Major Malls On Brink as MAJOR RETAILERS to Announce Thousands of Store Closings
invite response
2017 Jan 5, 12:07pm 10,344 views 54 comments
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zzyzzx
2017 Jan 18, 10:14am
http://www.legacy.com/obituaries/newsday/obituary.aspx?pid=183633215
Pittsburgh Mills Mall Sold For $100 At Foreclosure Auction
TARENTUM, Pa. (KDKA/AP) – One of the biggest indoor malls in Pennsylvania hit the auction block this morning.
The 1.1 million-square-foot Galleria at Pittsburgh Mills sold for $100 this morning.
It was developed by Johnstown-based Zamias Services Inc. and Mills Corp. a Virginia firm that has since gone bankrupt. Wells Fargo Bank foreclosed last year on the mall which opened in 2005. The mall was once worth $190 million but recently appraised at just $11 million.
Pittsburgh Mills Limited Partnership, which owns the mall and is owned by Zamias, owes Wells Fargo about $143 million including deferred payments and interest on a $133 million loan taken out in 2006.
It’s possible the bank will buy the mall and try to revive the property.
Tenpoundbass
2017 Jan 18, 10:21am
The mall was once worth $190 million but recently appraised at just $11 million.
BUt it probably has about 20 million in back taxes and leans. So no investor would touch it.
It’s possible the bank will buy the mall and try to revive the property.
most likely that $100 buyer was a bank Straw Company.
RWSGFY
2017 Jan 18, 10:23am
I don't see the internet replacing WalMart. They are doing just fine. And Amazon sucks.
WalMart is selling stuff on the interwebz too. With free delivery and all that jazz.
justme
2017 Jan 18, 10:30am
Big picture: Close-in malls will get torn down and replaced by apartments and condos and sometimes townhouses. Remote malls (typically billed as "outlet malls") may suffer some of the same fate, or may become distribution centers for Walmart.
Damn complex thought!
No Jobs,Low paying,short hour Jobs-NO Consumers.
RWSGFY
2017 Jan 18, 10:35am
Not so fast. Freshly-built "outlet mall" in the neighboring city is fucking parked out on weekends. Cars overflow to the fucking fields surrounding it and people walking half mile to the entrance. It's bizarre: who the fuck loves shopping THAT much...
zzyzzx
2017 Jan 18, 10:35am
WalMart is selling stuff on the interwebz too. With free delivery and all that jazz.
I buy stuff off of WalMarts website. Mostly it's because they don't stock the store near me properly.
zzyzzx
2017 Jan 18, 10:36am
Not so fast. Freshly-built "outlet mall" in the neighboring city is fucking parked out on weekends. Cars overflow to the fucking fields surrounding it and people walking half mile to the entrance. It's bizarre: who the fuck loves shopping THAT much...
Do you live near Arundel Mills? You just described it (except it's maybe 15 years old-ish).
zzyzzx
2017 Jan 18, 10:45am
Big picture: Close-in malls will get torn down and replaced by apartments and condos and sometimes townhouses. Remote malls (typically billed as "outlet malls") may suffer some of the same fate, or may become distribution centers for Walmart.
One place near the Baltimore Beltway they tore down the mall (Golden Ring Mall) and put up a big strip mall in it's place.
http://www.deadmalls.com/malls/golden_ring_mall.html
The mall sat vacant and decaying for a couple of years. In 2002 Petrie Ventures inc. bought the mall from Simon Properties minus the vacant Montgomery Wards who owns their building. Petrie Ventures razed the mall and built a big box center dubbed "The Centre at Golden Ring" in its place which opened in 2003. The new center has a Wal-Mart, Home Depot, and a third whose name escapes me.
RWSGFY
2017 Jan 18, 10:47am
Not so fast. Freshly-built "outlet mall" in the neighboring city is fucking parked out on weekends. Cars overflow to the fucking fields surrounding it and people walking half mile to the entrance. It's bizarre: who the fuck loves shopping THAT much...
Do you live near Arundel Mills? You just described it (except it's maybe 15 years old-ish).
Nope. Opposite side of the country.
I buy stuff off of WalMarts website. Mostly it's because they don't stock the store near me properly.
that is norm for walmart nowadays. Sure sam walton would be turning over in grave
NDrLoR
2017 Jan 18, 11:19am
Remote malls (typically billed as "outlet malls")
The outlet mall at Hillsboro, Texas on I-35, 65 south of Dallas, that opened I think in the early 90's and boomed for awhile is mostly an expanse of empty parking lots:
Deja Vu' to patnet circa 2005. There was an identical thread here ~12 years ago where posters mused about what we would do with all that empty mall space.
Just think, if this were a free country, we could grow Cannabis in all that space, and what's leftover could house the anti-American loser pot prohibitionists, who could sell hand jobs for pocket change. Then everyone would be happy
_
2017 Jan 18, 2:13pm
Returns, Last 10 Years...
