The owner of New England's largest mall now has more time to resolve its troubled loan.

Brookfield Properties secured an extension through the late 2026 on its $505M loan tied to the Natick Mall, the Boston Business Journal reported.

The loan matured at the beginning of November and was then transferred to special servicer Situs due to imminent monetary default.

Brookfield told Bisnow in early December it was working on a deal to extend the loan. It hasn't responded to request for comment on the extension being finalized.

The loan was originated by Bank of America in 2019. It was previously backed by the 1M SF central portion of the 1.7M SF mall, excluding the department store anchors. But as part of the loan extension, the space formerly occupied by Sears was added as collateral on the loan, according to the BBJ.

Due to the tenant vacancies and several looming lease expirations, Morningstar Credit put the loan on its watchlist in June. Morningstar Senior Vice President David Putro told Bisnow at the time there was "lots of risk" associated with the loan.

The mall is 91% occupied, but that figure includes a 200K SF lease signed by Wegmans, which vacated the property in 2023 but has continued to pay rent.

Brookfield lost department store tenant Lord & Taylor in 2020 when it filed for bankruptcy, leaving behind 113K SF at the Natick Mall.

The Natick mall has brought in new retailers, including Bosse Pickleball, which opened in April in the former Neiman Marcus department store space that is separately owned by Bulfinch Cos.

Brookfield became the owner of the mall in 2018 when it acquired General Growth Properties, the prior owner, for $9B.