South Bend shopping center put up for auction

A South Bend shopping center went up for auction Thursday morning.

Erskine Village was turned over to St. Joseph County last year after financial struggles.

A few dozen bidders were on hand as a large retail space went up for bids.

“They fell a little behind on some of the payments on the property. And usually, it takes several months before the property goes up for sale, because we have to advertise it,” corporal Paul Weisser with the St. Joseph County sheriff’s department said.

Erskine Village fell into receivership last year after the the former management group, Schottenstein Property Group fell behind on payments.

An attorney representing US Bank submitted the $23,306,224 bid, which was accepted.

“It's going to go into new ownership, a new investor will buy the property,” Weisser said.

The shopping center previously known as Scottsdale Mall opened in the early 70s. It was torn down and rebuilt more than ten years ago to attract large stores like Kohl’s, DSW Shoes and Ross and TJ Maxx.

“We'll get checks from the lawyers and have the sheriff sign the deed, and we'll send the new deed out to them and it'll be under new ownership,” Weisser said.

Weisser says US Bank will now look for a new investor to buy the property and run the mall operations.

From a leasing standpoint, the shopping center didn’t show any signs of financial hardship. Erskine Village remains at a nearly 90 percent occupancy rate and has been successful at attracting tenants.

Over the last year, Erskine Village lost two of those tenants when Bed, Bath and Beyond and the Family Christian Bookstore closed.