WEST NYACK, NY – One of the largest malls in the country, the Palisades Center Mall in West Nyack, may be sold at a public auction next month.
A recent court notice confirmed that the auction is set for Wednesday, February 4, at 2:15 p.m., and will take place at 60 Centre Street, Room 252, in New York City. The listed price is $463.4 million, plus interest and court fees. A court referee, Clark A. Whitsett, will oversee the auction.
The reason behind the auction is a large unpaid debt that dates back to 2016, when the mall’s owners borrowed $418.5 million. The owners—EklecCo NewCo LLC, Queens Comic’s NewCo LLC, Riesling Associates, and Three J’s Family Trust—failed to pay it back, even after multiple extensions.
During the COVID-19 pandemic, the loan terms were adjusted, and the final payment was due in 2022. The owners still did not pay. The lender at the time, Wilmington Trust, filed a foreclosure lawsuit in 2023. By late 2025, a company called BD Palisades Holdings, linked to Black Diamond Capital Management, bought the unpaid loan at a discount and took over the case in court.
What Happens Next
While the auction is scheduled, there is still a chance the issue could be settled before the sale happens. As of now, the auction hasn’t been widely advertised to the public. However, local news outlets such as Lohud, WRCR Radio (now closed), RC Biz Journal and Rockland News have been reporting on this issue over the past several years, as developments have unfolded.
To be clear, the mall is still open and operating. A court appointed Spinoso Real Estate Group, based in Syracuse, to manage it. The Palisades Center is also notably home to hundreds of businesses—ranging from major stores like Best Buy, AMC Theatres, and Dave & Buster’s, to small kiosks and even nonprofits like BRIDGES, which opened a special sensory room for kids who get overwhelmed by noise and crowds.
Despite fewer visitors in recent years, the mall had a busy Black Friday and holiday season in 2025, showing signs of recovery. However, the retail receipts of these hundreds of stores likely do not directly translate to direct lease income.
The mall also plays a big role in Rockland County’s finances. It’s the largest taxpayer in the Town of Clarkstown, paying over $22 million a year in property taxes. In response to this article, Executive Ed Day stated today:
“While the county is not involved in this auction the unalterable fact is the Palisades Center is a major tax revenue driver for Clarkstown, the school district, and the County of Rockland. It is also one of the premiere tourist destinations in this county, bringing in visitors who generate additional outside revenue that pays for local services, and I hope to see the Palisades Center running – and successful – for as long as possible.“
Meanwhile, Clarkstown and nearby towns are moving toward new types of developments. Projects like the Nanuet Town Centre are speculated to be considering “Live | Work | Play” spaces that combine housing, shopping, and entertainment near public transportation. This trend could influence what happens next with the Palisades Center, depending on who buys it—and what they plan to do. According to an unnamed source, Black Diamond Capital Management reportedly stated that they wanted to bring the Palisades Mall “down to the lightbulbs”.
Stay tuned for more information about the future of the Palisades Center.
Updated: 1/14/2026 @ 4:57 pm