$AMZN: +2,038%
$WMT: +80%
$TGT: +45%
$BBY: +18%
$BBBY: -1%
$M: -5%
$KSS: -27%
$SPLS: -54%
$JCP: -90%
$SHLD: -93%
Logan the douche, with charts galore, is back!
Logan is making charts regarding EVERY SUBJECT/THREAD GREAT AGAIN!!!
RWSGFY
2017 Jan 18, 2:33pm
Deja Vu' to patnet circa 2005. There was an identical thread here ~12 years ago where posters mused about what we would do with all that empty mall space.
Just think, if this were a free country, we could grow Cannabis in all that space, and what's leftover could house the anti-American loser pot prohibitionists, who could sell hand jobs for pocket change. Then everyone would be happy
Your obsession with pot is almost equal to Rin's obsession with hookers.
zzyzzx
2017 Jan 18, 2:37pm
Hey Logan, how does your charts explain all the stores that came and gone before the internet existed?
How does your charts explain how places like Walmart, Target, Costco, and not enclosed malls seem to be doing just fine?
_
2017 Jan 18, 2:40pm
Walmart, Target, Costco,
$WMT: +80%
$TGT: +45%
$M: -5%
$KSS: -27%
$SPLS: -54%
$JCP: -90%
$SHLD: -93%
Costco
Is a unique retail shop that has a good income base of their core shoppers,
Amazon is just a beast of a competitor.
However, lets not over play this too much, still 88% + of retail are sold at bricks and retail sales are at all time highs.
_
2017 Jan 18, 2:41pm
Sporting merchandise stores, a few have gone under in the last 12 months, that doesn't get talked about much
Hopefully drone-delivery becomes a thing. Barring that, a drive-up-pick-up warehouse would be nice.
I really done want to park, get out, browse limited selection, and wait in line to pay.
This isn't 1950.
_
2017 Jan 18, 2:43pm
Last report
We finally eclipsed the Jan. 2006 record high last month in U.S. retail spending on building materials, garden supplies, and furniture
How does your charts explain how places like Walmart, Target, Costco, and not enclosed malls seem to be doing just fine?
As well as grocery stores such as Whole Foods and Trader Joe's
Deja Vu' to patnet circa 2005. There was an identical thread here ~12 years ago where posters mused about what we would do with all that empty mall space.
Just think, if this were a free country, we could grow Cannabis in all that space, and what's leftover could house the anti-American loser pot prohibitionists, who could sell hand jobs for pocket change. Then everyone would be happy
Your obsession with pot is almost equal to Rin's obsession with hookers.
What third world shit hole are you from
_
2017 Jan 18, 2:58pm
As well as grocery stores such as Whole Foods and Trader Joe's
88% + of retail is done at bricks and retail sales are at all time highs, though whole foods has had some issues of late.
JC Penny, Sears, and other retail shops like that, don't read too much into their issues.
RWSGFY
2017 Jan 18, 3:21pm
Deja Vu' to patnet circa 2005. There was an identical thread here ~12 years ago where posters mused about what we would do with all that empty mall space.
Just think, if this were a free country, we could grow Cannabis in all that space, and what's leftover could house the anti-American loser pot prohibitionists, who could sell hand jobs for pocket change. Then everyone would be happy
Your obsession with pot is almost equal to Rin's obsession with hookers.
What third world shit hole are you from
California. You?
Patrick
2017 Jan 18, 7:26pm
It's all karma coming full circle.
The malls, being abstractions of main street with better economies of scale, killed the real main street.
Amazon, being an abstraction of the mall with better economies of scale, killed the real malls.
Now what will kill Amazon?
lostand confused
2017 Jan 18, 7:42pm
Where I live, malls are the only place you can go to in winter and walk safely.
MisdemeanorRebel
2017 Jan 18, 8:00pm
Photos from Abandoned Malls all over the country.
http://www.deadmalls.com/
Guess who is married to the Heiress of the General Growth, a Mall Builder and Owner?
Tom Friedman.
http://www.vanityfair.com/news/2008/11/thomas-friedmans-world-is-flat-broke
Now what will kill Amazon?
The Yam Market
Dan8267
2017 Jan 18, 8:19pm
Now what will kill Amazon?
Home manufacturing, but not for a long time. As soon as it becomes cheap to manufacture anything at home with 3D printers, there goes 90% of retail and even wholesale.
88% + of retail is done at bricks and retail sales are at all time highs
What percentage of bricks and mortar retail is big box vs mom-and-pop?
What is the ideal tenant mix to go for in commercial property investment today?
Sporting merchandise stores, a few have gone under in the last 12 months, that doesn't get talked about much
seems nothing short of a miracle that sports authority lasted as long as it did.
Dicks better but it just doesn't seem sustainable.
a unique retail shop that has a good income base of their core shoppers,
Costco, Whole Foods, also/Trader Joe's are good at forecasting, something that used to be true about Walmart.
