The family behind Dallas’ NorthPark Center is close to finalizing a $900 million refinancing package that would restructure the mall’s debt and buy out J.P. Morgan Asset Management’s majority stake.
The move would return full ownership of the retail landmark to the Nasher-Haemisegger family for the first time in a decade, according to The Real Deal. Proceeds will retire $650 million in old debt and acquire J.P. Morgan’s 60 percent equity position. The bank bought into the property in 2014 through its Strategic Property Fund.
A Fitch Ratings presale report detailed the financing package. It includes a two-year, floating-rate CMBS loan from Wells Fargo, Morgan Stanley, and Goldman Sachs, along with $300 million in mezzanine financing. Cushman & Wakefield appraised the 1.9 million-square-foot mall at $1.6 billion in August. The report pegged the loan-to-value ratio at 55.5 percent, or 63.5 percent with mezzanine financing included.
Raymond Nasher developed NorthPark in 1965. His daughter Nancy Nasher and her husband David Haemisegger now operate the mall through NorthPark Management Company. The property generated $1.4 billion in sales last year, with anchor tenants Dillard’s, Macy’s, Neiman Marcus, Nordstrom, Eataly, and AMC contributing nearly $500 million.
NorthPark maintains some of the strongest occupancy rates in the region. The property reached nearly 99 percent occupancy in June and has not dropped below 93 percent in the past decade. Almost 40 percent of its tenants remain exclusive to NorthPark within the Dallas market, which helps sustain repeat traffic despite growing competition.
Elizabeth Herman Fulton of CBRE credited the mall’s private ownership for its distinctive lineup. She said NorthPark’s structure enables “an unusually curated tenant mix,” keeping it “cool” while other regional malls have struggled.
The Nasher-Haemisegger family invested more than $25 million into upgrades, including a south exterior renovation in 2018 and roof and HVAC replacements in 2023. Only Galleria Dallas and Grapevine Mills report similar occupancy levels, Fitch noted.
Competition is expected to intensify. Two mixed-use projects along Knox Street and Henderson Avenue will add about 180,000 square feet of upscale retail and dining space next year, which could challenge NorthPark’s dominance.