ONE IN SIX AMERICAN MALLS EXPECTED TO DISAPPEAR IN THE NEXT DECADE…
[9/4/16] One in six American malls are expected to disappear in the next decade. That’s scary news for many communities.
Visits to malls declined by 50% between 2010 and 2013, according to real estate research firm Cushman & Wakefield. Analysts expect upcoming data will show an even steeper drop in mall traffic.
Mall closures could have terrifying implications for communities, Howard Davidowitz, chairman of Davidowitz & Associates, a national retail-consulting and investment-banking firm, told Business Insider.
About 15% of malls will disappear in the next decade, according to a study by Green Street Advisors. That means hundreds of malls will close down, potentially affecting thousands and thousands of jobs.
“When a mall closes, it’s a blight in the community for a very long time,” Davidowitz said in a telephone interview. “Empty stores mean ugly holes where jobs are lost and taxes aren’t paid.”
While there has been speculation that shuttered department stores will be replaced by new businesses like e-commerce warehouses, medical clinics, and gyms, Davidowitz says it will take a decade for these spaces to be filled.
“The jobs that will be lost will take 10 years to replace,” he said. “In the mean time you have people who are out of work, which…CONTINUE READING