between 2005 (Carmike Cinema) and 2008. The Carmike Cinemas is the only theater in the trade area. Northgate Mall is currently 91% leased (total property) and the mall inline space has an improving comp sales productivity in excess of $270 PSF.
"Chattanooga is the fourth largest city in Tennessee and county seat of Hamilton County. The city was ranked No. 8 according to Forbes “America’s Best Bang for the Buck Cities” (2009). Chattanooga is also a college town, home to over 25,000 students enrolled in a variety of institutions including the University of Tennessee at Chattanooga and Chattanooga State Community College. The 10-mile trade radius has a population of 266,829 and average household income of $60,200.
"Northgate Mall is an opportunity to acquire a significant asset with strong fundamentals and great potential. Northgate has been a fixture in Chattanooga for over 40-years, its revitalization is sure to be embraced by the entire community. Value enhancement opportunities that can be explored include (i) incorporation of a food court within the mall, (ii) expanding the entertainment offerings with complimentary uses, (iii) redevelopment of the strip center.
"Please be aware that the escrow closing date for this auction item will be set for no later than 15 days from contract or October 6, 2011. No further extensions will be offered by the Seller."