Gateway Mall owner unaware of foreclosure

Mall houses Supervisor of Elections Office, other city offices

Published On: Feb 21 2012 12:18:55 PM EST  Updated On: Feb 21 2012 04:14:38 PM EST

JACKSONVILLE, Fla. -

The owner of the Gateway Mall said he was not served paperwork regarding the pending foreclosure of the Northside mall.

"I have not been served and was not aware of the action until (Supervisor of Elections) Jerry Holland told me," Carlton Jones said Tuesday.

A financial investment group has notified the mall that it was recalling the note for the property, which totals more than $9 million.

"It is what it is, and I'm working through it," Jones said.

He said he has been working with a new group of investors that will be taking over next month, but he said this just complicates things.

Rep. Corrine Brown, D-Fla., said she voted for the bank bailout, but she was furious when she heard the financial group is getting ready to foreclose on the mall.

"We helped them out," Brown said. "As one minister said, we showed them mercy and they are just doing the opposite in the matters when it comes to my constituents and my community."

The investment group sent notice to the city and the mall that it's foreclosing on the mall.

"The added pressure is part of the process," Jones said. "We were a little bit surprised and taken back on it. I did end up talking to the lender on Friday and they said they did not want to wait another 30 days."

The mall houses city offices, including a tax collector site and a police stop station, as well as several stores. One of the major tenants is the Supervisor of Elections Office, where the election center is housed. The city pays more than $55,000 a month in rent just for that site.

Holland has been complaining for months about the conditions at the site, saying they haven't been repaired in more than a year. He said the building is falling apart and the owner has not paid taxes even though the city keeps paying its rent.

Holland said he received the foreclosure notice Friday, and he said he has to plan ahead if the foreclosure goes through.

Brown said Holland is off base.

"In this tough time, how are you talking about closing an office as opposed to fixing it up," she said. "In the middle of an election, you are talking about closing an office. What is that all about?"

Holland said he does not want to move before the election, but he said the office has to plan just in case.

So right now, the future of Gateway is up in the air, or at least the ownership is.

Still, Jones said there's no chance Gateway Mall could be no more.

"The property is too much of an asset," he said. "No matter who the mortgage owner is or the lender, the property survives all of that. The tenant survives all of that."


Advertisement

Today's Clickers

Advertisement
Advertisement