SIGN OF THE TIMES — Lucas Hunt, left, and Rich Horlacher of Steubenville carried their Macy’s closing signs Friday to the intersection in front of the Fort Steuben Mall. The Macy’s store is scheduled to close its doors this spring while a foreclosure sale for the mall is set for Feb. 23 in U.S. District Court in Columbus -- Dave Gossett

STEUBENVILLE — A foreclosure sale has been scheduled on Feb. 23 in U.S. District Court in Columbus for the Fort Steuben Mall.

U.S. Bank N.A. is serving as the trustee for the lenders that hold the mortgage on the mall property, and Steven Miller of Columbus has been appointed the special master to oversee the foreclosure sale.

Neither Miller nor an attorney representing U.S. Bank would comment on the pending legal action.

The foreclosure sale was ordered two weeks after Macy’s announced 68 stores, including its facility at the Fort Steuben Mall, would close in the early spring.

When the Macy’s doors close for good, it will mark the loss of one of the mall’s original tenants, which opened as a Kaufmann’s in 1974. A total of 59 associates are employed at the 132,000-square-foot store.

The J.C. Penney store will be the sole remaining anchor store left at the mall following the closing of the Macy’s store.

Sears, another original mall tenant, closed in June and left 53 employees at the store and Sears Auto Center looking for work.

“This is not encouraging news because it will raise questions about the stability of the Fort Steuben Mall,” noted Steubenville Mayor Domenick Mucci earlier this month.

Mucci said there is now a greater focus on the local economy.

“I know the Jefferson County Port Authority is aggressively marketing the mall and we must now analyze this latest news as we move forward and support the port authority in its efforts. The closing of the Macy’s store will put a greater focus on the economic needs of our community. We will need to assess the impact on the city and act accordingly,” said Mucci.

A financial website reported in May the Fort Steuben Mall went into foreclosure in February and was being prepared for sale.

According to Trepp Talk, “the $37 million Fort Steuben Mall went into foreclosure on the heels of a transfer to special servicing (last) January. The loan is backed by an 821,996-square-foot mall that lists Wal-Mart, Macy’s and Sears as their main tenants combining for nearly 67 percent of the mall’s square footage.

The website said the mall’s loan was transferred to special servicing last year “due to the borrower stating they will no longer fund shortfalls to cover debt service. The mall lost several tenants due to corporate bankruptcies causing the property’s occupancy to drop to 62 percent.”

Fort Steuben Mall Manager Stephanie McVicker said Friday she could not comment on the foreclosure sale. But in an article that appeared in the Thursday edition of the Wall Street Journal, McVicker was quoted as saying the mall has received calls from people interested in the Sears and Macy’s sites.

According to Jefferson County property records, the Macy’s store property is owned by the Macy’s chain.

“I’m certainly confident that the mall will stay open, You don’t want to have empty space. It doesn’t give out a lot of confidence,” McVicker was quoted as saying in the Wall Street Journal.

Jefferson County Chamber of Commerce President Tricia Maple-Damewood said Friday she and Jefferson County Port Authority Executive Director Evan Scurti have been in contact with DLC Management, owner of the mall, regarding the future of the mall.

Maple-Damewood sent a letter to the chief executive officer of Macy’s and several corporate board of directors members asking them to reconsider closing the local Macy’s store.

“Jefferson County and Steubenville specifically have a long history of coming back from unfortunate circumstances, challenges and setbacks. In the past 20 years, our area has seen the closing of steel mills and fought to recover from months of negative nationwide media attention during a very high-profile court case. We have worked hard to keep our downtown safe and our long-time businesses open while actively encouraging new businesses and residents to come be a part of our community. And, while it may sound very cliche, we truly are on the verge of a rebirth,” Maple-Damewood wrote in her letter to Macy’s Chairman and Chief Executive Officer Terry J. Lundgren.

“From the renewed oil and gas industry presence to the growth of Steubenville’s Franciscan University, from a re-ignited downtown revitalization movement to the purchase and opening of a local steel mill with a projected 200 to 300 new jobs, from the creation of a riverfront holiday festival that brought thousands of out-of-town visitors in its first year alone to the growth of our local manufacturers who are producing and shipping their products all over the world, positive things are happening here and there’s so much more on the horizon. The past several years have seen our people re-energized, thinking creatively and insisting that prospective residents, visitors and businesses give us a second look and see past simple numbers and demographics,” Maple-Damewood continued.

“I ask that you take the time to review the attached information that details much of what our area has to offer as a place to do business. Myself and the chamber board of directors would be happy to discuss via phone or in person any ideas or strategies that could lead to the Steubenville Macy’s store remaining open. Please consider making the Steubenville Macy’s the model, the example, the case study that reflects the future of large retailers surviving and thriving in small town America,” concluded Maple-Damewood.

(Gossett can be contacted at dgossett@heraldstaronline.com.)