Elk Grove Promenade Developer Has Foreclosure Proceeding Start On Other Malls

Banks losing patience

Chicago-based General Growth Properties (GGP), current owner and developer of the stalled Elk Grove Promenade, saw several banks start foreclosure proceedings on numerous properties.

Among the banks initiating foreclosure proceedings is troubled New York-based Citibank. In papers filed in Louisiana's 24th Judicial District Court, the bank started foreclosure proceedings on GGP's Oakwood Center mall in New Orleans.

Separately, Standard & Poor's has lowered GGP's bond rating from a CC to D, a default, or junk rating.

In NYSE trading, GGP closed at 44¢, well below it's 52-week high of $44.23.