LOWER PAXTON TOWNSHIP, Pa. (WHTM) — After struggling for years, the Colonial Park Mall is on track for a possible sheriff sale. The mall is dealing with lots of unpaid bills, and if the owners do not pay, the mall could be sold in July.
The mall owes about $256,000 in unpaid sewer and stormwater bills, but that number is expected to increase. Now, if the owners want to pay, they have to pay the full amount all at once.
According to the the Lower Paxton Township Authority, the mall owners have repeatedly failed to pay regular sewer and stormwater bills.
“The first time, what the authority did is it decided to proceed with water shut off to the mall,” Lower Paxton Township solicitor Steve Stine said.
That was in the fall of 2022, but just before the authority turned off the water, Stine said the mall owners paid off all their debt. However, Stine said the unpaid bills built up again.
Back in February, Stine filed a civil complaint against the mall over the money. Stein said the mall owners had promised to pay their bill, the week of March 11, but they never did.
As a result, he filed a default judgment on March 14, which starts the process of heading to a sheriff’s sale. The mall owners do still have an opportunity to pay their debt.
“They can pay any time before the sheriff sale, but it has to be in full,” Stine said. He added the payment also has to be made at one time.
The full cost would include the unpaid bills plus penalties, attorney fees, and other costs incurred by the township over time.
If the mall does go to sheriff sale, it would not include Boscov’s, which owns its store, or the former Sears property. It would involve just the mall’s main building, about 40 acres in total. The next sheriff’s sale is on July 20.
Stine also confirmed the mall owes about half a million dollars in municipal, county and school district taxes, but he said that debt is handled by Dauphin County’s Tax Claims Bureau and would not impact a potential sheriff sale.
abc27 reached out to the mall’s owners, Kohan Retail Investment Group, for comment. A representative said the sheriff sale will not be necessary because the company plans to pay everything it owes in a few days. However, that is the same thing the company said two weeks ago.