With the St Giles Centre now closed permanently and the doors firmly locked, attention has turned to what will happen next.
The shopping centre has a massive presence on the High Street and its absence has left dozens of empty units.
Owners locked the doors while facing a huge business rates debt of £750,000 while blaming the rise of retail parks for the cash crisis.
Thoughts will now turn to what could be the next steps with the St Giles Centre.
The Press and Journal has analysed three possible scenarios that could play out over the coming weeks and months.
Most likely: What would happen if St Giles Centre company is liquidated?
Owners St Giles Shopping Centre Holdings Ltd say they have faced “severe financial challenges” in recent years.
In the event of such struggles, companies can call in administrators or liquidators to address its debts.
Administration is a process where an external agency is brought in to look at how a firm may attempt to restructure to pay off its debts.
With no income due to the shopping centre now being closed, and no remaining employees to support, it is more likely the company is put into liquidation.
This process is a last resort that involves a company being wound up with its assets sold off to pay off as much of its debts as possible.
It is likely this would involve selling the shopping centre building to a new owner.
At this point it is not known whether the St Giles Centre owners had any other outstanding debts aside from the business rates bill.
Less likely: Will St Giles Centre be put up for sale?
Perhaps the most straightforward option would be the shopping centre being sold on the open market to a new owner.
There is no guarantee a buyer would be found quickly, but it is perhaps the least complicated route to a new future for the building.
It is likely that the current owners would still be liable for the business rates debts accrued over recent years.
However, proceeds from any sale could be put towards paying the balance.
The mall was sold by receivers for £8 million in 1994, roughly the equivalent of £16.5 million today, after the initial developers went bankrupt.
It is likely the sale at the time included the ground the centre is built on though, which is now owned separately.
There is currently no indication the shopping centre will be put up for sale on the open market.
Least likely: The worst case scenario for Elgin
In theory, nothing needs to happen with the shopping centre.
The company that owns it is still active and is not under any obligation to do anything with the building.
Such a scenario is potentially the worst case scenario for the town centre though if the units are left empty long-term.
Although the owners are under no obligation to sell, they are still liable for the unpaid business rates bill.
Moray Council has taken legal action in an attempt to recover some of that money and could continue to chase the cash as long as long as the company remains active.
The potential endgame for such a scenario could be seizing assets, which would include the shopping centre itself.
It is then likely the building would be put up for sale to recoup as much money as possible to cover the bill.
Read more from the St Giles Centre
- St Giles tenants had debt collectors at their homes demanding they covered Elgin shopping centre’s £600k bill
- Sadness, confusion and memories: What the final shoppers inside the St Giles Centre had to say about closure
- St Giles Centre firms face paying THOUSANDS in storage and removal fees as they search for new homes
Conversation