Syracuse, N.Y. – The owner of Destiny USA says it has reached a deal with a lender allowing it to stave off foreclosure on its Walden Galleria mall near Buffalo.
Syracuse-based Pyramid Management Group said the agreement with the current lender on Walden Galleria gives it until the end of 2025 to close on new financing for the center.
“I am extremely proud of the Pyramid team for successfully negotiating a resolution with our current lender and putting in place new financing for Walden Galleria,” Pyramid CEO Stephen J. Congel said in a statement Thursday. “Our focus will now turn to closing on the new financing before year end.”
Wells Fargo Bank, acting as trustee for holders of Walden Galleria’s commercial mortgage-backed securities loan, initiated a foreclosure action after Pyramid missed a May 1 deadline to pay off or refinance the $220 million debt.
In July, Pyramid reached an agreement with the bank giving it until late September to arrange new financing.
Walden Galleria is the largest shopping mall in Western New York, with over 200 retailers, 10 sit-down restaurants, an international food court and Regal Cinemas Stadium 16 with RPX theaters.
Pyramid’s Destiny USA in Syracuse is the largest mall in New York and one of the largest in the country.
The company missed a deadline to refinance or pay off a $300 million loan on Destiny USA in June 2024, putting that mall at risk of foreclosure. Despite the default, however, holders of the debt have not initiated a takeover of the mall.