They opened a Walmart less than 10 minutes from my house in Atlanta(North Decatur/Druid hills), not realizing that the demographic that shops there today will be priced out of area in 5-10 years.
Sprouts and 365 by Whole Foods coming nearby and costco as well.
How does your charts explain how places like Walmart, Target, Costco, and not enclosed malls seem to be doing just fine
SNAP/EBT has to be a big part of Walmart
Do you live near Arundel Mills? You just described it (except it's maybe 15 years old-ish).
Most malls in Baltimore except maybe white marsh and Towson town center have to be in dumps.
Never had 'privilege' of going to Arundel mills
zzyzzx
2017 Jan 19, 8:16am
Now what will kill Amazon?
Their shitty ratings:
http://www.resellerratings.com/store/Amazon
Rating 4.00/10 based on the most recent 3056 reviews 3,056 reviews
For comparison purposes:
http://www.resellerratings.com/store/Newegg
Rating 9.23/10 based on the most recent 44935 reviews 44,935 reviews
http://www.resellerratings.com/store/Jet
Rating 8.87/10 based on the most recent 1738 reviews 1,738 reviews
http://www.resellerratings.com/store/Bike_Nashbar
Rating 6.20/10 based on the most recent 93 reviews 93 reviews (I would think that this one would have more reviews and rate much higher)
http://www.resellerratings.com/store/Lands_End
Rating 9.74/10 based on the most recent 30 reviews 30 reviews
junkmail
2017 Jan 19, 9:16am
Hopefully drone-delivery becomes a thing. Barring that, a drive-up-pick-up warehouse would be nice.
I really done want to park, get out, browse limited selection, and wait in line to pay.
This isn't 1950.
They have that in the U.K. It's called Argos. (Buy online pick up in town.)
zzyzzx
2017 Jan 19, 9:23am
Barring that, a drive-up-pick-up warehouse would be nice.
Would have been nice if I could have done that in December. Amazon warehouse is pretty close to me.
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Sears, Macy's, JCPenney, Best Buy, Sport's Authority, Lord&Taylor, 5 Below, Chicos, Finish Line, Men's Wearhouse, and The Children's Place AND many other retailers (CVS, Rite-Aid) are also in the midst of multi-year plans to close stores. -
Hundreds (Maybe a thousand?) of Malls will perish and over a million jobs lost as thousands of retailers will close thousands of stores in coming year.
http://www.businessinsider.com/stores-closing-macys-kohls-walmart-sears-2016-12
"Nearly every major department store, including Macy's, Kohl's, Walmart, and Sears, have collectively closed hundreds of stores over the last couple years to try and stem losses from unprofitable stores and the rise of ecommerce.Â
But the closures are far from over.
Macy's has already said that it's planning to close 100 stores, or about 15% of its fleet, in 2017. Sears is shuttering at least 30 Sears and Kmart stores by April, and additional closures are expected to be announced soon. CVS also said this month that it's planning to shut down 70 locations.
Mall stores like Aeropostale, which filed for bankruptcy in May, American Eagle, Chicos, Finish Line, Men's Wearhouse, and The Children's Place are also in the midst of multi-year plans to close stores.Â
Many more announcements like these are expected in the coming months.
The start of the year is a popular time to announce store closures. Nearly half of annual store closings announced since 2010 have occurred in the first quarter, CNBC reports.
In addition to closing stores, retailers are also looking to shrink their existing locations.Â
"As leases come up, you're going to see a gradual rotation into smaller-footprint stores," Hottovy said.
Despite recent closures, the US is still oversaturated with stores.
The US has 23.5 square feet of retail space per person, compared with 16.4 square feet in Canada and 11.1 square feet in Australia — the next two countries with the highest retail space per capita, according to a Morningstar report from October.
"Across retail overall the US has too much space and too many shops," said Neil Saunders, CEO of the retail consulting firm Conlumino. "As shopping patterns have changed, some of those shops are also in the wrong place and are of the wrong size or configuration."
As stores continue to close, many shopping malls will be forced to shut down as well.
When an anchor store like Sears or Macy's closes, it often triggers a "downward spiral in performance" for shopping malls, Morningstar analysts wrote in the report from October.
The malls don't only lose the income and shopper traffic from that store's business. The closure often triggers "co-tenancy clauses" that allow the remaining mall tenants to exercise their right to terminate their leases or renegotiate the terms, typically with a period of lower rents, until another retailer moves into the vacant anchor space.Â
To reduce losses, malls must quickly find a replacement tenant for the massive retail space that the anchor store occupied, which is nearly impossible  — especially in malls that are already financially strapped — when every major department store is reducing its retail footprint.
That can have "grave" consequences for shopping malls, especially in markets where it's harder to transform vacant mall space into non-retail space like apartments, according to the analysts.
The Morningstar report supports another recent analysis from Credit Suisse that said about 200 shopping malls are at risk of shutting down if Sears continues to close stores. "
#TooMuchRetail
#TooMuchUselessShit
#OverSaturation