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Contractor, Fashion Place owner reach accord on debt

 (Salt Lake Tribune) The owner of Fashion Place mall and the general contractor directing the overhaul of the Murray shopping center have reached an agreement to settle up on the $4.5 million owed for the construction.

The accord will allow the two sides to begin talks about finishing work on the mall that was halted when owner General Growth Properties filed for bankruptcy in April, said Robert Campbell Jr., president of Camco Construction.

"Now General Growth and Camco are free to move forward," he said, adding that a confidentiality agreement would not allow him to disclose settlement terms. Though the accord was not for the full amount owed, it was substantial for Camco and about 20 subconstractors, and "we're very confident that all of the subcontractors are happy at this point."

Kent Scott, an attorney who represented Camco, said the agreement allows for most of the settlement to be paid immediately. "But some of the money they are going to have to wait until the [bankruptcy reorganization] plan goes into effect next spring."

The Murray property has been one of Utah's most successful malls, one reason Nordstrom recently invested in a 138,000-square-foot store to replace a smaller one on the site. The department store was part of the center overhaul that began in 2008.

Camco and the subcontractors filed liens after they did not get paid for work.

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